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Ask Clare Your Own Question
Clare
Clare, Family Solicitor
Category: Family Law
Satisfied Customers: 34585
Experience:  I have been a solicitor in High Street Practise since 1985 and have specialised in Family Law for the last 10 years
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HiI have a draft Consent Order under The Matrimonial causes

Resolved Question:

hi
I have a draft Consent Order under The Matrimonial causes Act 1973 infront of me-drafted and exchanged a number of times between the 2 solicitors. My son is an applicant and wife is respondent.I need assistance in drafting a COMPOUND INTEREST clause if the respondant fails to pay on time. I am not happy with the clause drafted by the solicitors.
I also need some clarifications on The Charging Orders act 1979
Submitted: 1 year ago.
Category: Family Law
Customer: replied 1 year ago.
The existing interest clause in the draft consent order is:
(i) In the event of a default of a lump sum payment, it is directed that simple interest shall
be payable by the respondent on the lump sum (or such amount as remains from time to
time outstanding) at the rate applicable for the time being to a High Court judgment debt
on the defaulted payment from the date the payment falls due until the dates on which
the instalment sum is paid in full. For the avoidance of doubt, such interest to be
compound.This is contradictory in that the first line states simple interest and the last line states compound.I need a clause to unambiguous in that the interst is charged at judgement rate until the amount is fully paid and that the interest is to be compounded on a monthly basis. Until all principal, interest and recovery costs are fully pad, the discharge can not be fully given
Expert:  Clare replied 1 year ago.
HiThank you for your questionMy name is ***** ***** do my best to help you but I need some further information firstWhat is the nature of the lump sum being paid and how is it going to be raised
Customer: replied 1 year ago.
The lump sum is in respect of consent order being sought by the 2 parties for clean break settlement. the amount is £300,000 to be paid in 1 lump sum in a years time.the respondant, the payer, has property assets and other assets which are not part of the joint or matrimonial assets as agreed by both the parties .She may have to sell something or may not sell something.
Expert:  Clare replied 1 year ago.
I am afraid that the Court will not Order monthly compound interestI suggest that you ask for the word "simple" to be removed from the first line and the word "annually" be added to the end of the paragraphThis will achieve the best possible compromiseI hope that this is of assistance -please ask if you need further detailsClare
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