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MY EX SPOUSE HAS FILED FOR BANKRUPTCY. HOW WILL I BE AFFECTED?

Bankruptcy for Divorced Spouses
Bankruptcy for Divorced Spouses

FACTS:

  • My ex spouse has filed for bankruptcy.
  • We signed a separation agreement one year ago.
  • We have dealt with child support, custody and access and transferring the RESPS.
  • We have not settled equalization and the division of the matrimonial home.

Below is a summary of the joint assets:
a. My spouse and I are on title as joint tenants to the matrimonial home. We had an appraisal done 6 months ago. It was valued at $1 million. We owe a mortgage in the amount of $450,000. There is also a CRA lien on title for $50,000 for income taxes owing by my spouse. I have been living in the house since we separated 12 months ago.

b. We have RESPs for each of our 2 children each in the amount of $15,000, net of government grants, totalling $30,000. Both children are in high school.

Question 1.

The Trustee has written to me claiming a 50% interest in the property, net of the CRA lien, as well as a 50% interest in the RESPs. What are my rights?

Answer: As a joint tenant you have a right to your share of the equity in the matrimonial home. You have no guaranteed right to stay in the home. You will have to work out an arrangement with the Trustee to purchase your husband’s interest in the home.

Question 2. Can I be forced to leave my home given that my children are living with me and attending school in the neighbourhood?

Answer: If you do not work out a settlement to buy your spouse’s interest in the property, the Trustee can go to Court for an order forcing the sale of the home. You could argue that leaving the home would cause you and your family undo hardship based on the following factors:

a. Your children are settled in the school and neighbourhood community. Their friends are all in the neighbourhood and they do extracurricular activities so the disruption imposed on them would outweigh the inconvenience to the Trustee if the Trustee must wait to sell the property.

b. You cannot afford to buy or rent an alternate residence in the neighbourhood/community.

This is a challenging argument on which to succeed, however it is available in certain circumstances, such as a child who has special needs that cannot easily be accommodated in a different school or you will have to move a great distance away from family and friends to find a new living situation. If you are confronted with a motion for sale, you should consult a lawyer to see if this defence is available. However, it is important to note that this is a temporary solution. Once your children have finished school, the Trustee will likely be free to move forward with the sale.

Question 3. How much do I have to pay the Trustee?

Answer: The negotiation starts with the following mathematical exercise:

  • Start with the appraised value
  • Subtract the mortgage
  • Deduct legal costs – $2500 + HST
  • Divide by two

The presumption with respect to joint ownership is that each of you and your spouse are each entitled to 50% of the remaining equity. This presumption, however, can be adjusted if you have contributed unequally to the property or there are encumbrances attributable to you or your spouse only.

Therefore, your husband’s equity will be reduced by $50,000 for the CRA lien because it is supported by a debt owing solely by your spouse. You can also claim compensation for the principal amount of the mortgage you paid over the 12 months. The Trustee would owe you one half of the principal pay down because you and the Trustee benefited equally from your payments towards the mortgage principal. If you have made improvements to the property that increased the value of the property, such as replacing the roof, major renovations such as a kitchen or bathroom renovation or finishing a previously unfinished basement, you will likely be entitled to a credit for this work as well.

Question 4. Do I get credit for other costs such as mortgage interest, insurance, taxes and utilities?

Answer: The short answer is no because you are enjoying the benefit of the property to the exclusion of the Trustee. The Trustee is legally entitled to an amount for occupation rent. In any negotiation, the Trustee’s claim for occupation rent generally offsets any claim you would have for these expenses which are generally referred to as “carrying costs”.

Question 5. How would I pay for my spouse’s equity in the house?

Answer: You have a few options to fund this purchase:
a. You can consult with your current mortgagee to see if you can increase your mortgage to buy out your spouse’s equity.
b. You can see a mortgage broker about discharging your existing mortgage and increasing the amount borrowed to buy out your spouse.
c. You can see a mortgage broker about obtaining a second mortgage to fund the buy out.

Question 6. What do I do if I do not qualify for a mortgage increase?

There are some options that may assist you:

a. As previously mentioned, you can raise a hardship argument that will buy you more time in the house and more time to raise the funds necessary to buy out the Trustee.
b. You may have claims in your spouse’s bankruptcy (either for support or equalization) that can be, in some circumstances, offset against the amount you would owe to the Trustee.

