Monday 26 May 2008

Cohabiting Family

Couple who live together without getting married or entering into a civil partnership are cohabitants.

Occupation order by cohabitants maybe brought under s36, where the respondent is entitled to occupy the home (by virtue of a beneficial estate/interest, contract or by statue). The home must be or have been intended to be the couples home.

Once granted s36 (13) provides that the applicant is provided the same protection as a spouse under s30 (3)-(6). Therefore any landlord or mortgagee must accept payment towards the mortgage or rent.

On the break up neither party is entitled to claim or maintenance, lump sums or a property adjustment order. Maintenance can however be claimed for any children of the relationship.

In a dispute over ownership/occupation of the home it’s possible to seek a declaration of ownership under s14 of the Trust of Land and Appointment of Trustee Act 1996 (TLATA).

Jointly owned property intentions to ownership should be clear from deeds. Either can apply for an order of sale under s14 of TLATA 1996. Proceeds divided equally among parties.

Legal estate in one name only: the other party will have establish a claim in equity; by establishing a resulting or constructive trust or by proprietary estoppel. If successful non-legal owner will be entitled to a share in the property as determined by the court. Interests based on direct contributions i.e. to the purchase price have been dealt with under resulting trusts! Interests based on wider equitable principles i.e. because its just and equitable are clearly just and equitable are clearly constructive trusts or proprietary estoppel.

Section 14 and 15 of TLATA 1996 gives the court powers to deal with disputes of land subject to trust. Section 14 gives the court power to make an order that reflects the underlying nature and purpose of the trust. Section 15 sets out things the court must take into account:

  1. Intentions of persons(s) who created the trust.
  2. The purpose for which the property is held.
  3. The welfare of any minor who occupies or may reasonably be expected to occupy trusts property as his home.
  4. The interests of any secured creditors (mortgagee).

The court must also take into consideration: if she can maintain the property itself and afford to pay bills and mortgage etc. If not the court may also order a sale of the property.

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