Trust issues and NFP
If a person has an interest in a Trust does it form part of their NFP? To recap, 1n 1994, John White did an estate freeze. The result of the freeze was that he held $300,001 Class A preferred shares, with a fixed value of $1.00 each, in John White Family Holdings Ltd., and the John and Ann White Family Trust held ten common shares in Holdings. Holdings, in turn, held 100 common shares of the...
Property – Unequal Division of NFP
Are you entitled to an unequal division of net family properties because of the short duration of a marriage? The parties began living together in their jointly owned home in October, 2011; married in June, 2012; and separated in August, 2014. They were married for 25 or 26 months and cohabited for a total of about 34 months. Section 5(6)(e) of the Family Law Act provides for unequal division...Matrimonial Home Interest
If a person makes a greater contribution to the purchase of a Matrimonial Home, does this mean they are entitled to a greater interest in the home? In the summer of 2011, the parties each sold their respective homes. In October, 2011, they purchased a home and began residing together in it. This home became the matrimonial home when they married. The price was $1,125,000. Mr. Black...
Inclusion of Common Shares in NFP as a result of an Estate Freeze
If a person owns preferred shares in a holding company, which owns a trust, does the entire value of the Trust form part of that person’s NFP? (1) Should the entire date-of-separation value of White Holdings (“the Corporation”), a corporation of which your client, Mr. White, holds the preferred shares, be included in your client’s NFP; and (2) Is your client entitled to credit for overpayment...
Promissory Note – Is it an interest in Property?
Does a monetary deposit with a promise to transfer a property in the future, confirmed by a Promissory Note, constitute an interest in the property under the Family Law Act? This is indeed an unusual situation in that there are a number of ways that the issue can be approached. Frankly, I do not see any way that the wife can claim the husband has an interest in the property. There is no...The Matrimonial Home- Purchasing One Party’s Interest in the House
The Matrimonial Home is, in many cases, the separating parties most valuable asset. The parties wish to obtain their equity from the house and move on with their lives. How does this work? Either the parties agree to list the house for sale or one party can purchase the other party’s interest the Matrimonial Home. This normally takes place after discussing their options with a...
If I Get Divorced now What Happens to my Pension
Getting divorced after years of marriage is hard on you emotionally, mentally, and let’s face it, financially. Everything you accumulated together as a couple during your married life must now be catalogued, valuated and divided. It’s hard to put a price tag on assets that have so much sentimental value, such as the family home and the furnishings you picked together. At least some assets...Settlor of a Trust, Assets & FLA purposes
There is ample case law confirming that the beneficiary of a trust has a property interest for FLA purposes. Black v. Black, O.J. No. 1975, 18 R.F.L. (3d) 303 (H.C.J.); Brinkos v. Brinkos, O.J. No. 1140, 20 R.F.L. (3d) 445; and many others. I have never seen a case where a non-beneficiary of a trust was found to have a property interest in the trust for FLA purposes. In Spencer v. Riesberry,...
Splitting Properties: How Do You do it When You Hate Your Ex?
Splitting properties when you get a divorce can be a harrowing process. When a marriage ends, the combination of emotional and financial stress can be devastating. It can also lead to decisions that leave the ex-spouses permanently embittered. However, it does not have to be this way. Splitting properties may not be easy, but some people find a way to do it without generating bitterness....