Divorce Buyout Agreement Template for England and Wales

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Key Requirements PROMPT example:

Divorce Buyout Agreement

"Need a Divorce Buyout Agreement where I will purchase my ex-spouse's 50% share in our family home valued at £450,000, with payments to be made in three installments between January and June 2025."

Document background
A Divorce Buyout Agreement is utilized when divorcing parties in England and Wales wish to achieve a clean break in their financial relationship. This document is particularly relevant when one spouse wishes to retain specific assets (such as the family home or business) and compensate the other spouse with a lump sum or structured payments. The agreement must comply with the Matrimonial Causes Act 1973 and consider tax implications, pension arrangements, and property law. It typically includes detailed provisions for payment terms, asset transfers, and mutual releases of future claims.
Suggested Sections

1. Parties: Identification and details of both parties to the agreement

2. Background: Context of marriage, divorce proceedings, and reason for buyout

3. Definitions: Key terms used throughout the agreement

4. Buyout Terms: Specific financial terms of the buyout arrangement

5. Payment Terms: Payment schedule, method, and conditions

6. Release of Claims: Mutual release of future financial claims

7. Governing Law: Confirmation of jurisdiction and applicable law

Optional Sections

1. Property Transfer Provisions: Used when real property transfer is part of buyout arrangement - includes details of property transfer, registration requirements, and associated obligations

2. Pension Arrangements: Details of pension sharing or offsetting arrangements, including implementation period and pension sharing orders

3. Tax Indemnities: Provisions for tax liability allocation between parties and associated indemnities

4. Business Interests: Provisions regarding shared business interests, including valuation and transfer arrangements

Suggested Schedules

1. Schedule 1: Asset Schedule: Detailed list of assets subject to buyout arrangement

2. Schedule 2: Payment Schedule: Detailed payment terms and dates if installment payments are agreed

3. Appendix A: Property Details: Property specifications and legal description if real estate is involved in the buyout

4. Appendix B: Pension Valuations: Pension valuations and actuarial calculations if pensions are included in the buyout

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant Industries
Relevant Teams
Relevant Roles
Industries

Matrimonial Causes Act 1973: Primary legislation providing the legal framework for divorce and financial settlements, particularly sections 23-25 regarding financial provision orders

Family Law Act 1996: Key legislation containing relevant provisions for property and financial arrangements in divorce settlements

Matrimonial and Family Proceedings Act 1984: Contains provisions regarding financial relief after divorce proceedings

Land Law Act 1925: Relevant when property transfer is involved in the divorce buyout agreement

Trusts of Land and Appointment of Trustees Act 1996: Applicable legislation for property held in trust or joint ownership during divorce settlements

Family Procedure Rules 2010: Sets out the procedural requirements for financial orders in divorce proceedings

White v White [2000]: Landmark case law establishing the principle of equality in divorce settlements

Miller v Miller; McFarlane v McFarlane [2006]: Key case law establishing the principles of needs, compensation, and sharing in divorce settlements

Capital Gains Tax Considerations: Tax implications that must be considered when transferring assets as part of a divorce buyout

Stamp Duty Land Tax: Tax considerations specific to property transfers in divorce settlements

Income Tax Implications: Consideration of income tax consequences of financial arrangements in divorce settlements

Pension Sharing Orders: Legal framework for dividing pension assets as part of divorce settlement

Pension Protection Fund Requirements: Regulations regarding protection of pension rights during divorce settlements

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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