Jonathan Hughes
Partner | Legal
Jersey
Partner
Jersey
Big things are happening at Ogier. Change is embedded in everything we do. It is redefining our talent, our ways of working, our platforms of delivery, our culture.
Services
We have the expertise to handle the most demanding transactions. Our commercial understanding and experience of working with leading financial institutions, professional advisers and regulatory bodies means we add real value to clients’ businesses.
Sectors
Our sector approach relies on smart collaboration between teams who have a deep understanding of related businesses and industry dynamics. The specific combination of our highly informed experts helps our clients to see around corners.
We have the expertise to handle the most demanding transactions. Our commercial understanding and experience of working with leading financial institutions, professional advisers and regulatory bodies means we add real value to clients’ businesses.
Legal
Corporate and Fiduciary
Consulting
Banking and Finance
Corporate
Dispute Resolution
Employment law
Intellectual Property
Investment Funds
Listing services
Local Legal Services
Private Wealth
Property law
Regulatory
Restructuring and Insolvency
Tax
Banking and Finance overview
Asset Finance
CAYLUX Fund Finance
Debt Capital Markets
Derivatives
Fund Finance
Islamic Finance
Leveraged Finance
Listing services
Real Estate Finance
Regulatory
Restructuring and Insolvency
Structured Finance
Sustainable Finance
Corporate overview
Economic Substance
EIIS Services in Ireland
Equity Capital Markets
Insurance and Reinsurance
Listing services
Mergers and Acquisitions
Private Equity
Real Estate Structuring, Acquisitions and Disposals
Regulatory
Technology and Web3
Dispute Resolution overview
Banking Disputes
Corporate and Financial Services Disputes
Crypto Disputes
Enforcement of Judgments and Awards
Fraud and Asset Tracing
Funds Disputes
Insurance Disputes
International Arbitration
Regulatory
Restructuring and Insolvency
Section 238 Shareholder Appraisal Rights
Shareholder and Valuation Disputes
Trusts Disputes and Applications
Investment Funds overview
Hedge Funds
Managers and Sponsors
Private Equity
Real Estate, Infrastructure and Energy Funds
Regulatory
Sustainable Investing and Impact Funds
Technology and Web3
Local Legal Services overview
Cayman Local Legal Services
Channel Islands Local Legal Services
Ireland Local Legal Services
Employment law
Estate Planning, Wills and Probate
Expat services
Family Office
Intellectual Property
Make your Guernsey will online
Make your Jersey lasting power of attorney online
Make your Jersey will online
Notary public services
Relocating your business
Relocating your family
Property law
Accounting and Financial Reporting Services - Ogier Global
Cayman Islands AML/CFT training - Ogier Global
Corporate Services - Ogier Global
Debt Capital Markets - Ogier Global
Fund Services - Ogier Global
Governance Services - Ogier Global
Investor Services - Ogier Global
Ogier Connect - Ogier Global
Private Wealth Services - Ogier Global
Real Estate Services - Ogier Global
Regulatory and Compliance Services - Ogier Global
Our sector approach relies on smart collaboration between teams who have a deep understanding of related businesses and industry dynamics. The specific combination of our highly informed experts helps our clients to see around corners.
Ogier provides practical advice on BVI, Cayman Islands, Guernsey, Irish, Jersey and Luxembourg law through our global network of offices across the Asian, Caribbean and European timezones. Ogier is the only firm to advise on this unique combination of laws.
Keep up to date with industry insights, analysis and reviews. Find out about the work of our expert teams and subscribe to receive our newsletters straight to your inbox.
Fresh thinking, sharper opinion.
We get straight to the point, managing complexity to get to the essentials. Our global network of offices covers every time zone.
No Content Set
Exception:
Website.Models.ViewModels.Components.General.Banners.BannerComponentVm
Insight
12 April 2016
Jersey
Buying a property with a partner is not always as straightforward as you might think.
Couples buying a property together often make different contributions. Perhaps one has the entire deposit to put down, or each contributes a different amount towards joint mortgage repayments. It can also be the case that only one has the required housing qualifications to buy the property, meaning that a freehold purchase will have to be in his or her sole name. Or, one of the couple might have children and wish to safeguard their inheritance.
In such circumstances careful thought should be given as to how to structure the ownership of the property and whether it would be a sensible precaution to draw up an agreement to record what should happen to the property, and any sale proceeds in the event that the couple go their separate ways, or one of them dies. These are often referred to as Equity or Cohabitee agreements.
Freehold and flying freehold properties are often bought jointly and for the survivor of the parties, so that if one party dies the property will automatically vest in the survivor. An alternative, which is less used, is that the couple buy the property as tenants in common. This enables them to own a fractional share in the property, which can be left to third parties in the event of death, and does not automatically vest in the survivor. This may be most appropriate where one or both have children from a previous relationship and they wish to ensure those children inherit their interest in the property. In such circumstances, careful consideration needs to be given as to what would happen to the survivor of the couple. This option is not available to people buying share transfer property as it is usual for shares to be held jointly for the survivor, and therefore for the survivor to have a legal entitlement to have the shares put in his or her sole name.
An agreement can provide for many scenarios and must be tailored to specific circumstances. Wills should also be put in place to reflect the intent of the agreement. Each party should be independently advised so that he/she fully understands his/her exposure and the protection afforded both in terms of the property ownership, the mortgage obligations and the division of sale proceeds.
It is important to remember that the effectiveness of an agreement is only put to the test if the couple separate and have to rely upon it. At this point they need the agreement to clearly provide for what will happen. This could be many years after the agreement was made and their circumstances may have altered. For example, the couple may have had a child, one of them might have given up work to care for the child and is no longer contributing financially, or the contributions may have altered because one person has increased their earnings and has been paying more than the other.
In the event of a significant change in circumstances it is advisable to revisit the agreement and make any updates that are required to reflect the current position, as a dispute can be costly to resolve. In the event of dispute, ultimately the court, while taking note of the content of the agreement, will make an order to meet the justice of the case. It would not uphold an out-dated and/or unjust agreement.
Such a case came before Jersey’s Royal Court for the first time in 2012. In that case the property was purchased in the housing-qualified party’s sole name. The couple remained together for some 10 years, during which time they had two children and the mother stopped contributing to the mortgage but paid other expenses in lieu. The agreement no longer reflected the changed circumstances. Some six years after their separation the father sold the house and retained the whole proceeds. The court determined that the father had been unjustly enriched and awarded the mother 40% of the sale proceeds.
For an informal chat to discuss any of the above, please do not hesitate to contact Jonathan Hughes at Ogier on +44 1534 514336 or jonathan.hughes@ogier.com
Jonathan Hughes
Partner | Legal
Jersey
Partner
Jersey
Ogier is a professional services firm with the knowledge and expertise to handle the most demanding and complex transactions and provide expert, efficient and cost-effective services to all our clients. We regularly win awards for the quality of our client service, our work and our people.
This client briefing has been prepared for clients and professional associates of Ogier. The information and expressions of opinion which it contains are not intended to be a comprehensive study or to provide legal advice and should not be treated as a substitute for specific advice concerning individual situations.
Regulatory information can be found under Legal Notice
Sign up to receive updates and newsletters from us.
Sign up
No Content Set
Exception:
Website.Models.ViewModels.Blocks.SiteBlocks.CookiePolicySiteBlockVm