The multi-million pound ‘gay divorce’
The facts of the case were as follows:
Mr Lawrence is 47 and works as an equity analyst for JP Morgan earning £200,000 per annum net. Mr Gallagher is 54 and has uncertain earnings as an actor and a very small pension.
The couple began cohabiting in 1997, when Mr Gallagher moved into a flat in Clink Wharf, which was owned by Mr Lawrence and remained in his sole name. They entered into a Civil Partnership in 2007 and separated in September 2008.
The first decision in the case was made in the High Court by Mrs Justice Parker. At the time of the hearing before her, the assets were, in broad terms:
• The flat in Clink Wharf, worth £2.4 million with equity of approximately £1,830,000.
• A cottage in Amberley, with equity of £822,000
• Savings and investments of £640,000
• Pensions in Mr Lawrence’s name worth £580,000
By the time of the hearing before Mrs Justice Parker, Mr Lawrence was living in the Clink Wharf flat and Mr Gallagher was living in the Amberley Cottage which he was running as a bed and breakfast establishment.
Of particular importance was the fact that the Clink Wharf flat had been owned by Mr Lawrence prior to the parties cohabiting. There was some evidence that it had been worth £650,000 when the parties began living together so the increase in its value to £2.4 million was considerable. Mr Lawrence argued that the flat was not a partnership asset. He said that Mr Gallagher should have sufficient funds to purchase a property for £420,000 and a pension share of £183,000 (a little under a third of Mr Lawrence’s pensions). Mr Gallagher sought assets with reference to the ‘sharing principle’, but with a discount to reflect Mr Lawrence’s contribution to the assets, to give him 45%. Read More
