Co-habitants - who gets what when the house is sold?

A recent Court of Appeal case affirms the accepted law in the difficult and emotionally charged area of how the proceeds of the sale of a house should be divided when a couple split up or when one of the parties dies. 

The law for co-habitants (i.e. couples who are not married or in a civil partnership) is notoriously difficult in this area.  There is no such thing as a 'common law wife (or husband)' and if the parties have not agreed who should get what when the property is sold, the court can have some very difficult decisions to make by looking at the course of dealings between the parties over the years.

If a couple live in a house together for many years and that house is owned in the name of only one of the parties, the starting point for deciding who gets what on death or divorce is not automatically that there will be an equal split of the sale money.

It is vital for unmarried couples thinking of buying a house together to get proper legal advice at the point of purchase to ensure that their contributions are recognised if the parties go their separate ways.

To discuss this or other property or relationship issues, contact us.

For a link to the case go to: Case