Charging orders, interest on arrears and the application of the fixed costs regime (GH v H)
Family analysis: On the wife’s application to make an interim charging order final, the court made the order final but between doing so and sealing the order, the judge concluded that there were three aspects of his decision that needed to be elaborated on further, which were whether the court had power to make a charging order on the application of one of the parties to financial remedy proceedings to secure a debt owed to a third party (namely the parties’ daughter), whether interest had accrued on the unpaid periodical payments and whether the fixed costs regime in the Civil Procedure Rules 1998 (CPR) at CPR Part 45 in relation to the making of a final charging applied in this case. The decision has implications regarding who can apply for a charging order for a debt owed to a third party under a financial remedy order and for the recovery of costs when enforcing a financial remedy order by way of legal charge. Lottie Tyler, legal director at Weightmans LLP, considers the issues.