Division of
Property - Equalization Payment
It is important to note that there
is no entitlement to property
division unless you are married.
There is a significant difference
as to how the law treats married
spouses versus couples who are not
married.
If you are not married all is not
lost as there is another potential
avenue to pursue. That is a claim
for unjust enrichment, sometimes
referred to as constructive trust.
If you are married then there is a
fairly strict regulatory scheme in
the Family Law Act. Marriage is an
economic partnership. The parties
share in the growth of the assets
(and debts) that accumulated during
the marriage. The spouse with the
higher Net Family Property (really
net worth) owes one-half of the
difference to the other party.
For example, the wife has
$100,000.00 and the husband has
$50,000.00. Then the wife owes the
husband $25,000.00 so that they
both leave the relationship with
$75,000.00.
There are many nuances to the rules
e.g. inheritances, date of marriage
assets, personal injury damages,
exclusions, unequal division etc.
However, in most cases property
division is a fairly
straightforward proposition if
proper financial disclosure is
made.
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