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High Court of Ireland Decisions |
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You are here: BAILII >> Databases >> High Court of Ireland Decisions >> T. v. T. [2001] IEHC 166 (28th November, 2001) URL: http://www.bailii.org/ie/cases/IEHC/2001/166.html Cite as: [2001] IEHC 166 |
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1. The
Applicant and the Respondent were married in 1980 according to the rights of
the Roman Catholic Church.
2. The
Applicant was born in 1949 and is now 52 years of age. The Respondent, was
born in 1952 and is now 48 years of age.
3. In
the proceedings before the Court the Applicant husband seeks a decree of
divorce pursuant to Section 5(1) of the Family Law (Divorce) Act, 1996,
together with various ancillary orders. He also seeks an Order pursuant to
Section 13(1)(a)(ii) of the 1996 Act as to what periodical payments he should
make to the Respondent for the support of the dependant children of the
marriage. Finally he seeks an Order pursuant to Section 15(1)(f) of the 1996
Act in relation to access to the dependant children of the marriage.
4. The
Respondent wife accepts that the constitutional and statutory test for the
granting of a decree is satisfied, but counterclaims for a decree of Judicial
Separation pursuant to Section 2 of the Judicial Separation and Family Law
Reform Act, 1989. The Respondent has made it clear that she does not wish to
be divorced and opposes the divorce on religious grounds. She also seeks a
full range of Financial Orders ranging from Maintenance Orders to Lump Sum
Orders to Property Adjustment Orders and Pension Adjustment Orders.
5. The
Applicant and the Respondent were married in 1980. They have three dependant
children of the marriage. The Applicant and the Respondent are both
professional people.
6. Shortly
after their marriage in 1980, the parties moved house. At this time the
Applicant commenced his practice from the family home. In the early years of
their marriage the Respondent worked in the Applicants practice. The
Respondent furnished and cleaned the offices and worked as an unofficial
receptionist, available to talk to clients both after hours and at weekends.
When the Applicant subsequently moved to his present offices in about 1983, the
Respondent assisted him in the furnishing of that office, buying paintings and
furnishings for the property.
7. Their
relationship was very turbulent and there were many arguments between the
parties, which at times resulted in the Applicant leaving the family home and
staying overnight elsewhere. Shortly after the parties’ youngest child
was born in January, 1989, the parties began to occupy separate bedrooms.
8. The
Applicant left the family home in August, 1994. The Respondent and the
children had gone for a week’s holidays, having no idea of the
Applicant’s plans. On their return they discovered that the Applicant
had left the family home and all his possessions had been removed. On his
departure from the family home the Applicant took up residence in another one
of his properties. There is no reasonable prospect of a reconciliation between
the parties.
9. It
is the Respondent’s belief that the Applicant has been unfaithful
throughout their marriage. In particular, she believes that at the time the
Applicant vacated the family home he was involved with a woman some twenty
years his junior.
10. The
Applicant is currently in a relationship of two years, standing with a new
partner who has recently given birth to their child. It is the
Applicant’s intention to marry his partner on the Court granting a decree
of divorce herein.
11. Both
parties disagree as to the level of financial adjustments to be made between
them. When the Applicant initially left the family home the parties continued
to operate a joint account which the Respondent drew on when necessary. This
arrangement continued for 18 months upon which time the Applicant unexpectedly
closed the account and opened an account in the Respondent’s name. The
Applicant currently pays the Respondent a sum of approximately £400 per
week by way of Maintenance for the children of the marriage, along with some
other outgoings and expenses in relation to the children and the family home.
The Applicant’s total net assets are somewhere in the region of £20
million, the majority of which come from property. The Respondent’s
assets in comparison stand at around £1 million.
12. The
Respondent has spent most of her professional life working in low-key posts, as
both parties agreed that this was more compatible to family life. The
Respondent re-entered part-time employment in 1991 on a very limited basis.
Between 1990 and 1998 the Respondent devoted herself to her home and family and
organised a limited work schedule around this. In November, 1998 the
Respondent went into practice in an attempt to bring more structure and
security to her life. However, she has found it very difficult to build up her
practice and it appears that it will be a long time before financial security
is achieved through her work.
13. The
Respondent’s work involves a high level of commitment and she is on call
twenty four hours a day. The twin demands of her career and motherhood have
put a considerable strain on the Respondent and she feels that it is not in her
children’s interest that she continues working at this frantic level.
Accordingly, she is anxious that lump sum provision be made in order to secure
her own and her children’s future.
