What is Form E and why is it important?

Form E is the financial statement prepared and signed by each party in proceedings in the Family Court or High Court for financial orders in divorce proceedings. It is a comprehensive document and requires the parties to set out their financial circumstances, with supporting documents. Form E will be used by the Family Court or High Court to inform and guide the assessment and implementation of a fair and equitable division of assets and any orders for financial provision.

What information does Form E ask for?

Form E asks for a large amount of information, some of which can be easily supplied by the parties, some of which will require the input of their legal representatives, and some of which may require input from third parties. The intention is that Form E sets out a party’s financial position as accurately and comprehensively as possible.

Form E is broken down into sections, which deal with certain categories of information as follows:

• Section 1 deals with general information. It asks for the parties’ general information and includes the details of the marriage, any children of the marriage and their current living arrangements and educational provision, any relevant health issues, and any current maintenance arrangements.
• Section 2 requests the main financial details of the parties, including in relation to: the family home and ownership of, or interests in, any other land or buildings; mortgage providers and an estimate of equity in the properties and the value of the parties’ interests; personal assets – bank accounts, savings accounts, stocks/shares, investments, insurance policies, cash, and personal belongings individually worth more than £500 (including cars, collections, pictures and jewellery, furniture and house contents); debts and liabilities (including credit cards, loans, and finance agreements) and any Capital Gains Tax paid or payable; business interests; pensions, share options, trusts, and future assets; and income from employment, self-employment, investments, and state benefits.
• Section 3 requires details as to capital needs, i.e. what capital items the parties and any children need, such as housing and cars.
• Section 4 addresses other relevant factors the court should consider, such as standard of living, contributions, conduct of the parties, and any anticipated changes in circumstances (e.g. plans to remarry or cohabit).
• Section 5 asks the parties to set out any specific requests (e.g. whether property should be transferred to either party or sold).

All sections will need to be completed by the parties and sent to the court and the other party by a certain date set by the court.

What about supporting documents?

To support all of the information set out in Form E, the parties will be asked to attach any relevant documents. This will include property valuations, mortgage statements, bank statements, investment documents, payslips, business accounts, insurance policies, pension valuations, and HMRC assessments and documentation.

Even in relatively straightforward cases, the parties will have to produce a large number of documents and ensure that the information they give is all supported in those documents. Where parties have complex income arrangements, hold a large number of assets, or have assets abroad, the volume of documents will be even greater. Many parties find the collating of documents to be time-consuming; some parties may also find the process to be personally intrusive if there are matters that they prefer not to be known.

Whilst some documents will be easy to source and attach, other documents will take more time. If assets require updated valuations, time for that should be factored in accordingly. Where assets have been acquired or held abroad, translations may be required of the relevant documentation. There may also be documents in the hands of third parties rather than the parties themselves, and those third parties will have to be approached for their cooperation in furnishing them.

If parties cannot supply the required documentation within the required timescales laid down by the court, they may need to explain to the other party and the court the reason for the delay, and in some cases they may be required to seek the consent of the court for an extension of time. A judge has power to make a costs order against any party who fails to provide Form E or the full and/or correct supporting documents.

Do parties have to tell the truth?

Parties are required to sign a Statement of Truth in the Form E. This is a statement verifying that the signer believes the facts stated in the Form E to be true. If a party is found to have deliberately lied or misrepresented information in their Form E, they could be found to be in contempt of court and could receive a fine or a prison sentence.

The completion of Form E can be daunting, time-consuming and exhausting. Specialist lawyers can ease the burden by advising parties on what is required, ensuring that information is not missing, arranging valuations, and advising on how best to deal with complex assets. They can also assist with strategy, to ensure that the Form E supports the party’s case and places them in the best position, whether in the court process or during negotiation or mediation.

If you have questions or concerns about financial orders in divorce proceedings, please contact our Family and Matrimonial team.