Property Division: Equalization and The Family Law Act

Property Division: Equalization and The Family Law Act

All married couples in Ontario already have a “prenup” - the law in place that sets out what happens to your property when they separate. As soon as you get married, you “opt in” to this process. Under the terms of this “prenup”, you may have to share the entire value of a home you brought into your relationship, share your business, and share inheritances and gifts. You can contract out of this “prenup” by getting your own.

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Business Owners and Separation, Part 2

Business Owners and Separation, Part 2

In a separation, businesses play a twofold role. First, in equalization, businesses are defined as an asset, similar to a home or a pension, to be divided equally among the spouses. And second, in spousal support where business income can help dictate the amount of support a spouse may be obligated to pay. In an earlier blog post, we looked at the concept of double dipping as it relates to pensions. But do the restrictions around double dipping apply to other assets too? This post looks at the difference between pensions and businesses.

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