In Plimmer v. Burke, 2019 ONSC 1915, Shaw J. of the the Ontario Superior Court of Justice found that the court does not have the jurisdiction to offset an equalization payment from future child support owing.
In this case the mother owed $50,000.00 to the father for equalization. The father owed child support for the two children living with the mother. The father wanted the equalization payment to buy a home. The mother wanted to offset the entire equalization payment for future child support owing by the father to the mother.
The Court found that while the court could order that the equalization payment be ordered in installments where it would cause undue hardship, section 9 of the Family Law Act does not authorize the court to fund an equalization by a set-off against future child support. The Court ordered that $20,000.00 be paid in one lump sum and the remaining $30,000.00 be paid in the amount of $500.00 per month, secured by a mortgage.
If you have questions about your divorce or separation, child support, equalization 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.