14. The
Applicant seeks access in relation to the youngest child of the marriage only,
acknowledging that the two older children are in a position to make up their
own minds as to the extent and nature of their relationship with him. The
Applicant seeks to avail to access to his son in the context of his new
relationship. He currently sees his son once a week for two hours in the
evening and wishes to see his son twice a week, with access perhaps on another
weekday evening. There are a number of difficulties in the Applicant’s
relationship with his children. Earlier in the proceeding the Applicant
brought an application under Section 47 of the Family Law (Divorce) Act, 1996
seeking an Order of the Court directing that a child psychiatrist be appointed
to carry out an evaluation of the parties and the children, with a view to
making recommendations to the Court in relation to the access that the
Applicant should exercise to the children. This application was opposed by the
Respondent and the children themselves, and the application was subsequently
not proceeded with.
15. In
raising the issue of Maintenance, Counsel for the Applicant looked at the
effect of the Family Law (Divorce) Act, 1996 on the previous common law
position in relation to Maintenance. The position at common law was that on
marriage a husband became entitled to most of his wife’s property and in
return he was obliged to maintain her by providing her with necessaries.
16. Building
on this common law position however, the Judicial Separation and Family Law
Reform Act, 1989 and in turn the Family Law Act, 1995 and the Family Law
(Divorce) Act, 1996 have developed a more detailed statutory test in order to
determine what constitutes proper provision.
17. The
test as set out in Section 20 of the Family Law (Divorce) Act is as follows:-
18. Counsel
for the Applicant then went on to consider the approach of the Courts in
dealing with so-called “big-money cases” such as this one.
Big-money cases are those
19. Counsel
for the Applicant then went on to submit that a more circumspect approach was
advisable in Ireland, as our divorce legislation differed from the English
legislation in a number of ways. Firstly, there was the Constitutional
requirement that the parties must have lived apart for a period of four years
prior to the institution of proceedings. Counsel submitted that this
consideration directly impacts on whether the assets involved
20. Secondly,
Counsel for the Applicant argue that the thrust of amy of the big-money cases
in the United Kingdom was towards providing a “clean break” between
the spouses. There is no “clean break” provision in Irish law with
the Family Law (Divorce) Act, specifically providing for reviews of several
areas of ancillary financial relief and a continuous review of Maintenance and
lump sum awards. The Applicant submits that for this reason it would be wrong
to adopt the approach in
White
-v- White
as one might be tempted to make a clean division of the existing assets. He
drew attention to the fact that
McA
-v- McA
,
Mr. Justice McCracken made it clear that he regarded as a relevant factor the
periodic payments he was ordering, before making a lump sum in favour of the
Applicant.
21. Thirdly,
Counsel for the Applicant submit that the Court must consider the meaning of
the term “proper provision” in Section 20 of the Act. They submit
that the use of these words by the legislature indicates a desire in the
legislation that the Courts approach the issue from the point of view of
reasonable needs as opposed to the yardstick of equality. They submit that the
case of
White
-v- White
was decided within the context of the English equivalent to Section 20 which
makes no mention of proper provision but instead makes reference to placing the
parties in the same financial position they would have been in if the marriage
had not broken down.
22. As
regards the question or access, the Applicant seeks an Order pursuant to
Section 15(1)(f) of the Family Law (Divorce) Act, 1996. The Section provides
that on the
23. Counsel
for the Respondent drew attention to the case of
JD
-v- DD
(Unreported, High Court, 14th May, 1997) Mc Guinness J., in looking at the
issue of Maintenance in big-money cases considered the approach of the English
Courts to be persuasive. She stated at page 38:-
25. While
that case was under the Family Law Act, 1995 the principles remain largely the
same
26. The
Respondent submits that there is a sound basis for the Court having regard to
the English case law. However, she submits that two points need to be taken
into account before so doing; namely, the strong constitutional imperative
requiring adequate provision as exists in Irish law, and the fact that, unlike
the position in the United Kingdom, a spouse has a specific mathematical
entitlement to the estate of the other spouse. Counsel submit that the fact
that these specific succession rights are foregone on divorce means that a more
generous allocation should be afforded to the Respondent in this jurisdiction.
27. Counsel
also made reference the case of
McA
-v- McA
[2000] 1 IR 457. The Judgment of McCracken J. is the most significant example
of a big-money case since the enactment of the Family Law (Divorce) Act, 1996.
Here McCracken J. relied on the fact that the wife was to receive £1.2
million, a series of valuable properties and a lump sum of £300,000, in
making his Order that the wife transfer her share in the family company to her
husband. Counsel submitted however, that it is important to note that the
relevant passage was predicated on the finding of McCracken J. at page 14 that:-
28. In
that case it was accepted that there were significant limits to the extent to
which a financial burden could be placed upon the husband’s business,
without causing it significant harm. In addition, substantial Maintenance was
ordered in favour of the wife, notwithstanding that there were no continuing
dependent children.
