The issue of ‘special contribution’ as a factor in the division of assets upon divorce has been resurrected in the recent cases of Sorrell v Sorrell, and Charman v Charman.

This concept is only really relevant in big money cases. Mr Sorrell’s total assets were valued at about £100 million net and Mr Charman’s at £131 million.

It is also a factor which will only be considered after the needs of both parties and the children have been met. It is therefore of limited relevance to the average divorce where there are often not sufficient resources to meet everybody’s needs.

The Court decided that the husband possessed the ‘spark’ or ‘force or ‘seed of genius’ which was a special contribution, unique to that person and exceptional.

Both Mr Sorrell and Mr Charman were the creators of very successful international companies. It was viewed by the Court that it was their personal contribution towards the set up and continued running of those companies that made the ventures so profitable.

As both men were the major shareholders, this meant that their families also shared in the success. Due to their unique abilities in business, the Court’s decided that they should be entitled to a larger share of the assets. Mr Sorrell was awarded 60 per cent of the assets, and Mr Charman 63.5 per cent.

This concept is therefore useful in big money divorces to justify a departure from the ‘yardstick of equality’ which is the starting point for all financial settlements upon divorce.

The Court’s have been careful however to point out that it is only relevant in exceptional circumstances.

It will be interesting to see if Sir Paul McCartney uses this argument in his forthcoming divorce. It may also be used in a footballer’s divorce in the future. We may now also, as a result of this concept, see the increased use of pre-nuptial agreements in Britain.

For more information on divorce and financial matters, pre-nuptial agreements, or indeed any other family matter, please contact Nicole Biggs on 01635 521212 or nicole.biggs@clmlaw.co.uk