Capitalising child maintenance: commutation lump sum ==================================================== Following the case of [*AZ v FM* \[2021\] EWFC 2](https://www.bailii.org/ew/cases/EWFC/HCJ/2021/2.html), [child maintenance](https://vardags.com/law-guide/how-the-courts-decide-a-financial-settlement/child-maintenance) can also be 'capitalised', similarly to spousal maintenance. In this case, Mostyn J confirmed that the court has jurisdiction to order child maintenance payments to be 'capitalised', meaning that future periodical payments can be replaced by one lump sum. He called this a "commutation lump sum" and emphasised that this would only happen in extremely rare circumstances. In this case, the following facts justified a commutation lump sum: > - There had been "incessant litigation" between the parties and the husband had repeatedly defaulted on the maintenance payments > > - The parties' daughter was 19 and the child maintenance payments were to end once she left university > > - The husband was habitually resident in the US and so the Child Maintenance Service did not have jurisdiction The full scope and application of the court's power to capitalise child maintenance has not yet been fully defined, but it seems it may an effective enforcement mechanism in cases where the paying parent has defaulted on payments and lives outside the UK, rendering other tools of enforcement ineffective. In cases like this, it is also more desirable for the court to end the financial ties between the parties, given the costs incurred by "incessant litigation". **If your ex has asked you to pay your child maintenance in a lump sum, or they have defaulted on their payments and you would like them to pay you a lump sum, contact Vardags today for a free initial consultation with one of our specialist family and divorce solicitors.** [BOOK FREE CONSULTATION](https://vardags.com/contact "BOOK FREE CONSULTATION") About Us -------- Ayesha VardagFounder & President "A DIVORCE LAWYER WIDELY REGARDED AS ONE OF THE WORLD'S BEST" The Metro Vardags offer a unique approach to the law, specially tailored to the needs of HNW individuals. We offer City-quality representation for your divorce and family law needs. Our lawyers come from the very best universities and receive the very best training - they are determined, diligent, and dedicated to getting the best outcome... [read more](https://vardags.com/about-us) [BOOK FREE CONSULTATION](https://vardags.com/contact) Related Reads ------------- ### Defaulting on child maintenance could affect your credit rating Following on from news of the 'Family Test' being unveiled, the Department for Work... [READ MORE](https://vardags.com/family-law/defaulting-child-maintenance-credit-rating "Defaulting on child maintenance could affect your credit rating") ### Emma Gill analyses the purpose and pitfalls of the Child Maintenance Service in Family Law journal Following the May 2017 release of the Commons Work and Pensions Committee's report on the... [READ MORE](https://vardags.com/posts/emma-gchild-maintenance-service-in-family-law-journal "Emma Gill analyses the purpose and pitfalls of the Child Maintenance Service in Family Law journal") ### Guide to child maintenance for unmarried parents The most recent statistics available suggest that 40.6 percent of all births in the UK are to... [READ MORE](https://vardags.com/family-law/guide-to-child-maintenance-for-unmarried-parents "Guide to child maintenance for unmarried parents") Related Guides -------------- [Challenging child maintenance](https://vardags.com/law-guide/how-the-courts-decide-a-financial-settlement/challenging-child-maintenance "Challenging child maintenance") [Child Maintenance: What You Need to Know](https://vardags.com/law-guide/how-the-courts-decide-a-financial-settlement/child-maintenance "Child Maintenance: What You Need to Know") [Failure to pay child maintenance](https://vardags.com/law-guide/parental-responsibility/failure-to-pay-child-maintenance "Failure to pay child maintenance") [My ex is refusing or unable to pay child maintenance](https://vardags.com/law-guide/how-the-courts-decide-a-financial-settlement/my-ex-is-refusing-or-unable-to-pay-child-maintenance "My ex is refusing or unable to pay child maintenance") [Varying child maintenance](https://vardags.com/law-guide/how-the-courts-decide-a-financial-settlement/varying-child-maintenance "Varying child maintenance") [Family Court Powers in Divorce](https://vardags.com/law-guide/how-the-courts-decide-a-financial-settlement/what-tools-are-at-the-family-courts-disposal "Family Court Powers in Divorce") The information on this website is intended as a guide and does not constitute legal advice. Vardags do not accept liability for any errors in the information on this website, nor any losses stemming from reliance upon the statements made herein. All articles and pages aim to reflect the legal position at time they were published, and may have been rendered obsolete by subsequent developments in the law. Should you require specialist advice, tailored to your situation, please see how Vardags can help you.