Question 7. My husband has transferred his share of the RESPs to me as set out in our separation agreement. Will the Trustee make any claim against them?

Answer: The Trustee will review the transfer and the separation agreement to ensure that the transfer was not improper and unfair to your husband’s creditors.
If the separation agreement was incorporated into a court order, the transfer will likely remain unchallenged.

If there is no court order, the Trustee will consider the following factors in order to decide whether to challenge the separation agreement:

a. How much time has passed between the making of the separation agreement and the bankruptcy assignment? The more time that has passed, the less likely it will be challenged. Separation agreements made on the eve of bankruptcy are particularly suspicious and susceptible to challenge.

b. What were the debts facing your spouse when he entered into the separation agreement and did your spouse know he was insolvent, or was he contemplating bankruptcy when he entered into the agreement?

c. What was the cause of the bankruptcy? Did the debt leading to the bankruptcy exist at the time of the separation agreement or did it occur subsequently?

d. Are you and your spouse abiding by all the terms of the agreement? I.e. Is support being paid on time and in the amount contemplated by the agreement and have the other terms been performed?

If the Trustee suspects the agreement and the resulting transfer of property was made to defeat your spouse’s creditors, the Trustee has a duty to the creditors to challenge the transfers. If this happens, you and/or your spouse will have to defend the separation agreement. If you cannot successfully defend the transfer, you will have to pay for your husband’s contributions, if you want to maintain the RESPs. If you cannot, the RESPS will be collapsed and you will have a property claim for the value of your contributions to them.

It is recommended for you to have the assistance of a lawyer, familiar with these issues, to assist you in your negotiations with the Trustee.

Can You Be Deported for a DUI in Canada?

DUI Inadmissible Canada
DUI Inadmissible Canada

In late 2018, new laws took effect in Canada to increase the punishments for people who drive under the influence of drugs or alcohol. These new punishments make Canada’s DUI laws some of the strictest in the world. Foreign nationals living in Canada are particularly impacted by this new law and may face deportation with these charges. A Mississauga immigration lawyer can help.

What Stricter Laws Mean for Both Citizens and Foreign Nationals

There are changes to Canada’s new impaired driving laws that affect all drivers, citizens or not. For example, police officers can now demand alcohol screenings for any driver, even without reasonable suspicion. Drivers must submit to the test or face criminal charges for refusing it.

The new laws have also significantly increased the penalties for impaired driving charges. On the first offence, drivers face the following fines:

  • A mandatory minimum fine of $1,000 with blood alcohol content of 80-119 mg
  • A mandatory minimum fine of $1,500 with blood alcohol content of 120-159 mg
  • A mandatory minimum fine of $2,500 with blood alcohol content of 160 mg or more
  • A mandatory minimum fine of $2,000 if they refuse testing

Drivers also face imprisonment for impaired driving. The amount of time a person may be sentenced to depends on whether or not someone was hurt due to the impaired driving, and the type of conviction the defendant receives:

  • No bodily harm and summary conviction – up to two years, minus one day
  • No bodily harm and indictment – up to ten years
  • Bodily harm and summary conviction – up to two years, minus one day
  • Bodily harm and indictment – up to 14 years
  • Impaired driving causing death – up to life imprisonment

Serious Criminality and Foreign Nationals

In Canada, foreign nationals can face deportation if they demonstrate a legal standard known as “serious criminality,” as defined by the Immigration and Refugee Protection Act (IRPA) 36 (1). Under this law, any offence that carries a maximum sentence of up to 10 years constitutes serious criminality. If a temporary or permanent resident is charged with any crime that fits this definition, he or she may become inadmissible know as Criminal Inadmissibility. This means that they may face deportation, or may not be allowed to return to Canada if they have already left.

Before these new laws, a first-time impaired driving offence with no bodily harm did not rise to the legal definition of serious criminality, meaning the maximum sentence was five years. However, now first-time offenders who cause no bodily harm face up to 10 years in prison for impaired driving charges. The charge now has the definition of serious criminality, and foreign nationals may face immigration issues in addition to these strict punishments.

Hire a Mississauga Immigration Lawyer

If you’re facing deportation or other issues with your immigration status for any reason, you do not have to face this system alone. With high-quality legal representation, you can ensure that your rights are protected. At Nanda & Associate Lawyers, we are prepared to help people in 15 different languages, including French, English, Bangla, Gujarati, Chinese, Hindi, Italian, Tamil, and Telugu. Contact us today to start working with a top Mississauga immigration lawyer.

