The next step is to add up all your debts at the time of separation. If you and your spouse have accumulated debts, you have half the debt like yours. You will then subtract your total debt from the total value of the things you had at the time of separation. This gives you a total value of your property from the day you and your spouse were separated. There are many considerations that a couple must consider when going through a separation or divorce. One of them is what happens to marriage. There are usually two options available for a pair. The first is that the house is sold and the proceeds are shared. However, if a member of the relationship wishes to keep the house, he or she may acquire the interests of the other party. This type of payment is called compensation and is intended to provide the person who no longer retains ownership of the house with compensation for the value he holds. In a recent case before the Court of Appeal for Ontario, this was a situation in which a couple could not agree on how they were able to meet their compensation obligations.
We`re almost there. The language of the compensation rule is: “The spouse whose net family is the smallest of the two net family buildings is entitled to a half-difference between them.” That is why we have two important dates for determining compensation: the declaration of insolvency does not necessarily remove the obligation to pay compensation. On the contrary, the payment of secured creditors is simply greater than that of the former spouse who owes compensation. But if you and your partner didn`t follow the rules, for example. B if your partner does not disclose important financial information, the court may set aside your agreement in your agreement. This means that the total value of the house is divided into compensation, not just the variation in its value during the marriage. This can have a big influence on the amount of compensation. Is it disgusting to ask someone who has lost his business because of the economic consequences of the pandemic to pay a high compensation based on the previously high value of the once successful business? Is it shocking to the conscience of the court to demand high compensation from a formerly wealthy person that they can no longer afford after losing their job during the pandemic? Perhaps, but it is important to keep in mind that a finding of lack of scruples often requires a plethora of factors.