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How the law is changing divorce in Hong Kong - the 'graveyard of marriages'

In the final of a two-part series on divorce, Charley Lanyon looks at how a recent court ruling on prenuptial agreements is likely to change legal settlements among high-income couples

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Florence Tsang won a HK$1.22 billion divorce settlement, although the sum was later reduced to HK$411 million. Photo: Edward Wong

Hong Kong has the dubious honour of having been crowned the divorce capital of Asia, according to Marcus Dearle, a partner at law firm Withers, which handles some of the city's most lucrative divorce cases.

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Dearle was in a celebratory mood last month following a big win for the firm. It was one that could change the landscape of divorce proceedings in Hong Kong, and is being closely watched by legal scholars and high-income couples alike.

On June 9, Sharon Ser, the head of the firm's family department, won a court case known simply as SPH vs SA, which brought Hong Kong into line with English law in regards to prenuptial agreements.

It instructs local courts to follow the findings of a ground-breaking 2010 English prenuptial case, Radmacher vs Granatino. That means the court should honour any prenuptial agreement freely entered into by both parties, "unless in the circumstances it would not be fair to hold the parties to their agreement", says Withers.

Now that prenuptial agreements carry legal weight in Hong Kong, their popularity will continue to surge, lawyers say.

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Overall, the sheer number of divorces in the city is startling. According to Jennifer Ip of law firm Ip & Heathfield, 22,000 couples filed for divorce last year, of which 20,000 were granted. Matrimonial lawyers also refer to Hong Kong as the graveyard of marriages.

Marcus Dearle, of law firm Withers. Photo: Berton Chang
Marcus Dearle, of law firm Withers. Photo: Berton Chang
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