Expensive Purchases in Prenups: Joint or Sole Property?

matrimonial property

Contact

Lisa Pepper

Table of Contents

Prenuptial agreements: are expensive purchases joint or sole property?

The experienced family lawyers at Osbornes Law advise wealthy and high net worth individuals on the terms of prenups; and on separation and divorce.

While a prenuptial agreement cannot cover every eventuality, clients should at least consider providing for the likely scenarios to avoid the risk of dispute. A new ruling [Loh v Loh-Gronager [2024] EWFC 241] comes after a prenup anticipated the parties’ joint accounts being used for household expenses – but not the funding of expensive items to furnish the matrimonial property.

Who, then, owned those items?

What happened in Loh v Loh-Gronager [2024] EWFC 241]?

The parties married in October 2019 and separated in May 2023. The Wife (‘W’) called Wei-Lyn Loh, 41, was hugely wealthy – the majority of her wealth comprising business assets. She was also the beneficiary of a family trust.

The Husband (‘H’) – Ardal Loh-Gronager, 33, was also wealthy. He was formerly a banker before leaving in 2018 to renovate their substantial home in North London.

The parties entered into a prenup seven months before their marriage. The agreement defined ‘joint property’ as property in which legal title was held in both their names. It also recorded that the parties’ joint bank account “will be regarded as Joint Property irrespective of the contributions either [party] make to it from time to time” and would be used to “cover all utility bills and general household expenses at the Matrimonial Home and also both parties’ day to day living expenses”

During the marriage, W had spent millions of pounds on items (‘chattels’) to furnish the matrimonial home during the marriage, using funds from their two joint accounts.

It was not disputed that W was the sole legal owner of the items she had purchased. W had also funded similar purchases from her own personal bank accounts which H had facilitated, but there was no dispute about the ownership of those items either.

What is classified as joint property?

The issue in dispute which the court had to decide was whether the items paid for out of the joint accounts were to be classified as ‘joint property’, irrespective of each party’s contributions to the funds in the accounts (in which case H would be entitled to a share); or whether the items should be divided according to their respective contributions (in which case W would take more).

H argued that all the cash W had paid into the joint accounts had become their joint property, therefore any purchases made with those funds must be treated as if each had contributed equally.

However, the Judge accepted W’s argument that they were not ‘jointly acquired’, given that one account-holder is entirely free to buy items with funds from a joint account. A further factor was that the joint account included substantial funds transferred from accounts that were previously her own separate property.

The Judge decided that where cash in their joint account was used to fund purchases solely in W’s name, H derived no financial interest in it (unless he made an actual financial contribution to it). The chattels were not, therefore, jointly acquired.

H was not entitled under the terms of the prenup to any interest in the items purchased by W – those items were her separate property.

The need for clarity

The decision reinforces the distinction between solely-owned and joint chattels and property, and the relevance of the parties’ respective financial contributions.

Importantly, the Judge noted that the parties had intended the prenup to be a clear account of their intentions going forward in respect of the joint accounts. But in practice, their use of the accounts was expanded beyond the stated household bills and living expenses stated in the prenup.

The prenup did not anticipate the joint accounts being used to purchase valuable chattels – an expensive omission.

How we can help

Anyone who is considering the terms of a prenup, or has concerns as to how an existing prenup could impact the division of property on divorce should seek expert legal advice.

To speak with one of our solicitors, contact us by:

  • Filling in our online enquiry form; or
  • Calling us on 020 7485 8811

Share this article

  • “Osbornes handle a significant amount of complex, high-value divorce work.”

  • “The family law team at Osbornes is one of the strongest in London; across all areas of work from international cases, financial and children work, Osbornes is a market leader.”

Get Expert Legal Advice Today Our experienced team offers clear, practical advice tailored to your needs Get Expert Guidance

Contact us today

Email us Send us an email and we’ll get back to you






    • Osbornes is a hugely impressive firm that offers strength and depth to its clients.

      Legal 500 2025

    • Lisa's substantial insight into financial disputes involving high-net-worth individuals is where her skills lie.

      Legal 500 2025

    • Yael Selig is bilingual in Spanish and English. She is the go-to person for divorce cases involving Gibraltar particularly, or Spain.

      Legal 500 2025

    • Lisa pepper heads the Mediation team and she is often mediating for high-net-worth individuals in both financial and private children matters.

      Legal 500 2025

    • The family law team at Osbornes is one of the strongest in London.

      Legal 500 2025

    • Osbornes‘ family team is headed up by Mark Freedman, a mediator and fighter who will get the job done on both complex financial matters and international children cases.

      Legal 500 2025

    • A market leader across public law, international cases, financial and children work.

      Legal 500 2025

    • "Osbornes Law have a very broad family practice which does all areas of family law at a high level. They have an excellent practice; they are top quality across the board."

