Wondering who gets what?
In Saskatchewan and British Columbia, the law varies between provinces. However, the common underlying principle is that, unless otherwise ordered by the court or agreed to by the parties, each party in a spousal relationship either common law or through legal marriage has a claim to an equal division of the family property or the equivalent in monetary value. Property owned individually before the marriage or common law relationship and kept separate and apart can be an exception.
There are a number of exceptions and circumstances that the court will consider, which may result in one party receiving a larger share of the family property than the other. These vary based on individual circumstances. Contact us today to get legal advice to determine how the law applies to your specific circumstances.
Who gets the house?
Usually, the Family Home is included as part of the family property and each party is entitled to half of its value (or the equity in the Home if you still have a mortgage or a debt registered on the title). If the Family Home is sold, as it often is, then the net proceeds are split equally between the parties. The net proceeds are the amount remaining after closing costs have been deducted. Note that if one party has been paying the mortgage after separation, the party may be reimbursed for the amounts paid in that regard, depending on the circumstances.
If the Family Home is not sold, then the party who retains the Family Home pays the other person their share of the value of the Home either in cash or by giving up the equivalent in other family property.
Property division can be complicated
When more than one real property or a business or farm is involved, property division can quickly become complicated, whether or not the courts are involved in the divorce or separation proceedings. Unwanted tax implications can also arise if a separation agreement is not properly drafted or if parties do not diligently attend to legal transfer of property after the proceedings are completed. You can be assured of our compassionate and unflinching support to see your family matter through to the end, even after legal proceedings are concluded.
Pre-nuptial, Cohabitation Agreement and Interspousal Agreements can be immensely useful to prevent a dragged-out process and potential complications that can arise in adversarial property division. Call us today to have one drafted for you, even if you may not think it is required now, it may be needed in the future.