In an agreement made during a divorce, if amounts are to be paid over a certain period of time, the words used are certainly important, but the reality of the financial situation of the person who will be paying spousal support should not be overlooked.
Multiple legal questions arise when a couple's marriage comes to an end. It is worth noting that, since last week, the end of a common-law union raises no less. Thus, a couple, after 46 years of marriage, obtains a divorce judgment. This judgment ratifies the agreement on ancillary measures and the division of community property, which amounts to $1,000,000. According to this agreement, Monsieur must pay Madame $615,000 as well as alimony.
A few months pass. The parties amend the agreement so that the family residence is transferred to Madame in order to avoid Monsieur from selling or mortgaging his assets. Monsieur undertakes to pay monthly, for the rest of his life, as alimony, a sum of $900, representing the expenses related to the maintenance of the residence.
Ten years pass, and Monsieur turns to the Court* and requests the cancellation of the alimony and its arrears. Madame objects and claims that the monthly payments constitute a staggered payment from her part in the community and not alimony. The Court rejects this argument. The use of the term "for the rest of his life" should not deprive the payer of his right to demonstrate that his financial situation has undergone "substantial and drastic changes that make him unable to pay the agreed amount as alimony." Furthermore, Madame has not demonstrated that Monsieur has hidden or dissipated his assets. Given Monsieur's financial situation, the Court cancels the obligation to pay alimony.
In an agreement entered into during a divorce, if amounts are to be paid over a certain period of time, the words used certainly have their importance, but the reality of the financial situation of the person who will pay the alimony should not have any less. One must never forget that what one possesses today may not always have the same value, it could melt away like snow in the sun.
*CA Québec 200-09-006876-095
