
Apparently, ‘what’s yours is mine’ does not apply to gifted assets, who knew? In a landmark decision that could reshape financial proceedings on divorce, the UK Supreme Court has handed down judgment in Standish v Standish, clarifying how courts should treat gifts and inherited assets acquired prior to marriage.
This ruling is now a key authority on the classification of non-matrimonial property, with important consequences for divorcing couples and anyone considering pre- or post-nuptial financial planning. Turns out, ‘what’s mine is yours’ has a few legal caveats.
Background: The Dispute
The case centred around a high-net-worth divorce in which one party had received substantial gifts from family members prior to the marriage. These assets, which were used to acquire property and investments, were later disputed in the financial settlement.
The trial judge had originally included the gifted assets in the matrimonial pot, citing intermingling and the long duration of the marriage. The Court of Appeal upheld this view.
However, the Supreme Court disagreed.
The Supreme Court clarified that:
In Standish, the gifted assets were kept largely separate and not used as joint funds. The Court ruled that they should not be included in the matrimonial pot for division.
What This Means for Clients
This decision reaffirms a more structured approach to dividing assets on divorce, particularly where family gifts or inheritance are involved. It highlights the importance of:
Our Perspective
At Duncan Lewis Solicitors, we welcome the clarity that Standish v Standish brings to an area that has long created uncertainty in family law.
Clients with complex family wealth, intergenerational gifting, or business assets should take this decision into account when planning for marriage or dealing with separation. Likewise, it offers reassurance to parents and relatives who wish to gift property without fear it will be lost in future divorce proceedings.
Need Advice?
If you're going through a divorce or planning how to protect your assets, our specialist Family Law team is here to help. We offer clear, pragmatic advice on:
Contact us today to speak to a member of the team in confidence.
About the Author
Solicitor and Supervisor Jaspreet Rai specialises in private divorce and matrimonial finance matters, with significant experience advising on the division of assets following the breakdown of marriage. Jaspreet advises in high net worth divorce matters, including those with an international element, and also assists clients with pensions and other assets.
For comprehensive guidance and expert representation in high-net-worth divorce cases, contact Jaspreet Rai at JaspreetR@duncanlewis.com or via telephone on 020 7275 2569.