PS v NB
[2023] EWHC 3485 (Fam)
DH v RH
5 July 2023
[2023] EWFC 111
Family Court
A wife and husband are fighting over money after a divorce. The wife needed money for lawyers and to live on while the case continues. The judge gave her some of the money, but said both parties have spent too much already and need to settle the case soon.
Key Facts
- •Financial remedy proceedings between DH (wife) and RH (husband).
- •Wife seeks Legal Services Payment Order (LSPO) of £531,343 and Maintenance Pending Suit (MPS) of £370,000 per annum.
- •Husband acts in person; wife represented by counsel.
- •Total matrimonial assets estimated at £13.2M.
- •Significant dispute over husband's cryptocurrency holdings and alleged non-disclosure.
- •Wife has incurred substantial legal costs (£1.35M), partly funded by a high-interest litigation loan.
- •Proceedings ongoing since January 2023, with significant delays and cost.
- •Husband made unilateral asset liquidations, allegedly contrary to court undertakings.
Legal Principles
Court's power to make LSPO orders.
Matrimonial Causes Act 1973, s. 22ZA
Principles governing LSPO applications (including consideration of ability to pay, availability of alternative funding, and previous costs).
Rubin v Rubin [2014] EWHC 611 (Fam)
Court's approach to historic costs in LSPO applications.
Rubin v Rubin, BC v DE [2016] EWHC 1806, LKH v QA AL Z [2018] EWHC 1214 (Fam), Re Z [2020] EWFC 80
Court's control over the use of legal funding in LSPO.
Matrimonial Causes Act 1973, s. 22ZA(5)-(8)
Court's power to make MPS orders.
Matrimonial Causes Act 1973, s. 22
Principles governing MPS applications (reasonableness, fairness, marital standard of living, immediate needs).
TL v ML [2006] 1 FLR 1263, Rattan v Kuwad [2021] 1 WLR 3141, Collardeau-Fuchs v Fuchs [2022] EWFC 6, Baker v Baker [2022] EWFC 15
Outcomes
LSPO granted for £372,654 (excluding VAT) in instalments.
Wife needs funds to obtain appropriate legal services; husband has sufficient resources; payments staged to ensure responsible spending; historic costs to previous and current solicitors excluded.
MPS granted for £18,762 per month.
Wife needs maintenance; considers marital standard of living, but acknowledges current financial constraints; husband has resources; some elements of wife's budget deemed exaggerated; husband responsible for children's education costs.