Division of Property upon Relationship Breakdown
KNOWLEDGE EXPECTED OF: CFP® Professionals Only
- Identify that division of property falls under provincial/territorial legislation.
- Identify circumstances in which a division of property may occur, such as:
- Under the terms of a domestic contract
- Define net family property.†
- Identify that in some jurisdictions, a net family property calculation is made to determine the division of property among spouses.
- Identify assets and liabilities that may be included in the calculation of net family property.
- Identify assets that may be excluded from the calculation of net family property.
- Identify that in multiple jurisdictions, legislation protects the matrimonial home to ensure that it may not be disposed of unless both spouses agree in writing.
- Define equalization payment.
- Identify that in multiple jurisdictions, a spouse may receive an equalization payment as part of a division of assets.
- Identify methods for dividing pension assets.
- Define unjust enrichment.
- Define a constructive trust.
- Identify that while in some jurisdictions common-law partners may not have property rights under family law, they may have a claim under unjust enrichment.
- Explain the requirements to prove unjust enrichment.
† Net family property refers to the property that was acquired by a spouse during a marriage and that is available for division between the spouses upon the breakdown of the relationship. It may possess different names, based on jurisdiction, such as matrimonial property.
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