29. Counsel
for the Respondent referred to the recent English case law of
White
-v- White
[2001] 1 All ER 1, HL. and
Cowan
-v- Cowan
[2001] 2 FLR 1, CA. and submitted that the Court should adopt a test similar to
that applied in the case of
Cowan
-v- Cowan
.
Firstly, they submit the Court should apply the statutory criteria as set out
in Section 20 of the Family Law (Divorce) Act, 1996. Secondly, in evaluating
the contributions of both parties to the welfare of the family, in accordance
with Section 20(2)(f), the traditional role of women in the home should not be
valued lower than that of the role of breadwinner, as to do so would be to
discriminate. Thirdly, assessment of assets should be at the date of trial or
appeal, except in circumstances where there had been a deliberate and reckless
wasting of assets. Finally, it is submitted that there must be an interaction
between the various Financial Orders, so that if the Court makes no, or a low
Maintenance Order, then that should be reflected in a correspondingly high lump
sum award.
30. Counsel
for the Respondent submit that the division of assets should not depart to a
large extent from broad equality for a variety of reasons. It is submitted
that:-
31. Applying
those principles, Counsel for the Respondent submit that the most advantageous
Order to all sides would be to order a specific capital sum to the Respondent.
Counsel for the Respondent submit that on an assessment of the parties total
net assets at £16 million, being £15 million to the Applicant and
£1 million to the Respondent, and applying the equality check recommended
in
Cowan
-v- Cowan
and
White
-v- White
,
that would require a capital transfer, by way of a lump sum, of £7 million
to secure equality. To apply another check, namely that of one third
inheritance entitlement, this would require a transfer of approximately
£4.4 million, to leave the Respondent with approximately one third of the
net assets. Counsel submit that the appropriate range of the Order is between
£4.3 and £7 million. They submit that because of the various
aforementioned factors it should be in the higher end of that range.
32. I
have had regard to the provisions of Section 20 of the Family Law (Divorce)
Act, 1996 in respect of the proper provision to be made for the spouse and
dependant boy and young man in this case.
33. Without
prejudice to the foregoing I have paid particular regard to all of the matters
contained in Section 22.
34. In
my view I have no difficulty with Section 22 ((a) through to (h)). This is a
family where the husband has assets in excess of £20,000,000 and the wife
has assets of some £1.15 million. In the later years of their married
life they enjoyed an exceptional standard of living.
35. I
note that immediately prior to the opening of this action the Applicant made an
open offer of £1,000,000 to the Respondent.
36. I
have been referred to a number of authorities beginning with
J
D -v- D D
McGuinness J. Therein at page 38 the opinion of the Judge is as follows:-
37. I
might add, in this case, that I do not see the making of a lump sum payment as
introducing the “clean break” concept into Irish law. In my view
it is making provision for the financial security of the Respondent. The
Applicant has, before order of this Court, established a second family
relationship and now has a daughter of same. What the future holds is
therefore uncertain from all parties points of view.
38. In
relation to the English authorities relied upon I have found them extremely
helpful and interesting. Where it is possible I ought to follow a decision of
the High Court. In this case I do follow the above judgment. The decisions of
the English Courts are of strong persuasive value warranting great respect and
evaluation. It goes without saying that they represented most interesting
assessments by leading English juris and I find them of assistance in this case.
39. The
decision of McCracken J. in
McA
-v- McA
is also of assistance as it deals with relief sought under the Judicial
Separation and Family Law Reform Act, 1989 and the Family Law Act, 1995 by the
Applicant therein and under the provisions of the Family Law (Divorce) Act,
1996 by the Respondent therein.
40. In
the decision of
P
O D -v- J O D
,
Budd J., there is a full assessment of the Irish and English authorities and I
note that the learned Judge has followed the decision of McGuinness J. in
J
D -v- D D
and therefore decided to divide the assets equally between the parties.
41. Turning
to the House of Lords decision in
White
-v- White
,
delivered on the 26th October, 2000, which was an appeal dealing with:-
42. Let
me say that those are sentiments I wholeheartedly concur with notwithstanding
the difference in law between the two jurisdictions.
46. Whilst
clearly distinguishing the above case as a “clean break” case, I
nonetheless find the principles therein enunciated as helpful in the
interpretation of Sections 22(1) and (2) of the Family Law (Divorce) Act, 1996.
