15 July 2025

Too Late to Wait: When Non-Compliance Justifies Setting Aside a Pension Sharing Order

In AP v TP [2025] EWFC 190 (B), His Honour Judge Farquhar delivered a pointed and practical judgment showing that while final orders are meant to be just that—final—there are limits to judicial patience, especially where one party repeatedly obstructs their implementation.

This decision illustrates the continuing relevance of the Thwaite jurisdiction in family law and offers important clarity on when a Pension Sharing Order (PSO) can be set aside—not because circumstances have changed, but because one party has simply refused to cooperate.

The Background: Final Order, Endless Delay

The parties had reached a financial settlement in April 2023 that included:

  • The sale of the family home (split 47/53);
  • A Pension Sharing Order of 48.94% in favour of the wife (TP) from the husband's Aviva pension (worth £193,000).

But two years later, the husband (AP) remained in limbo. Now 70, in poor health, and unable to access his pension, AP faced the stark reality that he could not retire—not because of the court order, but because the PSO had never been implemented. The reason? The wife refused to complete the basic paperwork, despite being chased, ordered, and reminded repeatedly.

The Thwaite Jurisdiction: Equity in Action

Unable to vary the order under section 31 MCA 1973 (because the Decree Absolute had been granted years before), AP turned to the Thwaite jurisdiction, stemming from Thwaite v Thwaite [1981]. This line of authority allows the court to refuse to enforce or adjust executory parts of an order where it would be inequitable to enforce them due to subsequent developments—particularly deliberate frustration.

Judge Farquhar canvassed several key authorities:

  • Bezeliansky v Bezelianskaya [2016] EWCA Civ 76: endorsing the ability to adjust executory orders obstructed by one party;
  • BT v CU [2021] and SR v HR [2018]: Mostyn J’s scepticism of the doctrine;
  • Hersman v de Verchere [2024] and Rotenberg v Rotenberg [2024]: more recent judgments reaffirming its viability.

His conclusion? The Thwaite jurisdiction remains good law, though to be used carefully. And this was a textbook case.

Why Not Barder?

Interestingly, the court explicitly declined to rely on the more stringent Barder test. That doctrine, used to set aside orders due to unforeseen and fundamental changes of circumstance (e.g., sudden death, collapse of a business), did not fit here. This wasn’t about change—it was about non-compliance.

The Result: Final Warning Before the Final Cut

Judge Farquhar ruled that it would be inequitable to uphold the PSO when the wife had spent two years refusing to implement it. He proposed to set aside the PSO entirely unless she complied within 28 days.

The warning was stark—and printed directly into the order:

This will result in you losing the benefit of approximately £94,000 worth of pension benefits… Your ability to obtain this pension benefit will be lost forever.”

The judge considered and rejected a Pension Attachment Order, as that would undermine the clean break agreed by both parties and lacked jurisdictional support.

Key Points for Practitioners

  • Non-compliance can void orders: If a party actively obstructs an executory provision, the court may remove it entirely.
  • Thwaite lives on: Despite some judicial scepticism, the doctrine remains available—especially where enforcing the original order would now be inequitable.
  • Clean break still holds weight: The court was reluctant to undo the clean break to salvage the PSO—underscoring the importance of structuring settlements properly from the start.
  • Final means final, but fair must remain fair: The Family Court retains equitable discretion to undo unfairness—but only when the behaviour is egregious and the solution proportionate.

Final Thought

AP v TP reminds us that court orders are not mere aspirations—they are meant to be implemented. When they’re not, and especially when one party stands in deliberate obstruction, the courts are willing to act—even if that means ripping up a carefully negotiated pension share.

For lawyers and clients alike, the case is a clear message: a signed order is not the end of the story if it’s never allowed to begin.

29 May 2025

Set Aside or Sit Tight? When Market Shifts Don’t Justify Reopening Financial Orders

In X v Y [2025] EWFC 144 (B), District Judge Stone delivered a forensic and educational judgment on a topic that regularly vexes family lawyers: can a final financial remedy order be reopened or varied simply because the property market dips?

Spoiler alert: the answer is no—at least not on the facts of this case.

Background: A House, a Fixed Sum, and a Change of Heart

The parties had agreed (and the court ordered) that the former matrimonial home in Cornwall would be sold, with the wife (Mrs Y) receiving £410,000 and the husband (Mr X) receiving the balance, after deducting various sale-related costs and a minor costs award.

At the time of the final hearing in December 2023, the property was valued at £800,000 based on a joint expert report. Both parties expected it might sell for more, but the court stuck with the expert figure. Notably, both had opted for fixed sums rather than percentage-based awards—Mr X specifically proposing to take the risk (or gain) if the property sold for less (or more).

When the market softened and the best offer received was £795,000, Mr X brought an application to set aside or vary the order, arguing that the change in property value was a material development rendering the order inequitable. He framed the claim under the Thwaite jurisdiction.

The Legal Framework: Barder and Thwaite

  • Barder v Caluori [1988] AC 20 sets a high bar: to set aside a financial order due to a supervening event, the event must be unforeseen, exceptional, and undermine the basis of the order. It must occur shortly after the order and not prejudice third parties.
  • Thwaite v Thwaite [1982] Fam 1 is a narrower route, applicable only where the order remains executory (i.e. not fully implemented) and it would be inequitable to enforce it due to a significant change of circumstances. Crucially, if parties’ claims have already been dismissed, the court cannot substitute a new order, only refuse enforcement.

Here, Mr X had opted for Thwaite, recognising Barder was doomed to fail.

