What is a Clean Break Order?
A clean break order is a specific type of financial order made by the court during divorce proceedings in England and Wales. Its main purpose is to end all financial ties between former spouses, ensuring that neither party can make further financial claims against the other once the order is in place. This includes claims for income, property, pensions, or any other financial assets.
Once a clean break order is granted, both individuals are free from future financial obligations to each other. This means that, after divorce, neither person can return to court to ask for more money, maintenance payments, or a share of future earnings or inheritances. The finality provided by a clean break order allows both parties to move on with their lives independently, without the worry of ongoing or unexpected financial demands.
Clean break orders are often seen as a way to achieve a complete and final settlement, making them a popular choice for couples who want certainty and closure. However, it’s important to understand that a clean break order can only be made if both parties’ financial needs can be met at the time of the divorce. For example, if one spouse requires ongoing financial support (such as maintenance for themselves or children), a clean break order may not be suitable until those needs are addressed.
A clean break order can be part of a wider financial settlement, which might also involve dividing assets like the family home, savings, or pensions. To see how clean break orders fit into the broader process, it’s helpful to look at the types of financial orders available during divorce.
If both parties agree on how to divide their finances, they can apply to the court for a clean break order as part of a financial order. The court will review the agreement to ensure it is fair before making it legally binding.
In summary, a clean break order provides peace of mind by ensuring that, once your divorce is finalised and the order is approved, there are no lingering financial connections between you and your former spouse. This can be a crucial step in achieving a fresh start after the end of a marriage.
Benefits of a Clean Break Order
Benefits of a Clean Break Order
A Clean Break Order offers several important advantages for couples going through a divorce in the UK. Understanding these benefits can help you decide whether this type of financial settlement is right for your circumstances.
Finality and Certainty
One of the main benefits of a Clean Break Order is that it provides finality and certainty in your financial affairs after divorce. Once the order is approved by the Family Court, it legally ends the financial relationship between you and your former spouse. This means that neither party can make further financial claims against the other in the future, whether for income, property, pensions, or inheritance. This finality is particularly valuable for those who want a clear and definitive end to their financial ties.
Prevents Future Financial Claims
A Clean Break Order prevents either spouse from returning to court to seek additional financial support or assets at a later date. This helps protect any future earnings, inheritances, or windfalls you might receive. For example, if you were to receive a significant inheritance years after your divorce, your ex-partner would have no legal right to claim a share if a Clean Break Order is in place. This protection offers peace of mind and ensures you can plan for the future without uncertainty.
For more on how a Clean Break Order works and the alternatives, see Clean break or spousal maintenance after divorce or dissolution | MoneyHelper.
Independence and Moving Forward
With a Clean Break Order, both parties are free to move on with their lives independently. There are no ongoing financial obligations, such as spousal maintenance payments, which can otherwise create ongoing contact and potential conflict between former partners. This independence can be especially important if you wish to remarry or start a new family, as your financial commitments to your ex-spouse will have ended.
Simplified Financial Planning and Reduced Conflict
A Clean Break Order can make post-divorce financial planning much simpler. Because all financial matters are settled at the time of the divorce, you can budget and plan for your future without worrying about unexpected claims or changes in circumstances. This clarity often reduces the potential for future disagreements and legal disputes, promoting a more amicable separation.
Legal Framework and Practical Considerations
Clean Break Orders are governed by UK family law, specifically under the Matrimonial Causes Act 1973 and the Civil Partnership Act 2004. The Divorce, Dissolution and Separation Act 2020 also introduced reforms to streamline the divorce process, making it easier for separating couples to obtain a Clean Break Order when appropriate.
It’s important to note that a Clean Break Order may not be suitable for everyone. For example, if one spouse needs ongoing financial support, spousal maintenance might be more appropriate. The Family Court will consider a range of factors, including the needs and resources of both parties, before approving a clean break. For an overview of how the court approaches financial orders, visit Family Court.
Is a Clean Break Order Right for You?
A Clean Break Order is particularly beneficial if both parties are financially independent or have agreed on a fair division of assets. If you are considering divorce, it is wise to seek legal advice to determine whether a clean break is the best option for your circumstances. This can help you achieve a fair settlement and move forward with confidence.
To explore more about the process and alternatives, visit our other sections on financial settlements, or refer to the trusted resources linked above.
When is a Clean Break Order Suitable?