Are Alimony and Spousal Support the Same Thing?

Alimony and Spousal Support
Divorce is an extremely complicated legal process, even when it’s relatively simple. The entire process of ending your marriage can be confusing, full of terms you have never heard and may not understand.

While doing your initial research about whether you will have to pay or be able to receive financial support from your soon-to-be ex, you may have come across terms like spousal support, alimony, or maintenance. The fact that all these terms get thrown around in this context can be confusing, but we have some good news: they all refer to payments made by one ex-spouse to the other for the purposes of financial support.

How is Spousal Support Determined in Ontario?

In Ontario, the term used by courts is typically “spousal support,” but you may hear it referred to as alimony or maintenance by judges and lawyers. Ontario law views a marriage as an economic partnership and, in some cases, a court will order the higher-earning spouse to make payments to the other spouse for a period of time while he or she is able to achieve self-sufficiency.

The government provides judges with spousal support guidelines in order to ensure some level of predictability and consistency in spousal support determinations. That said, the guidelines are not legally binding, and judges have the ability to deviate from them if they feel it is justified. There are a number of factors that can play a role in how much support a judge will order, including:

  • The difference in income between the spouse
  • The length of the marriage
  • The age of the parties
  • The roles each party had during the marriage
  • Whether the couple has children

Who is Entitled to Spousal Support?

It’s important to first note that spousal support is not awarded in every divorce, and the party seeking support must prove to the court that he or she is entitled to it. Whether spousal support will be awarded in a particular case depends on a number of factors, including:

  • The age of the parties at the time of the divorce
  • The length of the relationship
  • Whether one spouse is able to support the other
  • Whether the spouse seeking support can become self-sufficient

Do you Need a Lawyer to Obtain or Fight Spousal Support?

Many people who are involved in a support dispute wonder whether they need a lawyer to protect their rights, especially in light of the fact that courts often defer to the support guidelines when making determinations. The fact is that judges have significant discretion regarding spousal support awards, and whether you are seeking support or trying to minimize it, it’s in your best interest to retain a lawyer familiar with practicing divorce law in Ontario courts.

Call Us Today to Speak with a Mississauga Divorce Lawyer

If you are getting divorced and have questions or concerns about spousal support, you should call Nanda & Associate Lawyers today. Our experienced family law and divorce lawyers are here to help you protect your rights. We speak 15 different languages: English, French, Hindi, Punjabi, Gujarati, Bangla, Chinese, Italian, Telugu, and Tamil. To schedule an appointment with one of our experienced family lawyers, including Jagmohan Singh Nanda, Glen Cook, Linda Starova, or Amal Nayyar, call our office or contact us online.

Personal Injury Law Practice Client Testimonial – Nanda & Associate

At Nanda & Associate Lawyers our clients feedback is our inspiration and provides our firm with the motivation we need to continuously improve upon our legal services. At Nanda & Associate Lawyers, our clients and their needs are our number one priority.

Call us today for legal assistance with Immigration, Real Estate, Family Law, Wills & Estate, Personal Injury, Civil Litigation, Business and Employment Law matters

How to Protect Your Rights after a Car Accident in Mississauga

Car Accident in Mississauga

Car Accident – How to Stay Ahead of Unforeseen

A car accident is invariably a stressful and overwhelming situation. After the chaos of an accident scene and getting medical attention, the last thing an accident victim needs to deal with is the other driver’s insurance company. Insurance companies have armies of claims adjusters and lawyers who are trained to reduce the value of your claim. You should not have to fight these professionals while recovering from painful injuries. Call Nanda and Associates at (905) 405-0199 to schedule a consultation with one of our Mississauga car accident lawyers. We have helped many Mississauga accident victims protect their legal rights.

Here are some of the most important steps to follow after an car accident:

Call a Lawyer as Soon as Possible

At the scene of an accident, you will need to speak with responding police officers. You might also need to get immediate medical attention or make arrangements for your vehicle to be towed. Take care of these things. Go home to rest. Then, as soon as you are able, schedule a consultation with an car accident lawyer. It is important to get a lawyer as soon as possible. Anything you say to the other driver or their insurance company can be used as evidence against you. Once you have a lawyer, he or she will handle all communications with the insurance company. A lawyer will know what to say – or not say – in order to protect your legal right to compensation.

