Tim* came to Tees for advice after his former partner, Betty*, made an application under Schedule 1 of the Children Act for financial support for their daughter, Alice*. When Alice was about six months old, Betty moved abroad without Tim’s agreement.
Tim wanted to remain an active part of Alice’s life. However, he didn’t want to expose either her or Betty to a lengthy and potentially stressful court battle over her return or living arrangements.
After relocating, Betty applied for financial support for Alice. Mediation had already been attempted but hadn’t worked. On receiving Betty’s application, we talked to Tim about arbitration: often a faster, private alternative to court. Both parties agreed to engage in the process.
Tim’s financial position was far stronger than Betty’s; he had a salary of £175,000 and assets of £1 million, whereas Betty had no income or capital. She requested £575,000 in capital, £2,800 per month in maintenance, and private nursery and school fees. Tim offered £141,000 towards housing costs, £1,000 a month in maintenance and up to £350 for nursery fees.
There was a clear gap between their positions, with key points of disagreement including the cost of buying a two-bedroom home in the country where Betty and Alice had moved and the cost of everyday items, such as food.
At the arbitration hearing, the arbitrator found that Tim’s offer better reflected the needs of the child. He felt Betty’s figures were based on high-end property prices and didn’t reflect the realistic cost of living in the local area. The arbitrator concluded that the cost of living was significantly lower than in the UK and their decision was closer to Tim’s approach.
Choosing arbitration meant both parents avoided the drawn-out and costly court route. With the right advice and a focus on the best outcome for the child, the process remained constructive. Tim had strong legal representation and a suitable arbitrator in place – thanks to our team’s specialist knowledge and practical, strategic advice.
If you or someone you know could do with expert family advice, get in touch with any of our Family law team.
*Names have been changed to protect the privacy of our client.
