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Should I get a Cohabitation Agreement?

06 February 2019

A cohabitation agreement is a formal agreement entered into by 2 people who intend to live together to set out what happens in the event of the relationship breaking down. These types of agreements are relevant in situations like a partner moving into a property that the other person owns in their sole name. It can set out, for example, from the off, that the person moving in, regardless of any financial contribution to outgoings will not gain any financial interest in the property.

It is also helpful in situations where couples are contributing to the property in differing shares. The agreement can set out what would happen in the event of separation for example with the person who owns the smaller share agreeing to move out within a month of receiving notice to do so. It can set out how long one party should have to buy out the other, and/or how long before the property goes on the market for sale.

Whilst a cohabitation agreement may seem like an unnecessary expense it is much better to enter into these agreements whilst you are still in a relationship than it is on the breakdown of a relationship because it is at this point that matters become that much harder to agree. It could also potentially avoid expensive litigation on claims being made in the future. Ellisons offer a capped fee for a first draft of a Cohabitation agreement. Contact a member of our family department for more details on 01206 764477.