A clean break order is most suitable when both parties are able to reach a clear agreement on how to divide their finances, and there is no ongoing need for financial support after the divorce is finalised. This type of order is designed to provide certainty and closure, allowing each person to move forward independently without any future financial ties to their former spouse. For a detailed explanation of what this involves, you can read more about a Clean Break Order.
When is a Clean Break Order Appropriate?
A clean break order tends to work best in situations where:
- Both individuals are financially self-sufficient, or will be after the divorce.
- There are no children or dependants requiring ongoing support from one party to the other.
- The marriage was relatively short, and neither party has become financially dependent on the other.
- All assets, including property, savings, and pensions, can be divided fairly at the time of divorce.
For example, if a couple has been married for a short period, has no children, and both earn similar incomes, a clean break order can be an effective way to achieve a final settlement.
When Might a Clean Break Order Not Be Suitable?
A clean break order may not be appropriate if one party needs ongoing financial support due to circumstances such as illness, lack of earning capacity, or childcare responsibilities. In these cases, spousal maintenance may be more suitable, as it provides for regular payments from one spouse to the other after the divorce. This is especially relevant in longer marriages where one person has been financially dependent on the other.
Considerations Before Applying
Before deciding if a clean break order is right for you, consider:
- Length of the marriage: Longer marriages may involve more complex financial arrangements and a greater likelihood of financial dependency.
- Financial needs and resources: Take into account both parties’ current and future needs, including housing, income, and pension provisions.
- Future circumstances: Think about potential changes, such as career progression, retirement, or health issues, which could affect financial needs.
It is also important to understand the types of separation available, as the right approach to financial settlement can depend on the nature of your separation.
The Importance of Legal Advice
Because each situation is unique, seeking independent legal advice is essential. A solicitor can help you assess whether a clean break order meets your needs, or if another type of financial order might be more appropriate. They can also ensure that any agreement reached is fair, legally binding, and takes into account all relevant factors.
If you are considering a clean break order, make sure you fully understand your rights and obligations before making any decisions. This will help protect your financial future and give you peace of mind as you move on from your marriage.
How to Apply for a Clean Break Order
When you and your spouse are divorcing, you can apply for a clean break order as part of your financial settlement. This order brings a clear end to your financial ties, meaning neither of you can make future claims for income or assets from the other. Here’s how the process works and what you need to know before applying.
When to Apply
A clean break order is usually applied for during the divorce process, but it can also be sought after a decree nisi (now called a conditional order) has been granted. It’s important to address all financial matters before your divorce is finalised to ensure both parties are protected from future claims.
Agreeing to a Clean Break
Before making a court application, many couples try to reach an agreement about their finances. This can be done through direct negotiation, using solicitors, or by taking part in divorce mediation, which offers a less confrontational way to resolve disputes. Mediation can help you both come to a fair arrangement, including whether a clean break order is suitable for your situation.
Submitting a Financial Order Application
To formalise your agreement, or if you cannot agree, you will need to submit a financial order application to the court. This involves completing the required forms and providing full disclosure of your financial circumstances, including income, assets, debts, and any ongoing financial needs. The court will review your application alongside any agreement reached.
You can learn more about the process and what’s involved by reading this guide on Clean Break Order, which explains the difference between a clean break and ongoing spousal maintenance, and offers practical tips for making your application.
What the Court Considers
The court’s primary concern is fairness. When deciding whether to grant a clean break order, the judge will consider both parties’ needs, resources, ages, health, earning capacities, and the welfare of any children. The legal framework for these decisions is set out in the Matrimonial Causes Act 1973, which guides judges in making financial orders following divorce.
If the court is satisfied that a clean break is appropriate and that neither party will be left in financial hardship, it will approve the order, making it legally binding.
What Happens After the Order is Made
Once a clean break order is in place, all financial claims between you and your ex-spouse are ended. This means that, in most cases, neither party can return to court in the future to ask for more money or assets. However, if your ex-partner does not comply with the terms of the order, you may need to take steps towards enforcing financial orders.
Practical Tips
- Consider mediation or negotiation before applying to court, as this can save time and costs.
- Make sure you provide full and honest disclosure of your finances to avoid delays or challenges.
- Seek legal advice if you are unsure whether a clean break is right for you, especially if there are complex assets or significant differences in income.
For a more detailed understanding of the process and your options, see the article on financial order application and the guidance from Clean Break Order.
