Offshore boost for divorce payouts
The ex-spouses of wealthy individuals pursuing divorce payouts have been dealt a blow by Jersey¹s refusal to adhere to a British divorce order for a divorcee¹s funds.
The tax haven rejected a divorce order in the case of Mubarak v Mubarak for funds from an account held on the island.
Divorce solicitors have suggested the decision could prompt other tax havens in the Channel Islands and the Isle of Man and Britiain¹s Caribbean overseas territories to take similar action. Jersey¹s rebuff resulted from the island¹s court¹s ruling that only trustees could release funds from its offshore accounts.
The ruling comes after a recent spate of massive payouts, most notoriously the £24 million received by Heather Mills. The last year has also seen the record divorce payout of £48 million from John Charman, chief executive of Axis Capital, to his ex-wife Beverley Charman.
The Jersey ruling will be welcome news for wealthy spouses going through separation and divorce lawyers predict that they will increasingly look to offshore accounts as a means of protecting their assets against divorce payouts.
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