What Happens to a Marriage Contract or Prenup if We Separate in Ontario?
A valid marriage contract generally applies on separation, and where it deals with a matter that the Family Law Act also covers, the contract prevails unless the Act provides otherwise. Once it is signed, the couple must follow it. A domestic contract can exclude agreed property from net family property. Without a contract, the spouse whose net family property is the lesser of the two is entitled to one-half of the difference on divorce, nullity or separation with no reasonable prospect of resuming cohabitation.
A court may set aside a support provision or waiver of support in a domestic contract if it results in unconscionable circumstances, if it involves a dependant who qualifies for support out of public money, or if support under the contract is in default when the application is made. A court may also disregard a term about a child's education, moral training, decision-making responsibility or parenting time if that is in the child's best interests.
A court may also set aside a contract or a provision in it for failure to disclose significant assets or debts, lack of understanding, or other contract-law grounds. Gather the signed contract and your financial records, then have a lawyer review it.
Key takeaways
- A domestic contract that deals with a matter also covered by the Family Law Act prevails, unless the Act provides otherwise.
- Without a contract, the spouse with the lesser net family property is entitled to one-half of the difference on divorce, nullity or separation with no reasonable prospect of resuming cohabitation.
- A court may set aside a support provision or waiver if it results in unconscionable circumstances or if support under the contract is in default.
- A court may disregard contract terms about a child's education, moral training, decision-making responsibility or parenting time if that is in the child's best interests.