Cohabitation Agreements

A Cohabitation Agreement allows

unmarried couples who are living
together to retain some control over
their assets if they decide to separate.

In the past, couples could set up home without having any financial obligations to
each other. However, since May 2006, couples who choose to simply live together
rather than marry, have been given certain rights in Scotland. These could be
significant in many cases.
Q. What are the rights of cohabiting couples?
A. The new rights are:

It is presumed that household goods (for example, furniture) acquired during the
cohabitation will be shared equally.

If one cohabitee provides an allowance to the other for joint household

expenses, this allowance will be treated as belonging to both cohabitants
equally.

Since May 2006,

couples who choose
to live together
rather than marry,
have been given
certain rights in
Scotland.

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If a cohabiting couple separate, either cohabitant has the right to apply to the
Court for an order for payment of a capital sum either for their own benefit or to

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reflect the additional burden of having to care for a child of the family. The Court
must take various factors into account in deciding whether an award should be
made.

Upon the death of a partner, the surviving cohabitee can claim certain
inheritance rights if their partner died without making a Will.

Given the existence of these new rights, those wishing to purchase a property
together, or those who have already done so, should consider entering into a
cohabitation contract. Such an agreement allows the couple to regulate their own
affairs and state what they wish to happen should they ever separate.
Q: My partner and I are intending to buy a flat together I am providing the
majority of the deposit. Is there a way that I can protect myself?
A: If you and your partner sign a cohabitation contract, this agreement can narrate
that you provided the majority of the funds and provide that, should you separate, this
investment should be returned to you.
Q: My partner and I made a choice to cohabit, rather than marry, as we didnt

Alistair Mackie, Partner

T: 0131 656 5660
E: alistairmackie@lindsays.co.uk
Alison McKee, Partner
T: 0141 302 8447
E: alisonmckee@lindsays.co.uk
Karen Jack, Senior Associate
T: 01620 893481
E: karenjack@lindsays.co.uk
Nina Taylor, Senior Associate
T: 0131 656 5788
E: ninataylor@lindsays.co.uk
Lucy Mackie, Associate
T: 0131 656 5764
E: lucymackie@lindsays.co.uk
Kara Duke, Paralegal
T: 0141 302 8445
E: karaduke@lindsays.co.uk

want to have legal obligations towards each other. Can we contract out of the
new law?
A: An agreement similar to a pre-nuptial agreement could be drawn up to achieve
this. It is also important to make sure that your Will is up to date.

Lindsays 2014. This Briefing is not a comprehensive statement of the law and no liability for errors or opinions contained in this Briefing is accepted.