Do Not Say or Post Any Information About the Accident on Social Media

Insurance companies can also use anything you post on social media as evidence against you. This includes statements about what happened and photos of the accident. It can even include pictures of you doing other activities weeks after the accident. Insurance company investigators have been known to use the pictures to prove that you aren’t really as injured as you claim to be. Something as simple as a gym selfie taken months after the accident could be used to claim that you aren’t in pain, because you are still able to work out. Do not post any statements or photos about the accident. Be sure to check your privacy settings regularly. Do not accept friend requests from anyone you don’t know.

Document Your Injuries and Losses

The insurance company is trying to collect evidence against you, so it is important for you to collect evidence of your own. Keep a record of all your medical appointments. Document your pain and discomfort. Write down the ways in which you have been affected by your injuries. (For example, you might be unable to sleep due to your pain. Perhaps you had to miss a sporting event because you were still recovering.) Photograph any visible injuries such as bruising, stitches, or broken bones. All of this documentation can be used to support your personal injury claim and push for a fair settlement offer. If the insurance company refuses to make a fair settlement offer, it can also be used in court to help a jury understand just how much you have been affected by your injuries.

Experienced Mississauga Car Accident Lawyers for All Injury Cases

The effects of a car accident can affect a victim for years to come. Your career, hobbies, home life, and friendships can all be affected by the pain and suffering – and sometimes permanent disabilities – that result from a car accident. Canadian law protects your legal right to be compensated for injuries sustained due to another driver’s negligence. Don’t leave your legal rights unprotected from attacks by the other driver’s insurance company. With an experienced Mississauga car accident lawyer fighting for you, you can rest assured that your legal rights will be protected. Call Nanda and Associates today at (905) 405-0199 or contact for a free consultation with a lawyer. We speak 15 languages, including English, French, Hindi, Punjabi, Gujarati, Bangla, Chinese, Italian, Telugu, and Tamil.

What You Need to Know About Inheriting Property in Canada

Inheriting Property

Inheriting Property

Inheriting Property – Probate, Wills & Estate in Canada

When dealing with the death of a loved one, the last thing you want to worry about is the hassle of probate court. An experienced Canadian estate lawyer can help you develop a plan to ease the burden on your loved ones after you are gone. If plans have not been put in place, an estate lawyer can help protect your legal rights throughout the probate process. Call Nanda and Associates at (905) 405-0199 to schedule a consultation with one of our experienced Mississauga probate lawyers.

How to Inherit Property When There is a Will

If a person properly executes a will before he or she dies, this document will likely control what happens to their assets after they are gone. There are certain key exceptions. A marriage after writing a will can invalidate a will, and divorce can nullify provisions that relate to the former spouse. A will cannot override property that is subject to other rules of ownership. (For example, a joint bank account that was created under rules of survivorship will not be distributed according to the terms of a will. In this case, the bank account would be fully transferred to the surviving owner without having to go through probate.)

A will might also be invalidated if one of the named beneficiaries does not survive the person who made the will. The law requires a beneficiary to survive the testator (the person who made the will). If he or she does not, the gift will revert to the estate. If the beneficiary survives the testator but is not alive at the time the inheritance is distributed, his or her beneficiaries can still receive the inheritance. These rules can create complicated scenarios, such as an accident that ultimately kills both the testator and his or her beneficiaries. Expensive probate battles have been fought to prove exactly who survived whom.

How to Inherit Property Without a Will

If a person dies without a will, there are default rules of law that determine who inherits his or her property. The Succession Law Reform Act applies to deaths that occur here in Ontario. It sets rules of succession for surviving spouses, children, grandchildren, parents, aunts and uncles, cousins, and so on. The rules continue for many generations. They can apply to distant relatives if no closer relatives have survived, but this presents a far more complex legal situation. A lawyer is usually required to clear up issues of inheritance when only distant relatives remain.

Experienced Mississauga Lawyers for Probate, Estates, and Wills

It is not pleasant to think about the end of your life. Nonetheless, a little bit of planning now can save your loved ones a lot of time and money after you pass away. If you are in the complex situation of dealing with an estate of someone who died without a will, it is important to consult with a probate lawyer about your legal rights.