      CHAMBERS UK 2023

    • Lisa Pepper is particularly recognised for her role as a mediator in complex cross-border disputes. Her practice also includes handling prenuptial agreements and issues arising from divorces. She is additionally skilled in Schedule 1 and other child arrangement matters.

      Chambers UK 2023

    • Mark Freedman frequently takes on high-value financial and children proceedings that involve complex tax, trust and accounting issues.

      Chambers UK 2023

    • "Andrew Watson is respected and tenacious in matrimonial finance. You would want him on your team."

      Legal 500 2023

    • "David Leadercrammer is such an experienced wonderful lawyer who you would want on the other side of your case. He’s sensible, pragmatic and hugely experienced in money and children cases."

      Legal 500 2023

    • Osbornes have been a sound firm forever. They have phenomenal work and an excellent skill set.

      Chambers HNW 2022

    • Osbornes have high-end partners doing high-end work. They are very impressive.

      Chambers HNW 2022

    • They have an excellent practice; they are top quality across the board.

      Chambers HNW 2022

    • Osbornes have a very broad family practice which does all areas of family law at a high level.

      Chambers HNW 2022

    • He is very hard-working, diligent and thoughtful in his approach. He is on top of the detail and makes strategic decisions.

      Chambers HNW 2022

    • He commits himself to getting the best results.

      Chambers HNW 2022

    • He’s a really tough litigator that you certainly want on your side. He will defend his clients to the hilt.

      Chambers HNW 2022

    • Mark is an immensely capable lawyer, with vast experience and a well-deserved reputation for getting the very best for his clients.

      Chambers HNW 2022

    • Lisa Pepper is extremely hard-working and adored by her clients. She is a very empathetic and approachable lawyer.

      Chambers HNW 2O22

    • She’s an extremely supportive and kind lawyer and has an increasing mediation profile too

      Chambers HNW 2022

    • The Osbornes mediation team is excellent and has some good individuals.

      Legal 500 2022

    • "Continues to receive a growing number of instructions from high-net-worth individuals, frequently with cross-border components, and advises on a steady flow of complex cohabitation matters, often involving large property portfolios."

      Chambers UK

    • Andrew secured me the best financial settlement for my claim. He is a credit to Osbornes Solicitors.

      Family Department Client

    • "Lisa Pepper was recommended to me as non-nonsense and able to help me with a difficult and confrontational divorce. She more than lived up to that – she was practical, collected and always available with a clear opinion and suggestions of how to move forwards. She also was open and helpful about costs and how to mitigate them"

      Legal 500 2021

    • "It has a strong and experienced team of solicitors who don’t take bad points, work sensibly to get a settlement and who you can always pick up the phone and speak to. They are good lawyers and know the strengths and weaknesses of their clients’ cases. They don’t posture and always pursue their clients cases appropriately. "

      Legal 500 2021

    • "Mark Freedman is a very capable lawyer, renowned for not being a pushover and pushing his clients’ cases as much as he can, but will always talk sensibly about settlement. He is among the best – tenacious, good judgment and tactically aware."

      Legal 500 2021

    • "Mark Freedman is a dynamic and highly experienced family lawyer who fights extremely hard for his clients and is always in their corner, thus ensuring their loyalty and confidence. In a trial you would always want him on your side."

      Legal 500 2021

    • "Bridget Thompson combines her excellent legal knowledge with a clear, succinct and robust style of advice and advocacy. Her approach clearly inspires a high degree of client confidence in her"

      Legal 500 2021

    • "She has impressed me as someone who fights my corner but also understands the importance of resolving issues without unnecessary escalation. She is calm and reassuring."

    • "Her mediation practice is exceptional; she is also a great solicitor and has a breadth of skill which is really useful."

      Chambers UK 2021

    • "He is really experienced and wise. He has a lovely manner about him and clients feel safe with him."

      Chambers UK

    • "Jo Wescott is top notch and widely recognised as a rising star throughout the profession. She brings a winning combination of great judgement, an immense work ethic, and a relaxed and charming way with opponents and clients alike. Someone you want on your side”

      Legal 500 2021

    • "Osbornes is pre-eminent for family law in North London. Mark Freedman is a real rainmaker. He is an excellent lawyer and has a top-notch practice"

      Legal 500 2020 - Mark Freedman

    • Mark Freedman is intelligent and personable and has a good selection of high-net work cases.

      Legal 500 2020 - Mark Freedman

    • "Exceptional value for money. Highly competent and reasonably priced. Mark Freedman: one of the best in the field."

      Legal 500 2020 - Mark Freedman

    • "Client-focused. Ready to fight the clients’ corner, but also ready where possible to steer client from unnecessary dispute. Mark Freedman – very experienced, with good instinct for the eventual result. Clients love him and he thinks ahead and directs the client to the best result for the client."

