A Financial Dispute Resolution (FDR) hearing is a key stage in financial proceedings following divorce or civil partnership dissolution. Its purpose is to help both parties reach a settlement without the need for a costly and stressful final hearing.
What is an FDR hearing?
An FDR hearing is a private court hearing where both parties, their legal representatives, and a judge come together to negotiate a financial settlement. The judge does not make a binding decision but instead provides guidance and an indication of what the likely outcome would be if the case went to a final hearing. This process is conducted on a “without prejudice” basis, meaning discussions cannot be referred to later in court if negotiations fail.
The role of the judge
The judge’s role is to:
- Review the financial disclosure and settlement offers submitted by both parties.
- Highlight the key issues and obstacles to settlement.
- Provide an early neutral evaluation of the case, including likely outcomes based on the law and facts.
- Encourage compromise and realistic negotiation.
Importantly, the judge at the FDR will not be involved in any future hearings, ensuring impartiality if the case proceeds to trial.
What happens on the day?
- Pre-hearing discussions: You will usually meet your solicitor and/or barrister before the hearing to review your position and any offers.
- Position statements: Each side provides the judge with a summary of assets, income, debts, and key issues.
- Judicial indication: The judge gives their view on a fair settlement.
- Negotiations: Most of the day is spent negotiating “behind the scenes” between legal teams, using the judge’s guidance as a framework.
- Outcome:
- If an agreement is reached, it is recorded in a Consent Order for court approval.
- If no agreement is reached, the judge will give directions for the next stage, usually a Final Hearing.
How to prepare for an FDR hearing
Preparation is key to making the most of your FDR. Here are some practical tips:
- Complete full financial disclosure
- Ensure your Form E and supporting documents are accurate and up to date.
- Include bank statements, property valuations, pension statements, and any other relevant financial information.
- Review settlement offers
- Consider any offers you’ve made or received.
- Be clear on your priorities and what you are willing to compromise on.
- Prepare a realistic budget
- Understand your income needs and future expenses.
- This helps you assess whether proposed settlements are practical.
- Work closely with your legal team
- Discuss strategy and possible outcomes with your solicitor or barrister.
- Be open about your goals and any concerns.
- Stay open-minded
- The judge’s indication is a valuable guide – use it to inform your negotiations.
- Remember, the aim is to avoid the stress and cost of a final hearing.
How can we help?
Naomi Bond is a Senior Associate in our expert Family Law Team.
If you need advice on any divorce-related matter or have any other family law-related queries, please contact Naomi or another member of the team in Derby, Nottingham, or Leicester on 0800 024 1976 or via our online form.
Naomi 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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