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Difference between revisions of "Agreements after Separation"
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Agreements after Separation (view source)
Revision as of 22:42, 23 April 2013
, 22:42, 23 April 2013→The division of property and debt
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The ways that a separation agreement can deal with the division of family property and family debt are virtually unlimited. Under the ''[[Family Law Act]]'', each spouse is presumed to keep the property he or she brought into the relationship and share in the property bought during the relationship. The spouses are presumed to be each half responsible for any debt incurred during the relationship. However, you can make whatever other arrangements you want, as long as you both agree to those arrangements and they're reasonably fair. | The ways that a separation agreement can deal with the division of family property and family debt are virtually unlimited. Under the ''[[Family Law Act]]'', each spouse is presumed to keep the property he or she brought into the relationship and share in the property bought during the relationship. The spouses are presumed to be each half responsible for any debt incurred during the relationship. However, you can make whatever other arrangements you want, as long as you both agree to those arrangements and they're reasonably fair. | ||
When the division of property and debt are issues, it's often helpful to exchange ''Financial Statements''. A Financial Statement is a form set out in the [http://canlii.ca/t/8mcr Supreme Court Family Rules] in which each party itemizes his or her income, assets, expenses and debts. This form, called a Form F8, can be very useful for each spouse to get a clear idea of the family's financial situation before negotiations start. You can find links to | When the division of property and debt are issues, it's often helpful to exchange ''Financial Statements''. A Financial Statement is a form set out in the [http://canlii.ca/t/8mcr Supreme Court Family Rules] in which each party itemizes his or her income, assets, expenses and debts. This form, called a Form F8, can be very useful for each spouse to get a clear idea of the family's financial situation before negotiations start. You can find links to and examples of forms in [[Sample Supreme Court Forms (Family Law)]]. | ||
A separation agreement should deal with how any debts will be dealt with. Separating couples typically pay out family debts by the sale of a shared asset, which is usually how the mortgage on the family home gets paid out, or they can allocate a different share of the family property to compensate for a family debt. When a debt won't be paid out, it's essential to do two things: allocate responsibility for the debt; and, provide that the party remaining responsible the debt will preserve the other party from any financial consequences of that debt. | A separation agreement should deal with how any debts will be dealt with. Separating couples typically pay out family debts by the sale of a shared asset, which is usually how the mortgage on the family home gets paid out, or they can allocate a different share of the family property to compensate for a family debt. When a debt won't be paid out, it's essential to do two things: allocate responsibility for the debt; and, provide that the party remaining responsible the debt will preserve the other party from any financial consequences of that debt. | ||