Call Nanda and Associates today at (905) 405-0199 or contact us online. Our experienced Mississauga probate lawyers have helped many Canadians successfully navigate the complicated probate process. We can assist you with wills, trusts, estates, and related issues. Our staff speaks fifteen different languages, including English, French, Hindi, Punjabi, Gujarati, Bangla, Chinese, Italian, Telugu, and Tamil. We have the legal experience and language support to help serve all your probate needs and estate planning needs.

Will You Get Alimony after Your Divorce?

Alimony after Your Divorce

Alimony after Your Divorce

Divorce often presents many complicated financial issues. It is important for those facing divorce to consult with a lawyer about their legal rights. Alimony – also known as spousal support or spousal maintenance – can be worth hundreds of thousands of dollars over a lifetime and have a significant impact on your post-divorce quality of life. Don’t leave your legal rights to chance. Call Nanda and Associates at 905-405-0199 to schedule a consultation with one of our Mississauga divorce lawyers. Our lawyers have experience both pursuing and defending alimony claims.

How is Alimony Determined?

The Divorce Act governs spousal support awards under Canadian law. First, the spouse asking the court for an alimony award must prove that he or she is eligible for spousal support. Once eligibility has been established, the court will then determine the amount and duration of the award.

How to Prove You Are Eligible for Alimony

A person seeking alimony must first prove that an award would meet one or more of the purposes of alimony that is set forth in the Divorce Act. These are:

  • To compensate a spouse who sacrifices his or her ability to earn income during the marriage;
  • To compensate a spouse for the ongoing care of children, over and above any child support obligation; or,
  • To help a spouse in financial need arising from the breakdown of the marriage.

If one or more of these purposes are met, the judge will then examine the particular case to determine whether a spousal support award is justified. The judge will consider several factors, such as:

  • The financial means, needs, and circumstances of both spouses;
  • The length of time the spouses have lived together;
  • The roles of each spouse during their marriage;
  • The effect of those roles and the breakdown of the marriage on both spouses’ current financial positions;
  • The ongoing responsibilities for the care of the children, if any; and
  • Any previous orders, agreements, or arrangements already made about spousal support.

If the circumstances justify an award of spousal support, the court must then determine the amount of the award.

The Amount of a Spousal Support Award

The amount of a spousal support award is highly subjective. Unlike the Federal Child Support Guidelines, which judges are required to follow, the Spousal Support Advisory Guidelines are discretionary. Judges can choose to follow this advice or not as appropriate in each particular case. These guidelines “suggest appropriate ranges of support in a variety of situations for spouses entitled to support.” This reveals an important truth about spousal support: it is determined by the specific circumstances of each case. It is impossible to guarantee what a judge will award in a particular alimony case because there are simply no legal requirements. Judges have the discretion to award what is fair in each particular case. Around the world, other countries have alimony laws that follow this same principle.

Because spousal support awards are so subjective, lawyers have more room to argue alimony cases. A lawyer can freely argue that his or her client is entitled to more alimony based on the specific circumstances of the marriage. A lawyer also has wide latitude to defend a client from a high alimony claim made by the other spouse, because this too is determined by the specific circumstances of the parties’ marriage. This is why it is so important to consult with a divorce lawyer about your legal rights in an alimony case. This is especially true if your spouse has their own lawyer. Cases in which one spouse is represented by counsel and the other is not often result in settlements or judgments that are unfairly balanced in the represented party’s favour.

Experienced Family Law Lawyers for Mississauga Divorce Cases

You have important legal rights that are at stake in a divorce case. The sooner you consult with an experienced Mississauga divorce lawyer, the better protected your legal rights will be. Call Nanda and Associates today. Our staff speaks fifteen different languages, including English, French, Hindi, Punjabi, Gujarati, Bangla, Chinese, Italian, Telugu, and Tamil. We have the legal experience and language support needed to aggressively defend your legal rights. To schedule a consultation with a lawyer, call our office today at 905-405-0199 or contact us online.

Is a Mortgage Refinance Right for You?

Mortgage Refinance
Mortgage Refinance

Refinancing your mortgage can have many benefits, including debt consolidation, locking in a lower interest rate, and much more. However, you should never rush into the refinance process without considering all of your options with the help of an experienced mortgage lawyer. At Nanda & Associates, our lawyers provide advice and representation to residential homeowners to ensure they make the right decision for their specific situation. The following are some reasons why a mortgage refinance may not be the best option at the current time.

