Personal

Cohabitation & Declaration of Trust

If you are living with someone or thinking about moving in with a partner, a cohabitation agreement can ensure that your interests are protected. Unmarried couples have far fewer rights than married couples, and if you purchase a property with your partner, it is important to understand the legal impact that it may have.

At Glanvilles, our expert cohabitation solicitors can discuss cohabitation and declaration of trust and ensure that any investment you make in a property is safeguarded. Our family law team are highly experienced and we will ensure that you fully understand your situation and that you have the documentation you need, which could include a cohabitation agreement, a declaration of trust, and an up-to-date Will.

Get in touch with our declaration of trust and cohabitation solicitors

To speak to a cohabitation and declaration of trust solicitor in West Sussex and Hampshire, contact your local branch in ChichesterFarehamHavant or Petworth.

Alternatively, you can fill in our online enquiry form and a member of our team will be in touch shortly.

How our cohabitation solicitors can help

Our experienced declaration of trust and cohabitation agreement solicitors offer a full range of legal services for unmarried couples. Matters with which we can assist include:

  • Advice on unmarried couples legal rights
  • Preparing a cohabitation agreement
  • Drafting a declaration of trust
  • Representation in cohabitation property disputes
  • Ensuring you have the right Will in place

What are the rights of unmarried couples living together?

When a couple live together but are not married or in a civil partnership, their legal rights are minimal. Unlike a married couple, there is no chance of financial support and no claim can be made against a partner’s assets, except in certain instances when one party has put money into a shared property.

If children are involved, the person with their main day-to-day care will usually be entitled to child maintenance, which is different to spousal maintenance. No maintenance can be claimed by an unmarried individual on their own behalf.

Even if a property is shared, it may not pass to an unmarried partner on the death of the other partner.

The lack of cohabitation rights means you should consider your position early on and, where necessary, take steps to ensure you have the right documents in place to protect your position.

Are you entitled to anything if you’re not married?

If you are not married or in a civil partnership, then should you and your partner separate, your assets will generally be retained by the person with legal ownership of them. For example, if you purchased a car and it is registered in your name, it will be considered to be your property.

Who gets the house when an unmarried couple splits up in the UK?

Cohabiting rights to a property when an unmarried couple separates will depend on certain factors, including:

  • Whether there is a cohabitation agreement in place
  • Whose name the property is registered in
  • If the property is jointly owned, then what type of joint ownership you have
  • What contributions each party has made to the property and the basis on which these contributions were made

If you have a cohabitation agreement, which can be thought of as a cohabitation contract, then you can usually expect the courts to follow its terms provided certain criteria are met.

Where a property is jointly owned, then you and your former partner will split the sale proceeds in accordance with your ownership. If you own the property as joint tenants, you can expect half of the sale proceeds. If you own the property as tenants in common, then the declaration of trust will determine what share you receive. This declaration will be included in the original transfer of the property or in a separate declaration of trust deed.

If the property is in the sole name of your former partner, you would need to show that there was an understanding that you would have a share of the property in order to make a claim.

This is known as a claim under the Trusts of Land and Appointment of Trustees Act 1996 (TOLATA). You would need to show that you contributed towards the property or paid household bills so that your partner could pay the mortgage and that this was on the understanding that you would have a share of the property.

What is a cohabitation agreement?

A cohabitation agreement is a contract entered into by a couple before or during the time they live together. It generally includes an agreement over how assets and liabilities will be shared, both during the cohabitation and in the event that the couple separates.

Cohabitation agreements provide a level of certainty and can help a couple deal with difficult financial issues openly and honestly early on, avoiding the sorts of misunderstandings and disputes that can arise over time.

The courts will usually follow the terms of a cohabitation agreement if asked to do so, providing that:

  • Full financial disclosure was made by both parties before the agreement was signed
  • Both parties took independent financial advice before signing
  • The document was correctly drafted and executed as a deed
  • Both parties intended the agreement to be legally enforceable
  • Both parties entered into the agreement of their own free will

The terms of the agreement should be fair and should be reviewed in light of any major life changes.

What is a declaration of trust?

A declaration of trust or agreement of trust is a statement setting out how a property or other asset is owned. A declaration of trust for property is particularly useful if two people buy a home together and one puts in more money than the other. For example, if one party contributes 75% of the purchase price, the property can be held as tenants in common with a declaration of trust stating each party’s share.

This means that when the property is sold, the parties will be entitled to the percentage stated in the declaration of trust.

Can a declaration of trust be challenged?

There is scope to challenge a declaration of trust on the following grounds:

  • Undue influence, where one party was coerced into signing by someone who held sway over them
  • Misrepresentation, where one party was misled about the facts of the situation
  • Duress, where one party was pressured into signing
  • The declaration of trust deed was not correctly drafted or executed
  • One party lacked the mental capacity to enter into a legally binding agreement

How long does a declaration of trust last?

Unless it states otherwise, a declaration of trust lasts indefinitely. In practice, it will usually end when the asset to which it refers is sold and the proceeds divided in accordance with the declaration.

Why choose Glanvilles for help with declaration of trust and cohabitation laws in the UK?

Recognition of our expertise

  • We hold the Law Society’s Family Law Advanced accreditation
  • Our team includes a member of Resolution, the expert family law group for family law solicitors committed to resolving disputes constructively and with minimal conflict
  • We hold the Law Society’s Lexcel accreditation in recognition of our high standards of client care, compliance and practice management
  • We hold the Law Society’s Wills and Inheritance Quality Scheme accreditation in recognition of our adherence to the Society’s best practice standards and the provision of quality Wills and estate administration advice

For more information on our services and expertise, see our family law solicitors page.

The Glanvilles’ client service promise

When you use our cohabitation and declaration of trust service, we promise:

  • Our staff will be friendly, respectful and attentive.
  • Your concerns will be listened to, your questions answered and your options explained in plain English.
  • The cost of dealing with your requirements will be made clear to you from the outset.
  • We will answer your phone calls and emails promptly.
  • We will keep you regularly updated at all times.

Get in touch with our cohabitation agreement solicitors

You can contact one of our cohabitation agreement solicitors about declarations of trust and cohabitation in West Sussex and Hampshire at your local branch in ChichesterFarehamHavant or Petworth.

Alternatively, you can fill in our online enquiry form and a member of our team will be in touch shortly.