By following these steps and understanding the legal framework, you can approach the clean break order process with confidence and clarity.
Clean Break Orders Compared to Other Financial Orders
When going through a divorce in the UK, it’s important to understand the different types of financial orders available and how they compare. Clean break orders stand out because they aim to end all future financial ties between ex-partners, but other orders – such as lump sum orders, pension sharing orders, property adjustment orders, and spousal maintenance – serve different purposes and may be used alongside a clean break.
How Clean Break Orders Differ
A clean break order is designed to bring financial independence as soon as possible after divorce. Once this order is in place, neither party can make further financial claims against the other in the future. This includes claims for income, property, pensions, or inheritance. As explained in When is a clean break not a clean break? – Lexology, a true Clean Break Order ensures that both parties move on without lingering financial obligations.
In contrast, other financial orders may involve ongoing payments or future claims, depending on the circumstances.
Overview of Other Financial Orders
Lump Sum Orders
A lump sum order requires one party to pay a fixed amount of money to the other, either as a single payment or by instalments. This can help achieve a clean break if the payment settles all outstanding financial matters. For more details, see Lump Sum Order, which explains how these payments work as part of financial remedy orders.
Pension Sharing Orders
Pension sharing orders divide pension assets between ex-partners. This order can be crucial for long-term financial security, especially if one party has built up significant pension savings. According to Pension Sharing Order | Practical Law, these orders are available for both occupational and personal pension schemes.
Property Adjustment Orders
A property adjustment order allows the court to transfer, sell, or change the ownership of property, such as the family home. This is often used to ensure that both parties have suitable accommodation after divorce or to provide a fair share of assets.
Spousal Maintenance
Spousal maintenance involves regular payments from one ex-partner to the other, usually where there is a significant difference in income or earning potential. Unlike a clean break, maintenance can continue for a set period or even indefinitely, unless the court decides otherwise.
Combining Orders for a Comprehensive Settlement
It’s common for the court to use a combination of these orders to ensure a fair outcome. For example, a clean break order may be granted after a lump sum or pension sharing order is made, bringing all financial matters to a close. However, if ongoing support is needed, a clean break may not be appropriate, and spousal maintenance might be ordered instead.
Benefits and Limitations
| Order Type | Benefits | Limitations |
|—————————-|——————————————————|—————————————————-|
| Clean Break Order | Finality, financial independence, no future claims | May not be suitable if ongoing support is needed |
| Lump Sum Order | Immediate settlement, can support a clean break | Requires available funds, one-off payment |
| Pension Sharing Order | Fair division of future retirement income | Complex to value and implement |
| Property Adjustment Order | Ensures fair housing or asset division | May not resolve all financial ties |
| Spousal Maintenance | Provides ongoing support where needed | No immediate finality, can be varied or end later |
Practical Advice
- If you want a complete financial separation, a clean break order is usually the best option, provided both parties can be self-sufficient.
- Combining a clean break with other orders (such as a lump sum or pension share) can provide security while still ending future claims.
- If you have children or one party is financially dependent, spousal maintenance or delayed clean break may be more appropriate.
To explore each type of order in more detail, see our guides on lump sum orders, pension sharing orders, property adjustment orders, and spousal maintenance for more information on how these may fit into your financial settlement.
Financial and Property Considerations with Clean Break Orders
When considering a clean break order during divorce, it’s essential to look closely at how your finances and property will be divided. Achieving a true “clean break” means that, after the order is made, neither spouse will have any further financial claims against the other. However, reaching this point requires careful assessment of all assets, debts, and entitlements.
How Property Division Affects a Clean Break
The division of property – including the family home, savings, investments, pensions, and other assets – plays a central role in whether a clean break is possible. Both parties must agree, or the court must decide, on a fair split that takes into account each person’s needs and contributions. In some cases, it may be necessary to sell or transfer property to ensure both sides receive their fair share. If one party remains in the family home, for example, the other might receive a larger share of savings or other assets to balance things out.
For more detail on how assets like property are considered and divided, see our guide on property considerations during divorce.
Considering All Assets and Debts
A clean break order only works if all financial ties are properly addressed. This means not just dividing property, but also factoring in pensions, business interests, personal possessions, and any joint debts or loans. Both parties must make full financial disclosure so that nothing is overlooked. Failing to include all assets and liabilities could lead to disputes later on, and might even allow a former spouse to make further claims in the future.
