Division of Assets

[Talon58]

Ok heres my question:
My C.Law partner and I have decided to call it quits, just isn't working. We have been living in the same home for 2 years and 3 months, I have lived here over 10 years, when she moved in she did pay off the remainder of the Mtg . $56,000. now she wants that all back + other. Ok I feel I am justified in chargening her 1/2 of the mtg payment I was making at the time for a period of 122 weeks ( My mtg was weekely). Some repairs were done to the house as well, new flooring, windows and doors. The windos and doors we still owe approx $18k on can I assume she is legally responsable for 1/2 that amount as well.?

Also She opened a line of credit for a new truck I purchased, I have since paid that down to $4k out of $28k but the loc is pretty much the same as it was back then, Am I legally obligated to still assume 1/2 of that LOC? We have other assets we accumulated in this short time, 2 of them are in her name to the tune of $15k can I legally say "Their yours" Deduct that amount from any cash you feel I owe you.?

Thanks
Talon58

[Mess]

Items you each had prior to the relaionship belong to each of you, nothing is split.

Items you each bought during the relationship, if you paid for them yourselves, are yours, you don't split these.

If something was bought as a gift, it is a gift, nothing is paid back for it.

If something was bought jointly, you could split it 50/50 or you could split it according to how much you each put in. It's better to sort that out yourselves instead paying $5000 to a lawyer.

The house is complicated. You have ownership of the house and you are retaining it. You have to understand what capital costs are, look it up if you haven't known this before. It is larger long term costs like reparing the roof, replacing the furnace or renovations. If it will last 5 years or more, and/or you nail it permantly onto the house, then it is a capital cost, it is part of the house. These should be your costs not hers and you should reimburse her 100% for what she put in. Imagine you were a landlord, you wouldn't charge the tenant extra for fixing the roof or wiring etc.

Anything she paid towards maintainence, utilities or non-permanent decorations you shouldn't reimburse her for. This is ongoing cost of housing whether you own or rent and she should pay her share.

For the LOC/truck, you have paid her for the truck, then that is done. The LOC is in her name, it is nothing to do with you. However if you haven't repaid her in full for the truck, she has a claim on you. You are best to make sure you paid her off in full, but you do not have to pay anything else. Be sure to include interest in what you paid her.

Again, any assets you each accumulated belong to the person who's name they were in. If you believe there was some specific unfairness, like you bought her a cottage and it was intended to be shared, then you make an argument and sort it out, but generally what is hers is hers and yours is yours. You do not just automaticly split everything.

[KanataKathy]

With respect to the house, consider if she would have moved in 27 months ago and simply paid rent. $500/month * 27 month = $13.5k. That's what she *owes* you.

Because she put $56k against the mortgage, interest on that amount was avoided. She certainly should get her $56k back, less the assumed rent, but adding in interest avoided.

If $500/month is the assumed rent, should that rent include utilities?

Just looking at it from another angle....

.K

[Talon58]

Also once the MTG was paid I had the new deed drawn up in both of our names, so is this going to be a problem for me for a new Mtg? Again we were only in the home together for 2 years 3 months and I am paying here back her payment of $57k less here rent for the 122 weeks

Thanks again
Talon 58

[billm]

Originally Posted by Talon58

Also once the MTG was paid I had the new deed drawn up in both of our names, so is this going to be a problem for me for a new Mtg? Again we were only in the home together for 2 years 3 months and I am paying here back her payment of $57k less here rent for the 122 weeks

Thanks again
Talon 58

Given this it may be argued that she owned a percentage of the house (56k / value at time mortgage paid off). She should get also her share of the increase in the value of the house (her portion of increase) since then. Also, the rent should be reduced given she owned part of the house.

Treat it like a business.

[sickentired]

Well from my perspective, you take the assests each of you had before the relationship and each of you gets that. You would do a historical lookup on the value of the home at that time.

Then you take the value of everything now. Each of you gets the value of what you had before and whatever is left is split. IT's not nice I know. I have to give my wife half our assets, and she hasn't worked. But I still get to keep the value of my assest before the marrage.

the 57 k would be part of your partners assets before the relationship. The value of the house minus the mortgauge at the time would be your asset.

[Talon58]

Now she says she talked to a lawyer and below is her quote!
"The amount of time common law spouses are together doesn’t matter for property separation. You have to give me half the current value of the house, as I am 50% owner."



Now remember she only lived here 2 years 4 months I have been in this home 11 years.
When she paid off the mtg back when she moved in I had her name put on the deed to the house which at the time I figured was fair.