Fear of commitment and financial instability often plague the minds of couples and discourage them from getting married. Some prefer to keep their status as life partners. They then regularize their situation by means of a contract of common life. What is this document and what is its interest? Here is what you should know about the contract.
The cohabitation contract is intended for couples who live together. It defines the obligations assigned to each of them.
A cohabitation agreement is a written contract between two people living in a common-law relationship under the same roof. This contract is drafted and agreed to by both parties and is intended to include obligations to protect the interests of each party in the event of separation.
Also known as a de facto union contract, the de facto union contract sets out the decisions regarding the couple’s lifestyle, including the division of responsibilities and measures in the event of death or separation.
According to their wishes, the paper sets out the rights, obligations, debts and personal property of each of them. However, it does not replace a will. The couple can shape the agreement to suit their needs without violating any existing regulations.
Canada allows for several types of living arrangements. The document drawn up before witnesses is just as valid as the one drawn up without formality. The role of the witnesses is limited to certifying the signing of the contract.
The cohabitation contract can be a notarized document. Moreover, the intervention of a notary enhances its content. It obtains the status of an “authentic act” and cannot be contested.
The life contract drawn up by a lawyer is useful in a context of tension that could lead to a dispute.
You can also fill out the ready-to-use living agreement on the Internet. Although it is a private document, it has legal value.
The cohabitation contract defines the rights of de facto couples. It sets out :
It removes any doubts and clears up any misunderstandings if a conflict arises.
The contract is prepared in the presence of a legal professional, but how should it be written?
The parties involved in the contract must :
The contract can be drawn up orally or in writing. Nevertheless, it is preferable to draw up a contract in black and white. In case of problems, it will serve as proof.
It is often made to measure. Even so, its content conforms to the regulations without betraying the will of the spouses.
Filling out the cohabitation contract seems complex. It transcribes the couple’s wishes and priorities. A standard model of a cohabitation contract contains the following mandatory elements
The wording varies according to the couple’s financial situation and professional context.
Donations, the transfer of property in the event of death, and decisions affecting the rights and interests of the children are excluded from the cohabitation contract. Donations are prohibited if the contract is not notarized. To include them, require the presence of a notary when drawing up the cohabitation contract.
The document cannot impose the terms of transfer of property following the death of a spouse. Only a will can do this.
The law prohibits provisions that are contrary to the interests of the children, as well as measures that disturb public order.
The price of a cohabitation contract depends on the lawyer you wish to use. The price can vary between $500 and $1500.
The cohabitation contract in Quebec has many advantages. It is the ideal solution for couples wishing to avoid marriage.
The cohabitation contract is flexible and can be changed at any time, provided that the partners agree. Experts recommend that it be reviewed annually to make any necessary updates. They recommend that a specific date be set each year for its revision.
The modification of an existing contract drafted by a lawyer requires the presence of a notary or a lawyer, thus increasing the price of the cohabitation contract. Otherwise, the couple must draw up a new contract in front of witnesses that will cancel the previous one.
After a separation, the cohabitation contract controls the distribution of finances. It is therefore of primary importance if one of the spouses remains in the family residence with the children. In a situation of financial insecurity, the parent can claim regular support payments. He or she can also include in the contract measures in favor of the children’s interests.