The High Court granted a decree of divorce and set out financial provision for a woman whose husband had brought the divorce proceedings. The judgment, delivered by Mr Justice Abbott on 15 March 2007, followed a hearing of both the husband’s divorce case and the wife’s earlier judicial separation proceedings.
The court found that the spouses had lived apart for at least four of the previous five years and that there was no reasonable prospect of reconciliation. It said proper provision had been made in light of the circumstances. The judgment records that the court was prepared to grant the divorce, while inviting counsel to make submissions on finalising the formal order.
The main dispute concerned financial provision. The wife had a serious physical disability following a stroke and could not work. The judge said she could live independently with home help and emergency support. He found that her income-earning capacity was extremely limited and that she remained financially dependent on her husband.
The judge described the husband’s business interests as uncertain and illiquid. He said the companies might become more profitable and saleable in the medium term, but that a clean break could not be secured in the short term. The court therefore made provision that included both immediate payments and a potential share in future business value.
The husband was ordered to pay €120,000 gross annual maintenance, reviewed each year in line with the consumer price index. He must also provide a car of similar capacity and value every two years, and pay the wife’s health insurance and car insurance premiums. The order set lump-sum payments of €750,000 by 1 May 2007, followed by €250,000 on 31 December 2008, €250,000 on 31 December 2009 and €500,000 on 31 December 2010. The first payment was to go towards the wife’s legal costs.
The court ordered the immediate transfer to the wife of the total value of the husband’s pension funds. It also directed that the husband, his successors and personal representatives hold in trust for her 90% of his shares representing his 50% shareholding in the second retail company. The wife could receive dividends and cash proceeds but could not require the shares to be transferred to her. The order restricted disposal of her interest for five years from perfection of the order.
If the relevant shares were disposed of within five years and the wife’s interest was valued at €5 million, adjusted for inflation, or more, the judgment provided that she would receive that sum or the greater sum realised in full and final settlement, and the husband’s maintenance obligations would end upon receipt. The court also required the husband to obtain term insurance of at least €500,000 to secure maintenance and other periodic payments, or provide alternative security as directed by the court.