“Family property” is all property that is owned by (or a beneficial interest in it is held by) at least one spouse on the date of separation, unless the property falls within the definition of “excluded property” (set out below). Family property includes property acquired after separation if it is derived from property that is family property.
Section 84(2) of the FLA details certain types of property that are family property, including: (a) shares in a corporation; (b) an interest in a business; (c) property or money owed to a spouse; (d) money in a bank account; (e) a pension, annuity, RRSP or income plan; (f) property, other than excluded property, that a spouse disposed of after separation but over which the spouse retains authority; (g) the increase in value of any excluded property.
Subject to certain exceptions, excluded property is (a) property owned before the relationship; (b) inheritances and gifts; (c) an award for injury or loss (such as from a personal injury claim); (d) money received by way of an insurance policy; (e) excluded property referred to above that is held in trust; (f) property held in a discretionary trust; and (g) property that can be traced from excluded property. If property is in a spouse’s name, that spouse has the burden of proving it is “excluded”.
“Family debt” includes all financial obligations incurred by either spouse from the time the relationship between the spouses began until separation, and, in certain circumstances, afterwards.