The Decision: Variation Refused, Order Upheld

DJ Stone dismissed the application. He found:

  • The property’s small reduction in value was not a sufficiently significant change. Mr X stood to lose a maximum of £13,000, and in some scenarios might even benefit due to elapsed mortgage penalties.
  • Mr X had proposed this very model of fixed-sum order—he took the upside risk, and must also accept the downside.
  • There was no suggestion of wrongdoing or delay by Mrs Y.
  • There was no expert evidence that the property’s value had truly dropped—just a single estate agent letter referencing a hesitant buyer.

Most importantly, the judge noted that even if he found the order inequitable, the court lacked jurisdiction to replace it because both parties’ financial claims had been dismissed outright in the original order. The application had nowhere to go.

Key Points for Family Lawyers

  1. Be careful with fixed-sum orders based on property values. If the market shifts, there's no guarantee the court will reopen the deal—particularly where a percentage-based award might have self-adjusted.
  2. Barder remains a high bar—it requires a genuinely unforeseen, devastating event.
  3. Thwaite is alive but limited: It applies only to executory orders and mainly allows courts to refuse enforcement—not rewrite orders—unless claims remain live.
  4. Dismissing claims outright? Double-check that the structure of your order doesn’t box your client out of relief if the sale goes awry.
  5. Market changes are not enough on their own—courts expect parties to accept ordinary risks.

Conclusion

This judgment is a useful clarification of the narrow—and narrowing—routes by which parties can revisit final orders. Mr X gambled on the market and lost slightly, but the court refused to let him reshuffle the deck. For family lawyers, the message is clear: structure settlement orders carefully, and don’t assume market movements will justify a second bite at the cherry.

7 February 2025

When One Party Won’t Cooperate: Lessons from WZ v HZ [2024] EWFC 407 (B)

Few things are as frustrating in family law as a party who simply refuses to comply with court orders—particularly when it involves selling the former matrimonial home (FMH). The case of WZ v HZ [2024] EWFC 407 (B) is a prime example of the legal mechanisms available when one spouse obstructs a court-ordered sale.

This case is also notable for the court’s use of the Thwaite jurisdiction, which allows variations to existing financial remedy orders when circumstances change or a party frustrates their implementation. Below, we explore the key lessons from this case and practical takeaways for family law practitioners.

The Facts: A Sale Stalled by One Party

WZ (the wife) and HZ (the husband) had been locked in financial remedy litigation for years. A final order had been made in 2021, which required the sale of the former matrimonial home to provide the wife with funds to meet her housing needs. The order anticipated that the FMH would be on the market within three months and sold within six months.

However, three years later, the house remained unsold, and the wife continued living there rent-free while the husband paid the mortgage and maintenance. The husband accused the wife of deliberately frustrating the sale by refusing access to estate agents, rejecting reasonable offers, and even removing the ‘For Sale’ sign.

Faced with ongoing delays, mounting legal costs, and financial pressure, the husband returned to court seeking:

  1. An order for possession of the FMH, allowing him to take control of the sale.
  2. A Thwaite variation, arguing that the delay had resulted in a financial windfall for the wife, and the court should adjust the division of proceeds.

The Court’s Approach

  1. Ordering Possession: A Rare but Necessary Step

The court acknowledged that it had tried everything to enforce the sale. Previous orders had given the husband sole conduct of the sale, but the wife’s obstruction had rendered this ineffective.

Citing Derhalli v Derhalli [2021] EWCA Civ 112, the judge confirmed that the court has the power to grant possession under FPR 9.24, which allows the court to enforce orders under Section 24A of the Matrimonial Causes Act 1973. This power enables the court to remove an obstructive party from the home to ensure compliance with a sale order.

🔹 Lesson for practitioners: If a party repeatedly frustrates a sale, a possession order may be the only viable enforcement tool. This case shows that the courts are willing to take robust action when necessary.

  1. Thwaite Jurisdiction: Adjusting Orders to Reflect Reality

The Thwaite jurisdiction, derived from Thwaite v Thwaite [1981] 2 FLR 280, allows courts to vary the terms of an executory order (one that has not yet been implemented) to achieve fairness.

In this case, the court found that:

  • The wife had benefited unfairly from delaying the sale, as property prices had risen significantly.
  • The original order assumed a sale in 2021, meaning the husband was now paying much more than intended.
  • The original division of proceeds was no longer fair, given the wife’s obstruction.

The court ruled that the increase in the sale price should not benefit the wife entirely. Instead, a portion of the additional equity would go toward covering the husband’s legal fees and outstanding maintenance obligations.

🔹 Lesson for practitioners: The Thwaite jurisdiction is a powerful tool in financial remedy cases where one party frustrates implementation. It ensures that delays do not unfairly enrich the obstructive party.

Key Takeaways for Family Lawyers

  1. Enforcing Sales: Courts Will Step In
  • If a party refuses to cooperate, courts can grant possession orders to remove them from the property.
  • Even where a party is living in the FMH, they cannot indefinitely obstruct a sale.
  1. Thwaite Variations: A Safety Net for Changing Circumstances
  • Orders that remain executory can be adjusted if circumstances change.
  • Deliberate obstruction can result in a financial penalty, ensuring the obstructive party does not benefit from their own misconduct.
  1. Acting Early to Avoid Costly Litigation
  • This case took three years to return to court, during which time both parties incurred significant legal costs.
  • Had the husband applied earlier for enforcement measures, he may have avoided much of the financial and emotional toll.

Final Thoughts: The Cost of Non-Compliance

WZ v HZ [2024] highlights the perils of failing to comply with financial remedy orders. For parties tempted to frustrate court-ordered sales, the judgment sends a clear warning: the court has the power to act, and it will.

For practitioners, this case reinforces the importance of early intervention. If one party is blocking a sale, don’t wait—seek enforcement, possession orders, or Thwaite adjustments before delays spiral into costly litigation.

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