A Legacy Intact: safeguarding your family business in the event of divorce - Book - Page 30
THE MOVE TOWARDS GREATER
T R A N S PA R E N C Y I N T H E FA M I LY C O U R T S
MEANS THERE IS NO ASSURANCE TH AT
FINANCIAL PROCEEDINGS REL ATED TO
MARITAL BREAKDOWN WILL BE PRIVATE,
AND DETAILS COULD BE REPORTED
P U B L I C LY
There is an absolute duty on the
Shareholder spouses need to be
parties to disclose their assets
aware that it is all too easy to
in a full, frank, clear and up-to-
inadvertently waive privilege, and
date manner whether such assets
whilst legal professional privilege
are marital or non-marital. For
protects
spouses with business interests,
between a professional legal adviser
this involves providing full details
and their client from being disclosed
of such interests and of the level
without
of income received from the same
client, communications between a
(full details of the dividends they
family office and shareholders, for
have received over recent years
example, may not be privileged in
would need to be disclosed). Known
the event of a shareholder suffering
imminent
prospects
a marital breakdown. It is vital for
would also need to be included.
shareholders and their families to
inheritance
all
the
communications
permission
of
the
try to ensure, wherever practical,
The duty of disclosure continues
that
throughout the proceedings: if a
documentation remain private and
party knows that their financial
are less likely to be discovered in
situation
since
any matrimonial litigation and that
providing their original disclosure,
care is taken not to inadvertently
they must inform the other party and
waive any privilege that does exist.
has
changed
their
communications
the Court at the earliest opportunity.
30
A LEGACY INTACT - EXPOSURE
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