Real Estate Value Increase After Split

The Ontario Court of Appeal considered who benefits from an increased real estate value of the matrimonial home after separation where only one married spouse is on title in Gionet v. Pingue, 2018 ONCA 1040.  The Honourable Justice Alison Young considered the appeal of the spouse on title who believed the trial judge misapplied the law to find that she failed to rebut the presumption of a resulting trust in favour of her ex-husband.  The spouse on title believed that because she contributed more after separation to the mortgage upkeep, and as such she could keep any post separation increases in value. The trial judge had found that the historic dealings between the spouses were consistent with the involvement of a joint family venture, as the parties routinely purchased and sold properties using joint monies for joint profit.  As such, the trial judge ordered that the increase in value be equally shared by way of resulting trust.  The Honourable Justice Alison Harvison Young of the Ontario Court of Appeal agreed.

Often married couples cohabit in a matrimonial home living separate and apart under the same roof.  While this may save the expense of operating two households, it may cause additional complexities when the value of the home increases or decreases due to market changes.  Getting advice early in a separation will provide you to make fully informed decisions early and avoid pitfalls caused by market changes.

If you have questions about your divorce or separation, resulting trust, or asset or property division contact Windsor family law lawyers Mary Fox, Tanya McNevin or Thomas MacKay today by calling 519-259-1820.   We serve clients in Windsor, Tecumseh, Lasalle, Essex, Leamington, Kingsville, Belle River, Lakeshore, and throughout southern Ontario.

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