You Plan to Move Soon

There are costs and fees involved with obtaining a mortgage refinance, and eventually, homeowners can make up for those fees with monthly savings on their mortgage payments. However, if you plan to move in the next couple of years, you might not have enough time with the refinanced mortgage to save enough to make the fees and costs worth it.

You Have Had Your Mortgage for Many Years

At the start of your mortgage, you pay mostly toward interest, while later payments will address the principal balance of your loan. The same is true after you refinance. If you have already paid down your principal for several years, you might not want to start the entire process over and make interest payments for years before you can lower your principal balance. It might even result in paying more interest over time than you would have with your initial loan.

Your Lender Charges a Prepayment Penalty

Some mortgage lenders include a prepayment penalty in the loan terms. In some cases, this penalty can outweigh the savings that a refinance would bring. This could make it more economical to pay off your original loan according to its terms rather than seek a refinance.

A Mississauga Mortgage Lawyer Can Evaluate Your Options

Many people think that if interest rates go down or they could benefit from access to home equity, refinancing their mortgage loan is automatically the right decision. This is not always the case, and our legal team works closely with our clients to ensure they make mortgage decisions that will most benefit their situation.

If you decide to move forward with a refinance, we can help you through every step of the process. This includes helping with the following and more:

  • Determining whether your current agreement allows you to refinance
  • Reviewing your new mortgage agreement to ensure that it is in your best interest
  • Explain your rights and obligations under the proposed agreement
  • Identifying any vague or unclear terms in your agreement and taking steps to clarify their meaning
  • Representing you should a dispute arise after the new agreement is executed

Too many residential property owners in Ontario seek a refinance when it is not beneficial or they may make errors during the refinance process. Discussing your options with a lawyer will ensure that you only refinance your home when it is in your best interest and that any refinancing you pursue goes as smoothly as possible.
Contact an Ontario Mortgage Representation Lawyer to Discuss Your Options

Nanda & Associate Lawyers have worked with many commercial and residential property buyers or owners regarding mortgage financing. We can represent you if you are obtaining a brand new mortgage or if you are considering a refinance and would like to know your options. Call our firm at 905-405-0199 or contact us online to schedule your consultation today.

Helpful Estate Planning Tips

Family Class Sponsorship

Common Law Couple

Estate Planing Tips for Common Law Partners in Ontario, Canada

As per Statistics, the number of Canadians living as common-law partners, divorcing and remarrying is rising much more than before. In such circumstance, second time married or common-law couples have a diverse set of challenges as compared to one-time married couples. Estate planning in this situation can be quite complex.

Recent surveys on Wills show that more than 50% of Canadians do not have a will. Dying and making a will are topics that most people do not like to discuss. But, it is one of the essential things to take care of when your relationships and their dynamics change with time.

Many common-law couples keep their financial assets separate and manage them independently. They may also have a different set of expenses, incomes, and assets that they bring in to the relationship. Their financial setup for a former spouse, child support, expenses for children from an earlier relationship can be different.

Holding Real Estate

Many common-law couples choose to hold in real estate as tenants-in-common. In circumstances when they have children from earlier relationships, this type of real estate holding tends to be more common. As a tenant-in-common, each party has an individual interest in property. They can choose to transfer their vested interest to the person they select.

Let’s consider a situation where a common law couple holds property together as tenants-in-common and one of them expires. As per their will, the expired partner transferred their share to their respective children. Now, the child may become a co-owner with their step-parent leading to an awkward situation.

Such a situation differs from a joint ownership structure. In a joint tenancy, the survivor becomes the sole owner when the other owner expire, by right of survivorship.  There can be many ways to deal with such a situation.

One way is to modify the will’s clause giving permission to the surviving partner to stay in the home for a pre-set time period. In this case, they will be able to mourn their loss properly and not be forced to sell the house.

A clause for managing expenses in this situation should also be built into the will. If the surviving partner wishes to purchase half the home from the deceased partner’s children, that should also be addressed.

To manage this, two independent appraisals can be done to maintain a consistency in valuation. The purchase price can be the middle point of the two appraisals. For clarity, a real estate commission based on the prevailing rate in the province can be included in the calculation.

Benefits to the Survivor

When couples have children from previous relationships, they need to create a perfect mix of inheritance to all parties. This needs to be done according to the minimum inheritances and family law requirements of the province of residence.

