Lump sum orders

Lump sum orders

The court has jurisdiction to order a party to pay a lump sum (or such sums as may be specified) pursuant to sections 23(1)(c)–23(1)(d) of the Matrimonial Causes Act 1973 (MCA 1973) and Schedule 5, Part 1 to the Civil Partnership Act 2004 (CPA 2004). A lump sum order may be made in favour of the other party, or more rarely for the benefit of a child of the family.

General principles

The court is guided by the MCA 1973, s 25(2)/CPA 2004, Sch 5, Pt 5 factors in considering the appropriate order to make. The first question is whether the payer has resources, within the wide definition given in MCA 1973, s 25(2)(a)/CPA 2004, Sch 5, Pt 5, para 21(2)(a), from which to meet any order. The court must then conduct the statutory exercise to determine whether to exercise its discretion, see Practice Note: Factors considered by the court on financial provision—The

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