Add-backs in both high-value and modest/low value cases

Richard Harrington, Parklane Plowden Chambers

This article examines the principles governing add-back in financial remedy proceedings across both high-value and modest/low-value cases.

It considers whether add-back can apply to pre-separation conduct, how such claims should be pleaded, and reviews key authorities where add-back arguments have succeeded and failed. It also addresses the practical reality of advancing add-back claims in modest or low-value asset cases.

The article concludes that while there is a high threshold to succeed with an add-back argument, a significant obstacle in modest or low-value asset cases is the principle of needs. Even where reckless or wanton dissipation is proven, the court will often be unable to apply the add-back principle as it does not recreate monies.