      Legal 500 2020 - Mark Freedman

    • Mark Freedman is a serious player. A fearless family law litigator, who protects his clients’ interests passionately.

      Legal 500 2020 - Mark Freedman

    • Breadth of knowledge and willingness to go the extra mile is what makes it stand out. Mark Freedman – devoted to his clients

      Legal 500 2020 - Mark Freedman

    • Mark Freedman frequently takes on high-value financial and children proceedings that involve complex tax, trust and accounting issues. Sources praise the "tenacity and common sense" he brings to challenging disputes.

      Chambers UK

    • "Mark is very experienced, competent, good with clients and takes a sensible approach to cases. He knows exactly what he's doing."

      Chambers & Partners Directory 2020, Mark Freedman

    • "An exceptional outfit. They take on difficult cases, fight hard and win."

      Chambers UK

    • "They are an outstanding firm to work with. They are consistently impressive in their work."

      Chambers UK

    • "The team frequently deals with cross-border estates for high–net-worth individuals."

      The Legal 500

    • "Mark Freedman is a real heavyweight litigator who has dealt with some very significant cases."

      The Legal 500

    • "Mark Freedman boxes clever, keeps his powder dry and when it comes to the end game he negotiates a really good deal."

      The Legal 500

    • "Mark Freedman has a specific focus on high-net-worth divorces and finance cases where there are overseas assets and trusts."

      The Legal 500

    • "Lisa Pepper somehow manages to get parties to settle on matters where there isn’t much hope to start out with."

      The Legal 500

    • "Well-regarded family practice assisting clients with substantial matrimonial disputes and sensitive children proceedings."

      Chambers UK

    • "Mark Freedman draws acclaim for his work in high net worth divorce cases, including those involving company structures, family trusts and overseas assets."

      Chambers UK 2019

    • "He never gives up. He fights for you to the end and has boundless energy."

      Chambers UK

    • Bridget Thompson heads the family team, where client care is the top priority.

      Legal 500

    • Mark Freedman advises high-net-worth clients and knows his stuff.

      Legal 500

    • Highly regarded for his experience as a litigation and mediation expertise, Mark Freedman is tenacious and determined. Clients really feel that he is fighting their corner.

      Chambers UK

    • Andrew handled a very complex, 3 year legal battle for me, with a tremendous amount of patience and professionalism. He is very approachable, always kept me up to date, by phone and e-mail, and responded very quickly to my queries with excellent advice, sound strategic thinking and strong letters to put the other side under pressure. With top contacts for barristers, joint experts and mediation.

      Family Department Client

    • [The Family Law department] handles significant matrimonial finance cases and complex nuptial agreements. Respected for its expertise in cross-border children law matters.

      Chambers UK

    • They have a really good, strong team, with the junior elements punching well above their weight. It doesn't matter who you talk to; they are all switched on."

      Family Law department client

    • Mark Freedman represents high net worth clients in complex financial disputes. Sources say that "he's a determined negotiator who'll always do the very best for his clients.

      Chambers UK

    • Osbornes fields a sizeable team with many standout lawyers.

      Legal 500

    • "Mark Freedman receives a lot of instructions from clients based abroad, often relating to complex divorce proceedings. Sources say: “His main strengths are his enthusiastic passion for the job in hand and his total dedication to his clients.”

      Chambers UK

    Related InsightsVIEW ALL

    1. hampstead heath houses
      8.8.2024

      Wife’s Award Increased Due to Failure To...

      Understanding the Impact of Changed Circumstances on Prenuptial Agreements Prenuptial agreements have become the norm where a husband or wife...

      Read more
    2. britney spears
      22.8.2023

      Does Britney’s Spears Prenup Protect Her Assets?

      News has emerged of Britney’s marriage breakdown earlier this month when Sam Asghari filed for divorce, citing irreconcilable differences....

      Read more
    3. two ladies talking
      28.6.2023

      Why It Is Important to Involve First Class...

      Prenups have historically have a bad reputation, but they are starting to lose the negative stigma and are now common...

      Read more
    4. Prenup agreement and gavel
      7.12.2022

      IR v OR: Judge Dismisses Pre-Nup in Landmark £184...

      One of the reasons I am still passionate about family law, after 20 years in the field, is that it is...

      Read more
    5. prenuptial agreement
      5.3.2021

      Can you contest a prenuptial agreement?

      Contesting a prenup Kanye West and Kim Kardashian are getting a divorce after nearly seven years of marriage.  According to...

      Read more
    6. wedding dress
      17.6.2010

      When did Prenups become Enforceable in the UK?

      On 20th October 2010, the highest court in the land had the final say in one of the most eagerly awaited...

      Read more

    VIEW ALL