Bequeathing all your assets to your surviving partner may not be the best situation when they are a step parent to your children. They may end up gifting assets in their life to people of their choice or may bequeath the assets in their will in a manner you may not prefer. If they get into a new relationship after your death, the new dynamics may change asset distribution.

The perception of your children for your surviving partner may also change if you leave everything to your partner. Another situation may occur if you fail to provide sufficiently for your surviving partner. They may have less than a happy retirement due to insufficient funds. They may also feel the need to work more into their retirement to ensure financial security.

Hence, it is vital to think through all possible situations before actually distributing assets to your family.

Incorrect Assets Distribution to A Survivor

Certain assets are more convenient if transferred to a surviving spouse or common-law partner instead of children. Registered Retirement Income Funds (RRIFs) and Registered Retirement Savings Plan (RRSPs) are easier to transfer to a common-law partner or spouse on a tax-deferred basis upon death.

These assets become fully taxable if they are payable to children, upon death. The only exception here would be a dependent grandchild or child who is dependent upon the expired spouse, had an income under minimum thresholds and was living with them.

Similarly, a Tax-Free Savings Accounts (TFSAs) can be transferred to a surviving partner. It can be done without adversely affecting the existing TFSA room to invest more. When it is transferred to any beneficiary that is not a spouse, it becomes taxable.

Though taxability is just one concern for bequeathing assets, it is an important one in your estate planning exercise.

With second relationships and marriages becoming increasingly common, it is vital to address these issues before they crop up. Acknowledging and providing for these circumstances will help in taking care of those you love the most.

How We Can Help

It is recommended to discuss and understand your options with a knowledgeable and experienced Wills and Estate Lawyer. If you require legal advice for making a will, please call us today. At Nanda & Associate Lawyers, our experienced Wills and Estate lawyers understand your specific circumstances and provide tailored and customized solutions for each of them.

Our Wills and Estate Planing Lawyers are available for a no-obligation free consultation. Feel comfortable interacting with our caring team who speak more than 15 languages like English, French, Spanish, Italian, Portuguese, Albanian, Hindi, Punjabi, Kannada, Telugu, Tamil, Bengali and much more.

4 Tips to Help Ease Your Tension During a Divorce

While some couples can settle their divorce harmoniously, there are other couples who aren’t that lucky. In fact, they can face tremendous amounts of frustration and stress as they proceed toward the end of their marital bliss. Once you’ve decided to separate from your spouse, you must prepare yourself for the huge amount of stress that is coming your way.

Below are some tips to help you cope up with this difficult time.

  1. Have Faith in Your Legal Team – Hiring an experienced attorney is probably the foremost thing that you and your spouse should do. Your legal team will help you through all the stages of your divorce and will also advise you on important matters. Try to find a reliable associate for yourself that you can put your complete faith in. When the emotions reach their limit, let your attorney intervene so that he/she can help you get a fair and logical solution.
  2. Take Up a Hobby – During the divorce, it’s easy to get entangled with every aspect of the case, which can become overwhelming. A hobby, however, can be a perfect distraction. Joining a book club or enjoying a long forgotten hobby can help a lot while the divorce proceedings move forward.
  3. Think Objectively – When the case moves to court you may feel like you are being wrongly attacked or criticized. However, judges and attorneys need to examine almost every aspect of the case so as to make decisions regarding the special accommodations and safety for you, your spouse and your children. Try to view the case through an objective lens rather than feeling emotionally persecuted.
  4. 4. Look to the Future –When the stress level of the case reaches beyond your limit, try to calm yourself down and think about the future. Imagine your life free from the chaos of divorce. This will definitely give you the perseverance that you need. Make some plans for your future like start thinking about a new place to live, or about a new job, or about your kids (if you have them). Looking at the brighter prospects of your future can help you through this extremely stressful time.

A divorce can be a very stressful and anxious period. Thus, by following these tips diligently, you can likely reduce the stress you will face while filling for divorce. Also, by hiring an experienced and trusted attorney, various legal aspects, for which you have little to no knowledge or understanding of, can be dealt with easily and efficiently. We, at Nanda & Associate Lawyers, have the best team of lawyers in the Brampton/Mississauga area. Whether you  need a lawyer for real estate , family matters, business or immigration, our associates can help you. Call us anytime to learn more about our services.