The Value of the Rule of Law and Access to Justice - will London be the Family Law Arbitration Capital of the World?
London has long been regarded as "the divorce capital of the World" - largely due to the English court's discretionary powers to achieve a ‘fair’ outcome and comparatively (often extremely) generous awards to the financially weaker spouse in so called 'big money' cases.
London is often the venue of choice in which to seek a divorce with ensuant jurisdiction races and battles. Under Part III of the Matrimonial and Family Proceedings Act 1984 ("Part III"), if a couple divorce in an overseas country, but one of them later establishes a sufficient connection to England and Wales, there is the possibility to make an application to the English court for relief if there has been an inadequate financial award in the country where the divorce took place. Such applications are not to afford a ‘second bite of the cherry’ but rather to remedy financial injustice. It is the rule of law and the principles of fairness, justice and impartiality embodied in the English legal system which have attracted litigants to this jurisdiction for Family Law cases, particularly over the past three decades.
London remains a (if not ‘the’) centre for resolving international, complex and high value divorce cases - but concern has been expressed that delays in the Family Court system might lead to inefficiency, injustice or a lack of confidence in the court system. In light of this, clients are often advised to pursue non court methods of dispute resolution. In particular, arbitration, which is available in family law cases involving both financial and children issues is on the rise. Arbitration offers the application of English family law principles, choice of experienced and highly qualified arbitrators, privacy, flexibility as to venue, and speed in decision making as an alternative to lengthy Family Court proceedings. Arbitration is now often agreed as an alternative forum for the resolution of family law disputes, particularly in international family law cases after proceedings have been issued and jurisdiction secured.
Britain’s international reputation is at “real risk” due to persistent court backlogs and rising barriers to justice, senior members of the UK Supreme Court have warned.