Navigating the complexities of family law can be emotionally and financially overwhelming for those going through a divorce. One of the significant hurdles many individuals face is securing good legal representation, especially when their financial resources are limited. Legal Services Payment Orders (LSPOs) can offer a lifeline for those in need of financial assistance to cover legal costs during family law proceedings.
What is a Legal Services Payment Order?
A Legal Services Payment Order (LSPO) is a court order that compels one party in family law proceedings to financially assist the other party with their legal fees. This provision is particularly relevant in cases where one party has significantly greater financial resources than the other, ensuring that both parties have access to legal representation and a fair hearing.
LSPOs were introduced under Section 22ZA of the Matrimonial Causes Act 1973, following the recommendations of the Family Justice Review in 2011. The primary aim of LSPOs is to promote fairness in family law proceedings in cases where there are substantial financial imbalances between the parties.
When Can an LSPO be Granted?
An LSPO can be granted in financial remedy proceedings on divorce. To obtain an LSPO, the applicant must demonstrate that:
- They cannot afford to pay for legal representation without assistance;
- They are not reasonably able to obtain legal services for the proceedings without an LSPO e.g. by taking out a loan;
- The other party has the financial means to contribute towards their legal costs.
Factors Considered by the Court
When deciding whether to grant an LSPO, the court considers several factors, including:
- The financial position of both parties.
- The applicant’s ability to secure legal funding through other means (e.g., loans, legal aid).
- The reasonableness of the legal costs being requested.
How to Apply for LSPOs
Applying for an LSPO involves submitting an application to the court, supported by a detailed written statement along with evidence of the legal costs incurred and estimate of those legal costs to be incurred. The applicant must also provide a breakdown of their income, expenses, and assets, demonstrating their inability to cover legal fees without the assistance they are seeking and provide evidence of the efforts they have made to seek alternative sources of funding their legal costs.
Impact on Family Law Cases
LSPOs can play a crucial role in ensuring access to justice for financially disadvantaged parties. The aim of making these orders available was to level the playing field, enabling individuals to secure legal representation to achieve fair outcomes in family law disputes. Additionally, LSPOs can encourage parties to engage in constructive negotiations towards a settlement, potentially reducing the length and cost of proceedings.
Conclusion
Legal Services Payment Orders can be a powerful tool in promoting fairness and equality in family law proceedings. Where appropriate, by providing financial assistance for legal representation, LSPOs help ensure that all parties can present their case effectively and achieve just outcomes.
How can we help?
If you need advice on LSPOs or have any other family law-related queries, please contact another member of our expert Family Law Team in Derby, Nottingham, or Leicester on 0800 024 1976 or via our online form.
Angela or the team will be happy to discuss your circumstances in more detail and give you more information about the services that our Family Law team can provide, along with details of our hourly rates and fixed fee services.
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