High Worth Foreign Divorces Likely to Increase

The case of Golubovich v Golubovich has helped highlight how significant the English jurisdiction is for claiming spouses, as a result of the higher awards that are handed out when compared to other countries.

The Court of Appeal in this case held that the wife was entitled to a £2.85 million ancillary relief (financial) award. The husband had argued that the amount was out of proportion to their 18-month marriage; that his wealth came from his parents and should not be held as matrimonial assets; and that the English courts had no jurisdiction. The Court of Appeal rejected these arguments.

This is a case with a protracted history. Essentially however, the wife, who was habitually resident in the UK and supporting a child from the marriage, filed for divorce in the UK in 2009. The husband, who was the son of wealthy Russian businesspeople, then claimed he had dissolved the marriage in Moscow. This was revealed to be untrue. The husband promised the UK courts he would not return to Moscow. He did return and had the marriage dissolved. The wife filed for refusal of recognition of the divorce and the High Court agreed with her on public policy grounds, and as a result of the husband’s dishonest behaviour. The Court of Appeal disagreed, as the Moscow divorce had no procedural problems.

However the wife then succeeded in an application to the Court of Appeal for permission to bring her financial claim in the UK, resulting in her £2.85 million award.

The case helps highlight the importance of (or the lack of) inter-jurisdictional communication. In this case both parties exploited this to slow down each other’s proceedings considerably. It was also interesting in that, although the divorce was granted in Russia, it was a hollow victory for the husband once the wife was granted permission to have the finances fought over in England. The UK continues to be the country of choice for claiming spouses.

Elizabeth Bettes

Published on 09/05/2011