UPHOLDING THE INTEGRITY OF MARRIAGE CONTRACTS

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Marriage, a deeply personal and legally binding institution, holds significant emotional, financial, and legal weight.?

In many jurisdictions, including Ontario, marriage is not just a union of hearts, but also a contract between two persons with explicit promises, duties and obligations. These commitments extend beyond the emotional aspects of a relationship, encompassing financial responsibilities, property rights and other aspects of life that have both personal and legal implications.??

While Marriage Contracts are intended to reflect mutual agreements made voluntarily by both spouses, situations arise where one spouse questions the validity of the Marriage Contract, particularly if it was entered into without legal counsel or full financial disclosure. This issue was recently examined by the Ontario Court of Appeal in the case of Singh v. Khalil, 2024 ONCA 909 (CanLII), which underscores the importance of upholding Marriage Contracts, even in circumstances where one or both spouses may not have had legal advice or complete transparency regarding financial matters.?

In Singh v. Khalil, the appellant, argued that the Marriage Contract she signed was invalid because she did so without the benefit of legal counsel or full financial disclosure from her spouse. The appellant contended that the contract was unfair and should be set aside, as it did not reflect an equitable distribution of assets in the event of a separation. The trial judge had dismissed her claim, emphasizing that the Marriage Contract was valid and enforceable despite these concerns.?

The decision in Singh v. Khalil speaks to several key principles that support the integrity of Marriage Contracts.?

One of the fundamental principles underpinning the enforceability of Marriage Contracts is personal autonomy. When spouses enter into a Marriage Contract, they are making a voluntary, informed choice to bind themselves to certain legal responsibilities. Marriage, as a contract, is entered into freely, and spouses are expected to understand the terms and obligations they are agreeing to.??

While legal counsel and full financial disclosure may enhance understanding, the absence of these factors does not negate the fundamental choice to enter into the agreement. The Court of Appeal affirmed that spouses must take responsibility for their actions and decisions, particularly when entering into a legally binding relationship like marriage.?

Allowing a spouse to void the Marriage Contract simply because they lacked legal advice or financial transparency would undermine the principle of personal autonomy. Spouses would be able to disregard their responsibilities if the terms of the contract later became less favourable, leading to instability in the legal system and the erosion of trust in contractual agreements more broadly.?

The Court also highlighted the importance of personal due diligence in making life-altering decisions, including marriage. Even without legal counsel, spouses are expected to educate themselves on the terms and consequences of the contract they are entering. Marriage involves financial and personal commitments, and it is reasonable to expect that spouses understand the implications of these commitments, especially when dealing with significant property rights or potential claims.?

In the Singh v. Khalil case, the appellant was not absolved of her responsibility to ask questions, seek advice, or understand the financial situation of her spouse before signing the Marriage Contract. The absence of legal representation or full disclosure does not release a person from the obligation to engage in reasonable inquiry. This reinforces the idea that marriage, like any other major life decision, requires due diligence to avoid regret or future disputes.?

Marriage Contracts, as enforceable legal agreements, provide essential stability within the legal system. By upholding the validity of such contracts, courts maintain the predictability and reliability of legal commitments. If spouses could routinely invalidate Marriage Contracts based on claims of insufficient information or lack of legal counsel, the legal system would be forced to evaluate the validity of every Marriage Contract on a case-by-case basis. This would lead to inconsistency in how the law is applied and undermine the legal framework that governs personal and financial relationships.?

CASE LINK:?https://www.canlii.org/en/on/onca/doc/2024/2024onca909/2024onca909.html?resultId=191ce1aa3c7b43a7b7adad82331f69e5&searchId=2024-12-20T10:55:47:887/d5e5e572ca604084bc0d6b1febdb1eb3

This article was recently published in LAW360 at https://www.law360.ca/ca/family/articles/2291638/upholding-the-integrity-of-marriage-contracts-

Steve Benmor, B.Sc., LL.B., LL.M. (Family Law), C.S., is the founder and principal lawyer of Benmor Family Law Group, a boutique matrimonial law firm in downtown Toronto.?He is a Certified?Specialist?in Family Law and was admitted as a Fellow to the prestigious International Academy of Family Lawyers. Steve is regularly retained as a Divorce Mediator, Arbitrator and Parenting Coordinator. As a?Divorce Mediator, Steve uses his 30 years of in-depth knowledge of family law,?court-room experience?and expert problem-solving skills in Divorce Mediation to help spouses reach fair, fast and cooperative divorce settlements without the financial losses, emotional costs and lengthy delays from divorce court.?You can find his CV at https://benmor.com/wp-content/uploads/2023/12/Steve_CV_Nov23.pdf.?He can be reached at [email protected]