MALTA Law and Practice Contributed by: John Bonello and Elian Scicluna, 8Point Law
2.2 Service and Process in Financial Proceedings
into effect in Malta – provided in either case that such person is present in Malta; • any person, with regard to any obligation contract ‑ ed in favour of a citizen or resident of Malta or in favour of a body with a distinct legal personality or an association of persons incorporated or operat ‑ ing in Malta, if the judgment can be enforced in Malta; and • any person who, expressly or tacitly, voluntarily submits or has agreed to submit to the jurisdiction of the court. In an action for divorce, at least one of the following requirements must be satisfied: • one of the spouses is domiciled in Malta on the date of the filing of the demand for divorce before the court; or • one of the spouses was ordinarily resident in Malta for a period of one year immediately preceding the filing of the demand for divorce. In the case of disputes where a defendant is domiciled in an EU member state, the provisions of Regulation (EU) No 1215/2012 of the European Parliament and of the Council of 12 December 2012 on jurisdiction and the recognition and enforcement of judgments in civil and commercial matters (recast) are applied by the Maltese courts.
The service requirements and timelines outlined in 1.1 Grounds, Timeline, Service and Process are also applicable to financial proceedings. 2.3 Division of Assets In terms of the Maltese Civil Code, three matrimonial regimes may apply in this jurisdiction: • the Community of Acquests; • the Separation of Estates; or • the Community of Residue under Separate Admin ‑ istration (CORSA). The default position is the Community of Acquests, although couples may elect to have the regime of Separation of Estates regulating their financial mat ‑ ters. CORSA is seldom resorted to. In terms of the Community of Acquests, assets acquired after marriage are deemed to be jointly owned by the spouses, thereby safeguarding the financial interests of the less affluent spouse. Howev ‑ er, personal possessions owned before the marriage (paraphernal property) remain separate. Inheritance, even if acquired during marriage, is deemed parapher ‑ nal property. In terms of the Maltese Civil Code, the Community of Acquests applies automatically with regard to expatriates who relocate to Malta, unless they agree to exclude such regime by public deed. The regime of Separation of Estates aims to keep assets distinct so that acquests made by the indi ‑ vidual spouses during marriage remain distinct. This regime shields family assets from potential creditors in the event of bankruptcy of a commercial undertaking of either spouse. Specific rules apply to the matrimonial home. Irre ‑ spective of the ownership of the spouses’ abode, the court may give specific directions as to which party may take up residence during and after separation. In the ordinary course of proceedings, common mat ‑ rimonial assets (often including the matrimonial home) end up being liquidated, with the proceeds shared between the parties. Given that the court can only
2. Financial Proceedings 2.1 Choice of Jurisdiction in Financial Proceedings
In the context of family proceedings, it is typical in Malta for all matters to be brought together in one process. Thus, a typical family case – be it a separa ‑ tion or a divorce – will include demands related to children’s matters and financial matters. As such, the ordinary rules for jurisdiction as detailed in 1.2 Choice of Jurisdiction in Divorce Proceedings also apply in financial proceedings.
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