When unmarried Bermudians move in together they should consider what might happen if they later go their separate ways or one partner passes away.

The law in the United Kingdom governing such situations is similar to the law in Bermuda, and so a review of a leading UK case is instructive.

In 1975 two Londoners, Mr. Stack aged 19 and Ms Dowden aged 17, started living together in rented accommodation. In 1983 Ms Dowden purchased a property in Purvis Road London, from the estate of her uncle.

Before passing, Uncle Sidney had expressed a wish that Ms Dowden should buy the property and so the price of around $55,000 was considered favourable to her. Ms Dowden had savings of around $11,000 in her name only.

The savings became the deposit for Purvis Road and Ms Dowden raised a mortgage, in her name only, to pay the balance.

Ms Dowden also made all payments due under the mortgage and paid the utility bills. Mr. Stack said he wanted no responsibility for the mortgage.

Ms Dowden worked hard for London Electricity and became the most highly qualified female engineer in London.

Mr. Stack was less successful as a builder/decorator who kept no financial records but did not claim welfare.

Mr. Stack substantially improved Purvis Road and the property was sold in 1993 for around $160,000.

A new home at Chatsworth Road was purchased for $250,000. Both names went onto the deed and the mortgage, but importantly there was no declaration as to the contributions of each party.

The unmarried couple now had four children and Mr. Stack was earning around $27,000 and Ms Dowden $55,000.

Unfortunately by 2004 the relationship had broken down. Mr. Stack had a restraining order against him, forcing him to leave Chatsworth Road.

Three minor children remained at Chatsworth Road with Ms Dowden.

There followed a bitter legal dispute between Mr. Stack and Ms Dowden over the Chatsworth Road property.

The dispute expensively went to court and later, even more expensively, to the Court of Appeal and finally to the House of Lords. In late 2005 the Chatsworth Road property was sold for around $1,000,000.

As the couple had not declared their respective contribution levels for the purchase of Chatsworth Road, there was a disagreement about what they were.

The couple only ever had the Chatsworth Road house and the mortgage in joint names. Ms Dowden paid all other regular commitments.

On the separation of a married couple, a court usually splits common assets equally and then looks at the needs of each party, and then further splits assets accordingly.

Mr. Stack and Ms Dowden were not married, but Mr. Stack still claimed half of the value of Chatsworth Road.

On separation of an unmarried couple the law of trusts applies, and there is a presumption against gifts from one to the other. The matter wound its way through the courts, and when the case got to the House of Lords Mr. Stack had been awarded 36 percent of the value of Chatsworth Road but he wanted more. The House of Lords found Mr Stack was not entitled to any more.

After the House of Lords judgment much of the $1,000,000 value of Chatsworth Road had been spent on attorneys' and court fees, with Mr. Stack getting 36 percent, and Ms Dowden, 64 percent, of what was left.

In Bermuda there is no legislation designed for cohabiting couples.

Because of that, one partner (or ex partner) will typically have a difficult and expensive exercise trying to claim assets that are solely in the name of the other. If a property is purchased in Bermuda, cohabitees can purchase as "joint tenants", in which case each partner will be entitled to 50 percent of value on a sale.

Alternatively, the purchase could be as "tenants in common" and that will remind the attorney to ask what share in the property each partner will have.

A "joint tenants" purchase means if one partner passes, the other automatically inherits the whole property, without the need to refer to the deceased's will or the intestacy rules.

The relevant share of a "tenant in common" does pass by will or under the rules of intestacy.

The intestacy rules govern which relations get what share of a deceased's estate when there is no will. Cohabitees are not entitled to any share of a deceased partner's estate under the intestacy rules and nor is there any claim under the laws that assist dependents.

Even the most romantic cohabitees should get an attorney's opinion about what arrangements can be put in place in case of a separation, or if one partner passes away. Where no special arrangements have been made, the likelihood is that will mean no share for the other ex partner.

Attorney Neil Molyneux is a member of the Property Practice Group at Appleby. A copy of this column is available on the firm's web site at www.applebyglobal.com.

This column should not be used as a substitute for professional legal advice. Before proceeding with any matters discussed here, persons are advised to consult with a lawyer.