Over recent weeks there has been some surprise in the world of family law at the decision made by banker Kerim Derhalli to pursue his former wife - Jayne Richardson Derhalli - for ‘back rent’ in relation to her occupation of the former £6 million matrimonial home in London, and maybe slightly more surprise at the fact the application has so far been successful.
It is far less unusual for the issue of occupational rent to be raised during financial proceedings when one party is in occupation and the other party is living elsewhere. It is not an argument that the court will necessarily make any financial provision for, but it’s a counter argument if the party in occupation has been paying the mortgage on a capital basis and wants the reduction in capital taken into account. It is unclear, as of yet, as to whether the Derhalli decision will be overturned, if challenged by Ms Richardson Derhalli.
Article written by Helen Waite. Thomson Snell & Passmore originally published in ePrivate client. Read the full article: What happens when an ex-spouse does not abide by the terms of a settlement?