In a recent case in reference to section 56(4) of the Family Law Act, the Ontario court of Appeal supported a trial judge’s remark to put aside a marriage contract under a circumstance where the husband was unable to disclose the significant assets that he possessed. In this particular case, the court found that the disclosure was not fully completed and insufficient, which eventually meant that he intended to misguide his wife.
Under Section 56(4), the court does not have the power to amend a domestic agreement as it does not apply to certain assets. Moreover, in a particular case, it was held that the entire contract or a specific part of the same is allowed to set aside, but it cannot get amended entirely, which means that the court can make restricted provisions on it. If you are looking out for separation and seeking a lawyer based out of Canada, then divorce attorney toronto can help you further.
Courts have held that the duty to disclose the assets is more than just occupying significant assets as it also includes their extent and value. Incomplete disclosure falls under section 56 (4).
When we talk about Section 56(4)(a), it includes the provision of disclosing the spouse’s income. In such an instance, an income report that needs to be prepared by an expert is often required in case the spouse is self-employed. It is also necessary for the party to determine the reason for giving up. This specific disclosure is relevant when the marriage contract seeks the support of the source that might otherwise be payable.
In addition to this, a certain party to a marriage contract is not allowed to enter into it knowing of the shortcoming in the disclosure and then focus on those shortcomings in order to set the contract aside.
There are several family law firms Toronto who can help you with the provisions and the necessities of the separation procedure. Connect with them to better understand the procedure and the legal formalities that go during the process.
Apart from the above-stated reasons, there can be other reasons to set aside marriage contracts. For instance, there can be a lack of financial disclosure and also in case the agreement conflicts section 52(2) of the Family Law Act. Under this particular act, the provisions in marriage contracts are prohibited as it limits the spouse’s right to claim an equal possession to the assets possessed by their other half. Although, this section does not limit the ownership right in a matrimonial home, calculation of the family property, or date of marriage deduction for the matrimonial home.
On a final note, there are several provisions that people are not aware of when they are going through the legal formalities of separation. In such instances, it is best to seek advice from a trusted lawyer who can guide them through the procedure and make it an easy process.