Thursday, 31 January 2013

Don't be the weakest link ... "bank"!


Why it’s better to set Maintenance Payments in stone.

I had a client come in to me the other week (lets call her Mary), with a query that I have heard many times before….”my childrens father has stopped paying maintenance for our daughters, can I go to Court to recover the money?”

The answer is “yes”, but in her particular circumstances “no”. You see, Mary had no Maintenance Order from the Court, she had no formal Maintenance Agreement with her ex-partner and, it transpired, would have difficulty in proving that they had any Maintenance agreement that he was now defaulting on.

This happens far too often. I see in this weeks Examiner that just one quarter of people found to owe child maintenance payments last year, began making payments after being contacted by the Department of Social Protection.

Mary had separated from her ex about two years previously. They had never been married. They agreed between them that he would pay maintenance of €100 per week for the two girls directly to Mary and she found it easier to get it in cash from him and spend it directly on expenses for the girls growing needs. All motored along gaily for 6 months, while their relationship remained amicable however, matters took a turn and for reasons best known to himself, he stopped paying.

Mary, thankfully at the time, was in a good job and managing well financially without State assistance and soon realised that she did not need the funds for immediate expenditure on the girls.  She decided not to pursue the money and instead to allow it to “clock up”, with the intention that she let it build into a nice nest egg for the girls and pursue it when she needed it.

But, as is the sorry story for many these days, about 2 months ago, Mary’s employer’s business folded and she lost her job.  She was obliged to apply for One Parent Family Payment.  She learned that she was obliged to pursue the children’s father for Maintenance and felt safe in the knowledge that she could both apply for a Maintenance Order and pursue the arrears.  It wasn’t going to be that easy.  I explained that, yes, we can bring a Summons for a Maintenance Order but that any Maintenance Order would only be able to provide for payments going forward and not provide for back payments.  If, however, she had entered into a Maintenance Agreement two years previously, or obtained a Maintenance Order at the time, we could sue for the breach of the Agreement or Order and recover some or all of the arrears, or, even better, use the existence of the Agreement or Order to talk sense to her ex and get things back on track without having to go to Court.

Mary had failed to “bank”, when things were getting dicey and was now left with having to satisfy a Judge that while there was very little proof of one on paper, that there was a maintenance agreement that he has now breached.

We have tried to resolve it with his Solicitor who has taken the position that there was never such an agreement.  All is not lost and we are going to give it a shot in Court…at the very least she will likely achieve a Maintenance Order which will secure the payments for the foreseeable future, but she may have to kiss the nest egg goodbye…..

….Oh it would have been so much easier, had she “banked”.


Colette McCarthy
Wolfe & Co.
087 0508541

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