A Guide for Financial and Child Arrangements Orders

Family mediation is a constructive way to resolve disputes, and it culminates in the preparation of essential documents that help formalise agreements. These documents are crucial for both financial cases and child arrangements cases, providing clarity and efficiency in legal proceedings. Below, we explore the different types of documents produced, their usefulness for clients, and how they significantly reduce the time, effort, and cost associated with legal processes.

Financial Cases

1. Memorandum of Understanding (MOU):
2. Purpose: Summarises the agreements reached during mediation.
3. Usefulness: Provides a clear record of decisions regarding asset division, property, savings, pensions, and debts. It ensures both parties are on the same page.
4. Cost Efficiency: Reduces the need for extensive legal drafting, as solicitors can use the MOU to create a legally binding agreements and documentation swiftly, for example a Consent Order (see below ‘Consent Orders’).
5. Financial Statement:
6. Purpose: Details each party's financial circumstances, including income, expenses, assets, and liabilities.
7. Usefulness: Offers a comprehensive overview necessary for informed decision-making and court approval.
8. Cost Efficiency: Simplifies the disclosure process, saving solicitor time and reducing associated costs.

Child Arrangements Cases

1. Parenting Plan:
2. Purpose: Outlines the agreed-upon arrangements for child custody, visitation schedules, holidays, and communication.
3. Usefulness: Provides a structured plan that prioritises the child's welfare and minimises conflict.
4. Cost Efficiency: Establishes clear guidelines that reduce the need for (extensive) legal intervention, lowering costs.
5. Child Arrangement Order Draft:
6. Purpose: Prepares the framework for a court order regarding child custody and access.
7. Usefulness: Ensures both parties understand the agreement's specifics, making it easier for the court to formalise the arrangements.
8. Cost Efficiency: Accelerates the court process by providing a ready-to-use draft, saving legal fees and time.

The Role of Session Summaries in Mediation

Most mediators will provide a summary at the conclusion of each mediation session. These summaries are intended for participants to reflect on the session's discussions and plan for the next meeting. They offer a concise recap of what was covered, the agreements reached, and any outstanding issues that need further consideration. Additionally, these summaries are incredibly helpful for solicitors, as they provide a clear, concise written record of progress made. This not only keeps all parties informed but also saves the time and expense of a lengthy meeting to update solicitors, making the entire mediation process more efficient and cost-effective.

Consent Orders and Their Necessity in Divorce Proceedings

A consent order is a legal document that makes an agreement between divorcing parties legally binding. It covers financial arrangements such as the division of assets, property, pensions, and child maintenance. A consent order is only necessary or desirable if divorce proceedings are already underway. This is because a consent order can only be issued by a court within the context of a divorce, making the financial settlement legally enforceable. Without a divorce, the court has no jurisdiction to enforce such agreements, which means they cannot be converted into a consent order. Therefore, if you are in the midst of a divorce, obtaining a consent order ensures that your financial agreement is legally recognized and enforceable, providing both parties with legal security and peace of mind. 

Paperwork for Cohabiting Couples or Those Separating Without Divorce

For cohabiting couples or those who are separating without initiating divorce proceedings, different types of paperwork may be more appropriate. One key document is a separation agreement. This agreement outlines the terms of the separation, including how assets, debts, and any child arrangements will be handled. While not legally binding in the same way as a consent order, a separation agreement can be persuasive in court should any disputes arise later. It demonstrates that both parties agreed to certain terms at the time of their separation.

Other helpful paperwork might include parenting plans, which detail arrangements for the care and upbringing of children, and financial agreements, which cover how ongoing expenses and support will be managed. These documents can provide clarity and structure, helping to prevent conflicts and misunderstandings as the parties navigate their new circumstances. For couples separating on the basis that a joint property will be sold at a later date, independent legal advice (for example a TOLATA or MESHER agreement) will be important.

Benefits for Clients and Solicitors

By understanding and utilising the appropriate paperwork, parties can ensure a smoother transition and a more stable future for all involved.

These documents, which are produced very efficiently through the mediation process, are invaluable for clients and they provide a clear, agreed-upon record of their decisions. They ensure that all participants have a mutual understanding of the arrangements, reducing the likelihood of future disputes. For solicitors, these documents significantly streamline the legal process, as solicitors can avoid the lengthy and costly process of gathering information and negotiating terms from scratch.

Cost-Effective and Efficient Resolution

Ultimately, the documentation prepared through mediation forms the basis of court documentation, making it a fast, efficient, and cost-effective way to formalise agreements. Courts require clear and unambiguous records to approve consent orders and child arrangements orders. Mediation documents meet this need, reducing the time and effort required by the court and legal representatives.

By choosing mediation and preparing these essential documents, clients not only benefit from a more amicable resolution process but also experience significant cost savings. The clarity and efficiency provided by these documents ensure a smoother transition through the legal system, helping all parties move forward with confidence and peace of mind.

For further guidance or to schedule a MIAM, please click here. 

To find out more about how Latitude Mediation can support you after you have made the decision to move forwards, get in touch here or email info@latitudemediation.co.uk.