The Financial Remedies Transparency Pilot Scheme

In a recent decision by Sir Andrew McFarlane following the 2021 ‘Transparency in the Family Court’ review, a new transparency pilot scheme will begin on 29^th January 2024 which will allow the media to report on financial remedy proceedings within the Financial Remedies Court (FRC).

The FRC reporting pilot will only cover a limited number of courts, namely; the Central Family Court in London, Birmingham and Leeds. As part of the pilot, these courts will now open their previously closed doors to journalists and legal bloggers to allow them to report on financial remedy proceedings. Journalists will be able to attend both in person and remote hearings and should give advance notice of their intention to attend.

The intention behind opening up the financial remedy process to the media, is that it will benefit the general public in understanding the process, when in the past most couples go into the situation relatively blind, with very little understanding of what is expected from them. The new pilot may make the process easier for anyone with anxiety going into it. It will also allow greater public scrutiny of the process itself, which will ensure it remains fair to everyone. Judgements that are currently published are cases from the High Court, which are usually cases that are not representations of a typical family’s finances. More judgements being published and reported on will allow for more consistent rulings across similar cases.

It could also discourage people from hiding assets if proceedings are open to being reported on. This would be particularly beneficial in cases where one party owns a business, when it isn’t always clear to the other party what their real financial situation may be. The possibility of proceedings being reported on could put to rest those worries, as there is incentive to give proper full and frank disclosure to avoid any negative media attention being drawn towards the business.

Not all hearings within the process will be open to journalists, Financial Dispute Resolution hearings (FDRs) will not be included in the scheme, to protect the confidentiality of a settlement negotiation before the judge. These shall continue to be without prejudice settlements, which under the rules of court still cannot be attended by media or referred to publicly. Out of court settlements by way of a Consent Order will also remain private. The change may also encourage more people to use alternatives to the court system, such as mediation or arbitration.

Journalist may also be given sight of court documents, such as the ‘ES1’ (a document that gives an overview of the case) and position statements. Journalists will not be allowed publish many details of the proceedings, when a reporter attends a financial remedy hearing, the Court will consider making a ‘Transparency Order’ including any restrictions on what they can publish from the case. Both parties must be prepared to address the Court on whether a Transparency Order is appropriate.

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If you would like to speak to one of our expert family solicitors, ring us on 0800 015 0340 or email us at info@chadwicklawrence.co.uk.