Cohabitation Agreement Solicitors

If you’re unmarried and jointly own a property with your partner, as a starting point any equity left after discharge of the mortgage and sale costs will usually be divided in accordance with the legal ownership of the property. This could be as Joint Tenants, in which case you would be entitled to an equal share of the sale proceeds, or as Tenants in Common, where your share would be determined in accordance with the percentage split you agreed at the outset. If you contributed a bigger sum when buying the property, or paid a greater share of the mortgage payments and hold the property as Joint Tenants, you probably won’t recover any extra contribution, but you could if you held the property as Tenants in Common.

With a Cohabitation Agreement – You can state exactly what share of the property you own, and confirm how your contributions are intended to be taken into account, so assets can be divided fairly if you separate in the future.

If your partner already owns the home by themselves and you move in, you don’t have any legal claim to it simply by living there. It doesn’t matter how long you’ve lived there, it will still be their name on the Title Deeds, and in legal terms, it may be difficult to rebut the presumption that the property is solely theirs after you separate.

But it’s important to know that this is a complex area of law. If you split up, you might be able to claim in Court that you have a “beneficial interest” in the property if you have made a contribution in money or “monies worth” with the intention of gaining an interest in it. This could be a contribution to significant improvements to a property, or the mortgage, in the belief that you would have a share.

With a Cohabitation Agreement - You can possibly avoid legal action and the expense and possible conflict that comes with it, by outlining in an agreement your what your interests in the property might be in the event of any contribution by you, or how to protect against your partner unintentionally obtaining an interest should they simply contribute to other expenses not related to purchase of the property. An agreement can set out clearly what is intended and whether both parties will share in the property in the future.

The Trusts of Land and Appointment of Trustees Act 1996 (ToLATA) gives the Court the power to make a decision about any land disputes between you and your former partner after separation.  

This means if you really can’t agree on what happens to your property or land, the Court can make a decision as last resort.

You might have both sold separate properties to move into one home, or own a buy to let or holiday home together. Whatever your situation, ToLATA disputes are not uncommon and you can apply to Court to help you reach a resolution if negotiation or mediation does not provide a solution.

This is a complex area of law and is completely dependent on the facts of your situation, but with ToLATA legislation the Court can make an Order that:

• Declares what share of the property both you and your former partner own, whether that is one of you owning the entire property or not
• Forces you both to sell your land and property
• Can determine whether any third parties may also have a beneficial interest in the property, for example if your parents helped you pay for the deposit and it was agreed at the outset that they should be repaid at some point.

The Court is bound by previous decisions of the Courts above them, known as case law, and will not have the discretion they would have when dealing with a matrimonial dispute. But, the Court will be guided by what it believes was the agreement between the parties at the outset and any intentions to use the property as a family home.

With a Cohabitation Agreement – To avoid the Court having to make a decision based on limited available evidence of your circumstances some years before, an agreement can help the Court easily see what your agreement was in writing and what had been intended regarding the shares in the property when you were together and use this to help them come to a decision. It also means you might be able to avoid Court altogether, by knowing what each of you agreed that you would be entitled to from the beginning.  

Our Family Law Solicitors have years of experience in property disputes and ToLATA, so we can give you expert legal advice tailored to you and your family.

When you come to us for help, we will try everything possible to resolve your issues outside of Court, so that lengthy legal processes will always be a last resort.

We offer a variety of options for your appointments, including telephone and video calls.