Let’s talk about Property Division in Mediation: (Basic Family Law Education)

Separation Date:

First, it is important to decide upon the date of separation because the value of property to be divided is determined from the date of marriage to the date of separation.  If you can’t decide upon the separation date then the matter will have to be litigated and therefore your case is not appropriate for mediation until the date of separation is decided.

Beneficiary Instruments:

It is best not to change any beneficiary designations under life insurance policies, RRSP’s, Health plans until your separation agreement has been signed.

Legal Separation:

Legally separated means that you both signed a binding separation agreement.  The Mediation Report (Memorandum of Understanding) is NOT a separation agreement.  As well, once you do have a Separation Agreement you still remain married until you file an Application or joint Application for an uncontested Divorce.  This means filing out the necessary forms with the court and paying the filing fee. You can obtain an uncontested Divorce Judgment  by waiting 1 year from date of separation but if you reconciled during the last year for 90 days or more then the clock starts again from the date of your subsequent separation.  You can be separated and living under the same roof.

Financial Statements:

You can go to the Ontario Court Service website to download a blank financial statement form, a Form 13.1 for property.

Website:  Ontario court forms.on.ca

Navigate to Family law Rules Forms section on the Website.

Locate Form 13.1:  Financial Statement (Property and Support Claims).

Fill in the Form; Download the Form; and print it and send it to me before our mediation session begins.

You should also collect all of your financial documents to support the figures in your financial statement.

Court Forms:

·       Your first task is to complete a financial statement that will be sworn by you as to its truthfulness.

·       Typically a law clerk will assist you with this financial statement.

·       You will need to obtain copies of the last 3 years of your tax returns and Notice of Assessments.

·       You will need to obtain bank statements for all of your bank accounts at date of marriage; date of separation; current date.

·       You are required to disclose all real and personal property and to value this property.

·       A professional appraisal may be required on items whose values you can’t agree upon.

·       You are required to disclose any inheritance received by you but that inheritance will not be considered exempt from your Net Family Property that must be divided, unless it was kept separate and apart from matrimonial property.

·       Failure to provide full and frank disclosure may result in your separation agreement being set aside by the court.

·       You are also required to include all debts held jointly and solely by you including all credit card debts, mortgages, lines of credit.

·       If parties choose to waive financial statements then draw attention to s.56(4) FLA regarding setting aside a domestic contract for failure to disclose; parties should acknowledge that lawyers conducted no independent investigation of the value of assets; can choose to disclose financial information requested.