In this article we explore the legal implications of cohabiting for unmarried couples and what this might mean for you and your partner.
Many couples choose to live together and not get married. However, even when you are not married, there are still legal consequences of cohabiting, most commonly in relation to the ownership of property.
Using an example, Jenny owns and lives in a house and her partner John is living in a rented flat. In preparation for the coronavirus lockdown restrictions, Jenny and John decide that John will give up his rental and move in permanently with Jenny. Later down the line, should Jenny and John's relationship breakdown, John may be able to establish a legal interest in Jenny's house.
Whether an interest is created in the house depends on several factors, such as -
Couples moving in together should communicate with each other and have frank conversations about their intentions. This can help minimise any misunderstandings couples may have later on should they part ways. For example, couples should be open about the financial contributions each party is expected to make, such as mortgage or maintenance payments, and whether this is intended to create a legal interest in the property.
A useful way of formalising these communications and providing certainty for couples can be through a cohabitation agreement. This sets out the nature of your financial relationship and establishes your rights should the relationship break down. The agreement can cover a range of topics, including financial contributions, division of household items and joint bank accounts.
It is also important for cohabiting couples to remember that they do not have the same rights as a married couple on separation or death. Dependant cohabitees can often end up in difficult financial circumstances on separation or death of their partner.
Unmarried couples who are cohabiting should consider how they might protect their rights. Read our article - 'Busting the Myth of Common Law Marriage' for further information.
Whilst cohabiting during the lockdown may be a temporary solution for some couples, those who are planning on making this move permanent should consider having these open and frank discussions now. This can often save a lot of cost and distress further down the line and our expert lawyers are able to provide practical and sensitive advice.