A husband and wife with assets in the UK worth just over £1.8 million were granted a divorce and the Judge at First Instance made an Order requiring the transfer of various assets from the husband to the wife and ordered the husband to pay the wife's legal fees in relation to the divorce proceedings.
The husband made an appeal against the Order itself and the Order in relation to the legal fees (known as 'costs'). The Judge at First Instance found that the husband had not properly disclosed the full extent of his assets to be brought into account and considered in relation to the division of assets between the parties following the divorce.
The wife's costs in relation to the First Instance Application were in the region of £60,000. The Judge ordered that the husband should pay these costs because of the way that he had approached the litigation. The Court of Appeal found that the husband's uncooperative approach to the proceedings did not generate the entirety of the wife's costs but it did increase them significantly. On this basis the Court of Appeal found that the husband should pay 80% of the wife's costs.
From this Judgment it can be seen that although the Court of Appeal found in the husband's favour to a limited extent, it is quite clear that the husband's uncooperative behaviour should be taken into account when deciding on the level of costs that a party should make in matrimonial proceedings.
This highlights the importance of making proper disclosure of assets and finances in relation to a matrimonial matter. It can be tempting not to cooperate but, in the long run, this can have a negative impact particularly in relation to costs.
Link to the case: Court of appeal decision
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