47. Likewise
I make a similar assessment of the Court of Appeals decision in
Cowan
-v- Cowan
dated the 14th May, 2001 applying the
White
-v- White
decision. The extensive Opinions expressed therein highlight the need for a
thorough assessment of the criteria set out in the English statute by each
trial Judge.
48. On
one particular point I have no hesitation in following the Courts decision in
the above case, namely, that the assessment of assets must be at the date of
trial or appeal. I am much taken with the view expressed by Mance L.J. at page
43 of that report and accept the point and apply it in this case.
49. The
Applicant gave evidence and I accept same in most respects subject to the views
that I will express where that evidence is in conflict with the
Respondent’s evidence on three areas of conflict.
50. A
certified Chartered Accountant gave evidence. I accept his evidence as to the
nature of the Applicants tax sheltering arrangements. I note that he readily
admitted that his views, as to the future, was based on conjecture.
51. As
suited the running of the case, an accountant then gave evidence on behalf of
the Respondent.
53. Her
evidence was interposed with that of Mr. John Devlin, who gave evidence, for
the Applicant, as to the valuation of various properties.
54. The
Respondent gave evidence that she met the Applicant in 1978 and moved to the
North of Ireland in June, 1980 where she worked. The Applicant commenced
employment in 1980.
55. In
1984, the Respondent sold her Dublin home. She gave evidence as to her work
with the Applicant’s practice. He worked extremely hard and she was
anxious that he would succeed in his ambition. All her monies, from
employment, the sale of her Dublin home, and the £7,000 proceeds of a
personal injury claim went into the family fund.
56. She
detailed her seven pregnancies. In relation to her marriage, C was born in
1981, N was born in 1983 and D was born in 1989.
57. The
Respondent had seven pregnancies in all. P was born in 1985 and died at the
age of 7 months. J was born in 1987 and he was dead at birth. The Respondent
had two miscarriages in 1982 and 1986.
58. From
1980 until 1989 the Respondent gave evidence that she worked as aforesaid.
Thereafter she took 1 year leave of absence. Finally she resigned from that
position in 1993 having commenced in private practice at that time. In 1994,
she obtained her membership.
59. There
is no great dispute as to the purchase of the various properties between the
parties. I note that the Respondent was adamant that the purchase of one
property was with a view to its being the family home.
60. The
Respondent considers the crisis in the family affairs to have come to a head in
1994. The Applicant had gone to London after Christmas in 1993 and she
thereafter noticed a changed attitude on his return from that vacation and
during the months of 1994 up to August, 1994.
61. The
Respondent and the three children went to Dublin in or about the 21st August,
1994. The Applicant phoned each evening. On their return to the family home,
the Applicant had left, the family home taking his belongings with him.
63. The
Respondent says that from the time of the Applicants departure until 1996, a
state of affairs existed whereby the Applicant would visit, virtually on a
daily basis and regularly have his evening meal.
64. All
of this changed with the Applicants admission in December, 1996 that he was
having an affair with a member of his staff. Up to that time the Applicant had
open access to the family home, to his children, to his wife and was fed on a
regular basis.
65. Thereafter
the Respondent considered herself and the children demeaned and ridiculed, as
the family were well known in the town and locality. She also gave as evidence
as to the objection to the divorce proceedings herein. Whilst seeking to
establish her medical practice, it was of limited income and she has assets of
£1.15 million.
66. An
Accountant gave evidence of the Respondents accounts. I note these figures and
will relate to them later in due course.
68. Mr.
Philip Shier, an Actuary, gave evidence in relation to the Applicants pension
policies based on values provided by the respective insurance companies.
70. Both
set out in their marriage as two ambitious people. The Respondent made a very
special financial contribution to that marriage. Her income was certain. It
and the funds from the sale of her Dublin house and the damages for her
personal injury claim went
71. I
take the view that up until 1989, the parties had common cause in developing
and increasing their wealth. I think it likely that the Respondent assisted to
some substantial degree in establishing her husbands practice. For his part
the Applicant gave a total commitment to establishing a thriving practice. It
is likely that those efforts, achievements, and disappointments were likely to
have created a somewhat volatile relationship up until the early 1990’s.
72. From
1990 to August, 1994 the marriage was deteriorating on the evidence. I
consider the Respondents evidence in respect of this period to be more probable
then that of the Applicants. The Applicant had a number of affairs during this
time which I believe he admitted to and he was of the view that the marriage
was over without so much as telling the Respondent of this fact. I think it
unlikely that the Respondent should have been so traumatised by the Applicants
admission of infidelity in or about December, 1998. Had there been a clear
understanding between both parties as to their respective positions on the
viability of the marriage and the fact that the Applicants behaviour indicated
in his view that it was over and in relation to the Respondent that she was
unaware of this fact.
