Why hire a Toronto family lawyer to do your Prenuptial agreement?

Last week, the issues resulting from the breakup of two common-law relationships found themselves in front of the Supreme Court of Canada after not being able to decide how to divide their assets.

In the first case, the pair split after a 26-year common law relationship. Initially, the common-law wife transferred her home and car to her common-law husband, who then paid them off. The common-law wife suffered a stroke well into their relationship and ended up in an extended care facility while the common-law husband ended up with far more in assets than she had by the time they broke up. She brought action against him claiming spousal support and a division of property on the basis of unjust enrichment – where one spouse gains a valuable advantage over the other. Originally, the Court of Appeal determined that she was not eligible for spousal support.

“The Court of Appeal has lost sight of the fact that he’s better off than she is,” her lawyer argued at the trial.country_house

The second case is an Ontario case where a common-law couple broke up after the common-law husband made millions of dollars when his company was bought out. A trial judge awarded the common law wife a settlement of $1.2 million, as she had stayed home and raised the children so he could spend more time focusing on his business. The court of appeal denied her the award and they are now at the Supreme Court to determine the real value of her sacrifices over the years they were together.

The decisions of both cases are reserved, which means it could take months for the court to actually hand out a ruling.

Common law relationships share the same problems as any other relationship and just because a marriage is not involved doesn’t mean that a breakup is any less messy. A prenuptial agreement and a qualified family lawyer can help make the process much easier.

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By michael - Last updated: Tuesday, April 27, 2010
Filed in Toronto Divorce Lawyers, Toronto Family Lawyers • Tags: , , , ,


What is non-recurring income for the purposes of Spousal Support and Child Support?

In Ontario family law cases, spousal support and child support payments are calculated based on a person’s income. However, in a given year, one might generate income that they do not normally earn. This income is not from a regular paycheck, but is generated by other means. Ontario judges are able to use their own discretion when it comes to this non-recurring income, and it generally increases the child or spousal support payments. Support income is not necessarily always the same as tax income.calculator_1

Some of these forms of non-recurring income include:

Capital Gains: Capital gains may be used to increase support payments, but capital losses are not generally used to lower the person’s overall income when it comes to paying child or spousal support. If any capital gains are immediately reinvested, such as small business revenue going back into the business, they’re not usually considered income.

Severance Packages: If one is laid off and receives a severance package they may find a job right away and report a much higher income for that year, which usually would be used for spousal or child support calculations.

RRSP Redemption

These types of income are included on income tax income but not necessarily spousal or child support income, unless it is repeated every year.

Awards from Lawsuits:

Awards for the loss on income are usually reported as income, but awards for personal suffering are not.

Stocks:

As with RRSP redemptions, if stock options are exercised once in a blue moon they aren’t typically counted. However, if you do it frequently and can establish a pattern of exercising stock options, they may be counted as income.

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By michael - Last updated: Wednesday, April 21, 2010
Filed in Child Support, Spousal Support • Tags: , , , , ,


April 25th, 2010: Parental Alienation Awareness Day

April 25th will be International Parental Alienation Awareness Day. Countries such as Canada and Australia will be holding events to commemorate the day, and 15 U.S. States have signed proclamations recognizing the day.

Few people know what parental alienation is until they have to deal with it during a divorce and custody battle or someone close to them experiences it for themselves. In Canada, the day will be organized by the Parental Alienation Awareness Organization, who aim to educate anyone possible (including the public, police, religious leaders, schools and parents themselves) on the effects of Parental Alienation and how it is becoming perceived and accepted more and more as a form of child abuse.

Parental Alienation is the slow “brainwashing” of a child into not wanting to speak to, see or spend time with the other parent. It is typically done by the primary custodial parent, but the parent doing the alienating might be unaware of the complete scope of their actions and how it affects their child, which is why April 25th has been made as such. Parental alienation It can be subconscious or deliberate, and may not always be a parent doing the alienating. It could be a relative or another adult that the child trusts.

A study reported by the Faculty of Law at Queen’s University in Kingston found that mothers are twice as likely as fathers to alienate children from the other parent, although this is likely because more women end up with custody of their children. However, a small amount (just under two per cent) of cases studied found that a parent who only had access to a child was still able to alienate the other.

The study also found that the Ontario family court system only began to recognize parental alienation in 2005, but is not yet prepared to call it a “syndrome”, preferring that mental health experts determine the full extent of the damage done.

In only 10 per cent of cases from 1989 to 2008 was custody swapped from the alienating parent to the alienated parent, and 26 per cent of cases were ordered to go to counselling for the alienation.

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By michael - Last updated: Sunday, April 18, 2010
Filed in Divorce, Divorce Lawyer • Tags: , ,


Adoption, Spousal and Child Support: What Family Law Rights do Unwed Fathers have?

Unmarried Father’s Rights to Children: Family Law Perspective

The legal obligations of fathers who aren’t married to their child’s mother are typically the same as if they were married, with only a few minor differences.

Adoption

Unlike pregnancies that result from a marriage, in these situations the child may be put up for adoption. If the man is aware of the child’s existence, he may have a decent chance of gaining custody of the child if the mother intends to give it up for adoption.

