Family Law News - TOP 04 Differences Between How Marriages and Common-Law Partnerships are Treated During Separation

EQUALIZATION

Equalization of Net Family Property is the process of sharing the profits and debts of a marriage. This means that each partner is entitled to one half of the value of property accumulated during the marriage. This also applies to debts.

a.Common Law: There is no automatic right for common law partners to share property. This means that if your partner purchased a property during your relationship and it tripled in value by the time you separate – well you are not automatically entitled to split the profit.

b.Marriage: In contrast, if your married spouse purchases a $400,000.00 home during your marriage and it triples in value by the time you separate – well the profit is pooled into the net family property which is later shared by the parties.

SPOUSAL SUPPORT

The primary purposes of spousal support, sometimes referred to as “alimony” or “maintenance”, are (i) to compensate a spouse who sacrifices his or her ability to earn income during the marriage; (ii) to compensate a spouse for the ongoing care of children, in addition to any child support obligation; and (iii) to reduce the unfair financial effects of a divorce or separation on a lower income-earning spouse.

a.?Common Law: For the purposes of support, a common law partner can be considered a spouse only if you and your partner have cohabited for three years OR if you and your partner live in a relationship of permanence and have a child together. Cohabitation must be continuous to be considered a spouse for support purposes.

b.?Marriage: Similarly, married spouses are eligible for spousal support upon the breakdown of marriage. The entitlement and amount of spousal support depend on several factors such as: your respective incomes, age, standard of living when together, and health (just to name a few).

WILL & SUCCESSION

Generally, upon the death of a spouse/partner, the surviving spouse/partner may be eligible for inheritance via intestate succession rights or testate succession rights.

a.?Common Law: A common law partner is not automatically entitled to inherit the estate of their deceased partner. In the absence of a valid will, the surviving partner is not entitled to any inheritance (testate rights).

b.?Marriage: In contrast, a married spouse is automatically entitled to equalization of net family property after their spouse has deceased. The spouse will have entitlement without a will authorizing same. The surviving spouse can also choose to receive inheritance via a valid will instead, if the inheritance left in the will is much greater.

FAMILY HOME/MATRIMONIAL HOME

A matrimonial home is defined as every property in which a person has an interest and that is ordinarily occupied by the person and his or her spouse as their family residence during the marriage.

a.?Common Law: There are no inherit special rights for common law partners. To show interest in a family home as a common law partner, they must show contribution in the home – or they must be on title!

b.?Marriage: A married spouse has an inherit right to stay in the matrimonial home after separation and until divorce. They also have an inherit right to reap the profits accumulated by this home – regardless of whether they were listed on title of the home.?