74. I
accept the evidence of the Applicant and the Respondent as to the historic
development of their marriage. Both are strong and self willed personalities
and will have their day in Court.! They chose each other as partners and I do
not see the need for proffering one to the other - apart from the specific
views I have taken on their evidence as indicated above.
75. Turning
to the provisions for the Respondent, the infant and the second son, which I
consider proper having regard to the Applicants claim for a decree of divorce,
and
76. Subject
to that important reservation I am impressed with the case, the evidence, and
the submissions made by and on behalf of the Respondent and do accept them.
77. The
expert witnesses called on behalf of each party seems to me to be in general
agreement as to the extent of the financial standing of both parties. I
therefore take the view that the Applicants assets are worth in or around
figures some £20 million. The Respondents assets on a like basis are to
be valued in or about the sum of £1.15 million.
78. One
outstanding matter that has given me much difficulty is the specific provision
of Section 20(2)(i) of the Family Law (Divorce) Act, 1996. It seems to me on
the evidence that I am obliged, in exercise of the discretion which undoubtedly
arises, to take it into account. In doing so this creates a further
difficulty, namely how to quantify it and in this regard I note that the
particular provision does not offer any formula for its proper assessment. I
note that McGuinness J. in her Judgment and McCracken J. in his Judgment did
not deal with this aspect.
79. In
these circumstances I propose, from a monetary point of view to deal with it by
way of what I consider to be a proper adjustment of pension provisions in
favour of the Respondent.
80. Finally,
and of significance, I note that the Applicant is in a new relationship and has
a baby daughter born during the hearing of this case. It seems to me to be a
81. Having
regard to the foregoing and conscious that I ought to take a conservative view
of such “lump sum” for the reasons stated, I propose to award the
Respondent the sum of £5 million without the payment of continuing
Maintenance, in the special circumstances of this case.
82. To
the infant D, I will allow a sum of £800 per month Maintenance until he
attains the age of 18 years or continues into third level education. To the
two eldest sons, who remain as dependants I will, at this stage, make no Order
in the hope that their financial requirements are understood by and discussed
with the Applicant. There will be liberty to apply in relation to this matter.
83. In
respect of the pension provisions as set out in the Delaney Bacon and Woodrow
Report dated the 10th July, 2001, I would have been disposed to divide this to
the Applicant as to 49% and the Respondent as to 51%. However, having regard
to the view I have expressed as to the taking into account of Section 20(2)(i)
of the aforesaid Act of 1996 I will in deference to my findings thereunder
allow a finding of 45% to the Applicant and 55% to the Respondent.
84. Steps
will have to be taken by the Respondent and the Applicant to give effect to
this Ruling on this aspect of the case and I propose to put the matter, on this
issue, back until same has been done.
85. It
is agreed that the two eldest sons and the Applicant will find their own
accord. I am therefore concerned with D’s position. He was born in
1989. He is now 12¹/
12
years of age.
86. In
the absence of appropriate reports I interviewed D and the second son N. The
eldest son was abroad as befits a third level student of his age.
87. I
was impressed by both. They are a credit to themselves and their parents.
This boy, D, was 7
8/12
years of age when he first became aware of the trauma between his parents. He
is an able young man. Intellectually and as a sportsman, he is very able. He,
understandably, has problems about his parents break-up.
88. In
the Applicants Special Summons the Applicant sought an Order for a proper
assessment to be carried out with a view to the custody and access of both
parties to that child.
89. An
application under Section 49 of the Act was issued. Due to the Respondents
determined opposition this was, unfortunately, not proceeded with.
90. In
my view, if ever the Court require the assistance of professional qualified
persons in Child Care - this was patently one of many. The Respondents
assertion that she took appropriate qualified medical opinion on this matter
leaves me in doubt. Not that she may have consulted but she, the unfortunate
woman, was so appalled at the Applicants behaviour she acted and said no.
91. It
is clear that the anguish suffered by D. was enormous by 1996. It is and will
remain so and, doubly so since the arrival of his fathers daughter. Children
such as D need appropriate qualified professional help in circumstances such as
this. I am satisfied that it was my duty to interview both D and N. It was an
enriching experience. It has however, left me with a dilemma. May I, without
such professional help move to make a determination on access between a 12 year
old boy and his estranged father in the circumstances of this case. I think
not: Having given the matter much consideration I have come to the conclusion
that an appropriate report is not only necessary to enable this Court determine
the appropriate access between D and his father - it is, in my view, essential.