Periodic Sum on Divorce
The rules on financial provision on divorce and dissolution are aimed at encouraging each party to become as financially independent of each other as possible following a split – the clean break principle.
S13 of the Family Law (Scotland) Act 1985 provides that the court shall not make an order for a Periodical allowance unless:
- It is satisfied that an order for payment of a capital sum or for transfer or property would be inappropriate or insufficient to satisfy the requirements of s8(2); and
- It is justified by one of the overriding principles set out in s9(1)(c),(d), or (e) of the Act.
- S9, in so far as it applies to periodic allowances, allow the court to make an order for a periodic allowance to compensate for the economic burden of caring fro children or to relieve hardship.
Periodical allowances can be made for a definite or an indefinite period of time and can be varied if there is a material change in circumstances. An order for a periodical allowance can also be converted into the payment of a capital sum or a property transfer order.
In the event of the death or remarriage of a payee, the order will cease to be effective, however, on the death of the payer, the order will continue to operate against the payer’s estate.