Understanding Property Rights and Adjustments
During divorce, both spouses have legal rights to a share of the marital assets, regardless of whose name is on the title or account. The court’s goal is to achieve fairness, considering factors such as each person’s income, earning capacity, contributions to the marriage, and future needs. These principles are set out in Matrimonial Causes Act 1973, Section 25, which the court uses as a guideline when deciding on financial settlements.
Property rights can be adjusted in several ways: through transfers of ownership, sales, or offsetting one asset against another. For example, one spouse might keep the house while the other receives a greater share of other assets. The aim is to ensure that, once the clean break order is in place, neither party is left at a significant disadvantage.
Ensuring a Fair and Clear Division
To support a clean break, it’s essential to reach a settlement that is fair, comprehensive, and clearly documented. This reduces the risk of future disputes and gives both parties financial independence moving forward. If you and your former spouse can agree on the division, you can submit your agreement to the court for approval. If not, the court will decide based on what is fair in your circumstances, following the guidelines set out in law.
Remember, a clean break is not always suitable for every situation – especially where ongoing financial support is needed, such as with young children or significant differences in earning capacity. However, where possible, it offers certainty and peace of mind by drawing a clear line under financial ties.
For more information on the legal framework and what the court considers, you can read Matrimonial Causes Act 1973, Section 25. If you’re unsure how to proceed or what might be fair in your situation, seeking professional advice can help ensure your interests are protected throughout the process.
Impact of Clean Break Orders on Children and Child Arrangements
A clean break order is designed to end the financial obligations between divorcing spouses, but it’s important to understand that it does not affect arrangements for children. By law, clean break orders only deal with the financial relationship between the adults involved in a divorce. This means that issues such as where a child will live, how much time they spend with each parent, and financial support for children are not covered by a clean break order.
However, financial decisions made during a divorce can have an indirect impact on children. For example, the division of assets or the allocation of the family home may influence where children live or the resources available for their care. It’s also important to note that while a clean break order can end spousal maintenance, it does not remove the legal obligation to provide child maintenance. Parents are still required to support their children financially, regardless of any clean break between themselves.
To ensure children’s interests are protected, separate agreements or court orders are needed for child maintenance and living arrangements. The court can make orders relating to child arrangements, such as who the child will live with and how contact with the other parent will be managed. These are considered entirely separately from financial clean break orders.
If you are divorcing and have children, it’s essential to address both financial and child-related matters. Understanding how child arrangements are decided can help you see the bigger picture and ensure that your children’s needs are met alongside your own financial security. Seeking advice or guidance on both aspects will help you reach a fair and workable settlement for everyone involved.
Further Help and Resources
Further Help and Resources
Navigating clean break orders and financial settlements during divorce can feel overwhelming, but there are a range of resources and support options available to help you make informed decisions.
Getting Legal Advice
It’s always a good idea to seek independent legal advice before agreeing to any financial settlement or applying for a clean break order. A solicitor can explain your rights and obligations, help you understand the long-term impact of a clean break, and ensure your agreement is fair and legally binding. For a clear overview of what a Clean Break Order involves and whether it’s suitable for your situation, you can read more on Clean Break Order.
Mediation and Negotiation
If you and your ex-partner are struggling to agree on financial matters, mediation can be a practical and cost-effective way to resolve disputes. A trained mediator helps both parties communicate and explore solutions, often leading to quicker and less stressful outcomes than going to court. To understand the process and benefits, see this detailed Mediation guide. Additionally, you may wish to learn more about divorce mediation as an alternative to court proceedings.
Enforcing Financial Orders
Sometimes, one party may not comply with the terms of a clean break order or other financial settlement. In these cases, you have options for financial enforcement, which can involve asking the court to take steps to ensure the order is followed. This might include deductions from wages, charging orders against property, or other enforcement methods. For more details on the process and what to expect, visit our page on Enforcement of Financial Settlements.
Explore Related Topics
Understanding clean break orders is just one part of managing your finances during divorce. You may also want to explore the different financial orders in divorce to see how they compare, or read a comprehensive overview of Financial Orders available in divorce or dissolution proceedings. These resources can help you make the best choices for your future.
Taking the time to understand your options and seeking the right support can make a significant difference in reaching a fair and lasting financial agreement after divorce. If you have further questions, don’t hesitate to explore the linked resources or consult a qualified family law professional.