There are no current laws that force women to tell the father about a pregnancy.

Spousal Support

Spousal support for unmarried people doesn’t normally apply. However, it may if the couple falls under the definition of “spouses” as per the Family Law Act. For example, if a couple has lived together for three years or has lived in such a manner that it would appear to be marriage-like to a judge, there can be spousal support involved.

Child Support

The amount of child support paid by a father is not dependent on whether or not the couple is married. Whether or not the child was expected is also not factored into this decision, although an unmarried father may also be forced to pay for some of any prenatal expenses, according to the Family Law Act in Ontario.

Roe v. Wade for men

While in the United States and Canada women have the choice as to whether they want to go through with a pregnancy or not, men do not have such a choice. In 2006, a man in Michigan was ordered to pay almost $500 per month in child support to his ex-girlfriend, even though she was well aware he did not want to have a child and she had told him many times that she was physically unable to get pregnant. Some may argue that if the woman did not want to abort the child and refused to put it up for adoption she should have been able to pay for the child herself. The case was dubbed “Roe v. Wade for Men” and attempted to prove this very notion with a lawsuit, but the lawsuit was eventually dismissed.

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By michael - Last updated: Tuesday, April 13, 2010
Filed in Child Adoption, Child Custody in Ontario, Child Support, Spousal Support, Support Orders • Tags: , ,


Prenuptial Agreements becoming more necessary with No-Fault Divorce

All you need is love, but the tabloids tell a different story on a weekly basis. It was reported this week that Sandra Bullock had a no-cheating clause in her prenuptial agreement with Jesse James. Even though California is a no-fault divorce state, she won’t have to worry about James getting any of her estimated $85 million net worth because she was smart enough to not only enter into a prenuptial agreement, but to have that extra sentence written into it.

No-fault divorce means that neither party needs to show that the other party had any wrong-doing that lead to the divorce. As of 1986, the Divorce Act was amended to allow for a divorce after the separation of one year without having to prove any fault by either spouse.

No-fault divorce also means that any financial settlements are based on the needs of the spouses and their ability to pay them. Whether they’re at fault (or cheated) just doesn’t factor in. No-fault divorce shows that having a prenuptial agreement is a smart decision, and more married couples are starting out with one. Prenups mean:

Less stress and more security

Arguments over money are the number one reason couples split up. The lack of worrying about whether or not you’re protected leads to a better feeling of security, lowered stress, less time spent arguing and more time spent enjoying each other.

Dealing with the debt before it spins out of control

No matter what anyone tries to tell you, a party is not responsible for their ex-spouse’s debt. However, both parties are responsible for debt incurred through joint credit of any kind. Having these responsibilities worked out through a prenup will save both parties many headaches and credit problems in the future.

Your hard work is worth it

Some sacrifice a career to stay home with the kids, while others work night and day so their spouse can go to school. These are non-financial contributions to a marriage that sometimes mean much more than money – if the marriage works. If not, compensation is due and this can be handled in a prenup.

Protecting loved ones from other relationships

Second marriages usually happen later in life, and both spouses may have children or relatives from a first marriage who are still in their lives. In the event one spouse passes away, their assets go to exactly who they want.

Keeping your own interests intact as a business owner or artist

If you own a business or create some kind of intellectual property (like a book or an album), in the event of a divorce it can be considered marital property and be split in half. If you’re serious about protecting your own interests, a prenup can prove invaluable.

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By michael - Last updated: Friday, April 9, 2010
Filed in Prenuptial Agreements • Tags: , , ,


Facebook’s privacy settings during a Divorce

It’s safe to say that Facebook can be a willing party in the breakdown of many marriages, and it’s only going to become more prevalent as more and more people begin to use it. These issues can include people contacting old flames or the discovery of photographs of various indiscretions, and more.

But during divorce and custody battles, Facebook is also growing as a way for one side to get more information on the other. Even as the technology grows, many users are still unaware of the privacy settings Facebook has.

A simple contradiction in your information, an inappropriate photo or comment from a friend can provide ex-spouses with ample ammunition against you during a divorce.

Recent cases across North America have found custody arrangements seriously altered after photos of younger teens drinking while under the care of an inattentive parent hit Facebook, the confirmation of adultery by finding a persons relationship status had changed (from ‘in a relationship’ to ‘single’) and those with habit of tweeting their locations all day might find that it’s easier to be served that way.

Various studies across the continent are also finding a rise in the citation of websites like Facebook in divorce proceedings.

In Ontario, it’s not much different. Facebook can already pose a multitude of problems for employees if their employers are monitoring them, and a few Ontario divorce cases have seen Facebook pages preserved for evidence, or motions sought to prevent the deletion of content.

Most facebook users are unaware that their comments may be seen by more than just their own circle of friends. It can be ranked by search engines, or shared with everyone via screenshots. Learn your privacy settings, and be careful who you let view your Facebook page.

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By michael - Last updated: Tuesday, April 6, 2010
Filed in Divorce, Divorce Lawyer • Tags: , ,