Legal Information Only

Alberta Family LawInformation Guide

Understanding property division and support under Alberta's Family Property Act and Family Law Act. This information is current as of 2024 and reflects changes made since 2020.

Important Legal Disclaimer

This page provides general legal information only and is not legal advice. Every situation is unique, and you should consult with a qualified Alberta family lawyer for advice specific to your circumstances. Laws can change, and this information should not be used as a substitute for professional legal counsel.

Property Division Under the Family Property Act

Key Changes Since 2020

Important: On January 1, 2020, the Matrimonial Property Act was renamed the Family Property Act and was amended to apply to both Adult Interdependent Partners and married spouses. These changes generally only apply to couples who separate on or after January 1, 2020.

Basic Principle: Equal Division

The starting point under Alberta's Family Property Act is that all family property acquired during the relationship should be divided equally between the parties. This applies to both married spouses and Adult Interdependent Partners.

What is Family Property?

  • Real estate (homes, land, investment properties)
  • Bank accounts, investments, and savings
  • Vehicles, boats, and recreational vehicles
  • Business interests and professional practices
  • Pension benefits and RRSPs
  • Household goods and personal property
  • Debts and liabilities (which are shared equally)

Property Valuation

Property is valued at the date of trial, not the date of separation, unless the parties agree otherwise in writing. This can be significant for appreciating or depreciating assets.

Unequal Division - Section 8 Factors

Courts can order an unequal division of family property if equal division would be unjust or inequitable. The court considers factors including:

  • Length of the relationship
  • Contributions to acquisition of property
  • Direct or indirect contributions to family welfare
  • Economic advantages or disadvantages from the relationship
  • Dissipation or waste of family assets
  • Financial obligations at marriage and trial
  • Tax consequences of property division
  • Any other relevant circumstances

Adult Interdependent Partners (AIPs)

Definition and Requirements

Adult Interdependent Partners are adults in a "relationship of interdependence" where they share one another's lives, are emotionally committed to one another, and function as an economic and domestic unit.

Three Ways to Become an AIP:

Three Years Cohabitation

Living together in a relationship of interdependence for three or more continuous years.

Having a Child

Living together in a relationship of "some permanence" and having a child together (including adoption).

Signed Agreement

Signing an Adult Interdependent Partner Agreement (no minimum time requirement).

Important Notes:

  • The relationship does not need to be romantic or sexual
  • Related persons (by blood or adoption) can only become AIPs through a signed agreement
  • Minimum age is 16 years (compared to 18 for marriage)
  • No formal registration required with the government

Rights and Obligations of AIPs

Since January 1, 2020, Adult Interdependent Partners have the same property division rights as married couples under the Family Property Act.

Rights Include:

  • Equal division of family property
  • Claims for partner support
  • Protection from property disposal
  • Rights to the family home

Obligations Include:

  • Mutual support obligations
  • Equal responsibility for family debts
  • Financial disclosure requirements
  • Good faith in property dealings

Exempt Property

What Property is Exempt? (Section 7)

Certain property is "exempt" and belongs exclusively to the person who owns it, not subject to equal division:

Property Owned Before Relationship

Assets owned by either party before the marriage or adult interdependent relationship began.

Gifts from Third Parties

Gifts received from family, friends, or others during the relationship (not gifts between partners).

Inheritances

Property inherited by one partner during the relationship.

Personal Injury Awards

Compensation for personal injury, excluding loss of income awards.

Important: Traceability Requirement

To claim property as exempt, you must be able to trace it to existing assets. If exempt property is mixed with family property or cannot be traced, it may lose its exempt status.

Increase in Value of Exempt Property

While the original value of exempt property is protected, any increase in value during the relationship may be subject to division based on "just and equitable" principles.

Example:

Partner A owns a house worth $300,000 before the relationship. During the 10-year relationship, the house appreciates to $500,000. The original $300,000 remains exempt, but the $200,000 increase may be divided between the partners based on factors like contributions to maintenance, improvements, and other circumstances.

Spousal and Partner Support

Eligibility for Support

Important: There is no automatic right to spousal or partner support. Support is only awarded where specific criteria are met.

Grounds for Support:

Economic Disadvantage

One partner has suffered an economic disadvantage because of the relationship or its breakdown, such as career sacrifices for child-rearing or supporting the other's career.

Child Care Responsibilities

Financial consequences arise from taking care of children, including reduced earning capacity or ongoing childcare obligations.

Federal vs. Provincial Law

Federal Divorce Act

  • • Applies to married couples seeking divorce
  • • Governs spousal support in divorce proceedings
  • • Uses Spousal Support Advisory Guidelines

Alberta Family Law Act

  • • Applies to separated married couples (not divorcing)
  • • Applies to Adult Interdependent Partners
  • • Provincial support guidelines may apply

Support Calculation Factors

Courts consider various factors when determining support amount and duration:

Financial Factors

  • • Income and earning capacity
  • • Assets and liabilities
  • • Standard of living
  • • Financial needs

Relationship Factors

  • • Length of relationship
  • • Roles during relationship
  • • Age and health
  • • Childcare responsibilities

Other Considerations

  • • Self-sufficiency prospects
  • • Economic hardship
  • • Misconduct affecting assets
  • • Any other relevant factors

Priority: Child support always takes priority over spousal/partner support. Spousal support can only be awarded after child support obligations are met.

Cohabitation Agreements

What is a Cohabitation Agreement?

A cohabitation agreement is a legal contract used by unmarried couples to set out their rights and obligations during their relationship and upon separation. It's similar to a prenuptial agreement for married couples.

What Can Be Included:

Property Division

How assets and debts will be divided upon separation, potentially opting out of equal division rules.

Support Obligations

Whether spousal/partner support will be paid, for how long, and in what amount.

Shared Expenses

How household expenses, mortgage payments, and other costs will be shared during the relationship.

Specific Assets

Protection of specific assets like business interests, family property, or investments.

Why Consider a Cohabitation Agreement?

Asset Protection

Protect assets acquired before the relationship or received as gifts/inheritances.

Certainty

Avoid uncertainty about property division and support obligations if the relationship ends.

Cost Savings

Reduce potential legal costs and disputes by having clear agreements in advance.

Important Requirements:

  • • Both parties must have independent legal advice
  • • Full financial disclosure is required
  • • The agreement must be fair and not unconscionable
  • • Agreements cannot override child support obligations

Time Limits and Claims

Critical Time Limits

Failure to make claims within the specified time limits can result in permanent loss of rights. It's essential to act quickly and consult with a lawyer promptly after separation.

Property Division Claims

Adult Interdependent Partners

2 years from the date you knew or should have known the relationship ended.

This time limit applies to property division claims under the Family Property Act for relationships that ended on or after January 1, 2020.

Married Spouses

Time limits vary depending on whether you're seeking divorce or separation only.

Under the Family Property Act: similar 2-year limitation applies for separated spouses not seeking divorce.

Support Claims

Partner Support (AIPs)

Must be claimed within 2 years of the end of the adult interdependent relationship.

Spousal Support

Time limits depend on whether the claim is under federal (Divorce Act) or provincial (Family Law Act) legislation. Generally, claims should be made promptly after separation.

Protecting Your Rights

Steps to Take Immediately:

  • • Document the separation date and circumstances
  • • Consult with a family lawyer as soon as possible
  • • Gather financial documentation and records
  • • Avoid disposing of or transferring significant assets
  • • Consider filing a Statement of Claim to preserve rights

Need a Family Agreement?

Protect your relationship with a professionally drafted cohabitation, prenuptial, or postnuptial agreement.

This information is for educational purposes only and is not legal advice.