Property Division


Determining division of assets can place undue stress on you during your time of separation. We’re here to help.

 
For married spouses

For married spouses, there is a formalized process for the division of property dictated by the Family Law Act, known as equalization of net family properties.

Either spouse may bring a claim for a limited period of time following the date of separation. If the parties cannot mutually agree on the date of separation, the date must be determined.

Many spouses erroneously believe that property division simply entitles one party to one-half of the other party’s assets. This is a fallacy. Equalization payments account for the growth in value of each party’s assets during the marriage.

Determining property division requires full disclosure of all personal property, assets, businesses, debts, and liabilities.

For these reasons, it is very important to consult with a family lawyer if there are property issues to be resolved between you and your spouse.

For common-law spouses

Unlike married spouses, there is no legislated process by which common-law spouses divide family property.

Instead, common-law spouses must rely on common law and equity claims to establish on a balance of probabilities a right to any division of property and assets accumulated during the length of the relationship, or to any property owned by the other spouse to which you may have contributed financially.

Because a common-law partner is not automatically entitled to the division of family property, any division is fact-driven and presents its own challenges.

It is therefore very important to consult with an experienced family lawyer if you are separating from a common-law spouse and believe there are property issues.

Call us at 365-608-6161, email us at info@holamlaw.com, or fill out the form below to schedule an appointment today.

FAQ about separation

+ Do I have to share my pension with my spouse?

If you are married and you do not have a Marriage Contract specifically excluding your pension, then it will be considered an asset, just like any other asset, that must be equalized when you separate.

+ Can my spouse kick me out of the matrimonial home if I’m not on title?

Because the matrimonial home has special status under Ontario family law, regardless of who holds title, both spouses have equal rights of possession to the home until those rights are voluntarily relinquished, or through an order of the Court. A party has the option of asking the Court for an order granting him/her exclusive possession of the home. In short, no, you cannot be immediately kicked out of the home if you are not on title.

+ The matrimonial home is only in my name. What happens if I separate/divorce?

If you have a Marriage Contract setting out how this asset is to be divided upon separation, good for you! The terms of your contract will dictate how the home will be divided between you and your former spouse. However, if you do not have a Marriage Contract, the matrimonial home has special status under Ontario family law regardless of who holds title. The value of your home at the time of separation will therefore be subject to equalization between you and your former spouse.

+ What happens to our pet if I separate/divorce?

Many of us consider our pets to be members of our family, but in Ontario, pets are still considered as property. Pets will therefore be divided according to ownership. That being said, it’s not uncommon for people to negotiate terms into their Separation Agreement providing for how their beloved pet will be shared and cared for.

+ What happens to the engagement ring if I get separated/divorced?

It depends. If the wedding is called off, there may be a requirement to return the engagement ring. If the wedding is not called off and you get married, the ring is yours, however you may need to share in the appreciation of the value of the ring between the date of marriage and date of separation. To ensure that there is no misunderstanding, a Cohabitation Agreement or Marriage Contract can set out how the ring will be treated in the event of a separation.

+ What is an uncontested divorce?

An uncontested divorce is when one party files an application for divorce, and the other spouse does not file an answer because he/she does not oppose or contest the divorce. Generally at this stage, the parties have already resolved all of the issues arising from their separation such as custody, access, child support, property division/equalization, etc., and are ready to move forward with finalizing their divorce. In other instances, the parties may just be looking to obtain a divorce order at that stage in their lives.

+ When would be a good time to make my will?

If you don’t already have a will and you are going through a separation, we strongly recommend that you make a will once all the issues in your separation have been resolved. If you do have a will and it was made prior to your marriage, your will will be automatically revoked upon your subsequent marriage unless the will was made in contemplation of that marriage. It is therefore highly recommended that you have a will done immediately after the issues in your separation have been resolved.
 
Schedule a consultation

The first step in resolving your family dispute is to contact us for a consultation so we can better understand your circumstances. Consultations can take place by telephone or Zoom.

Call us at 365-608-6161, email us at info@holamlaw.com, or fill out the form below to schedule an appointment today.