A cherished family cottage can create complex emotional and legal questions when a divorce happens. In Alberta, courts follow clear principles under the Family Property Act (FPA) to divide property – including cottages. Because cottages can involve unique ownership structures, joint family contributions, and fluctuating market values, determining who keeps the cottage can benefit from the aid of an experienced legal professional.
If you have questions about how your cottage, or any of your other property, may be subject to division if you’re getting a divorce, our family lawyers at Verhaeghe Law can help. With years of experience helping spouses navigate property division, we can guide you through the legal process.
To talk to a member of our team about your situation, call our Edmonton office at 587-410-2500 or fill out our online contact form now.
How Alberta Courts Divide Family Cottages
Alberta courts typically treat cottages the same as other family property, but certain factors might complicate the process. For example, they may take into consideration:
- Is the Cottage Family Property? Any property acquired during the marriage is generally subject to equal division, regardless of whose name is on the title. If the cottage was inherited or gifted to one spouse, it may be considered exempt from division, but only if it hasn’t been significantly improved or maintained during the marriage.
- Valuation of the Property: The cottage’s value is usually assessed as of the trial date, which means any increase in value after separation could be split between spouses. Courts often consider the costs of upkeep, renovations, and individual contributions to the property financially and non-financially.
- Possession vs. Ownership: Even if one spouse keeps the cottage, they may be required to pay an equalization payment to the other spouse as per property division laws. Courts weigh practical considerations when determining equalization payments, such as which spouse:
- Has the financial means to maintain the property
- Lives closer to or uses the cottage more frequently
- Has the ability to buy out the other spouse’s interest
- And more
- Out-of-Province Cottages: If the cottage is outside Alberta, it may still be included in property that must be divided. However, in some cases, Alberta courts cannot directly alter property titles in other provinces. This may add additional complexity.
Because cases involving family cottages can become contentious, having an experienced lawyer on your side can be extremely beneficial. They will be able to negotiate on your behalf, ensure proper valuation, and work towards a resolution that helps to avoid lengthy court battles and litigation.
Is a Family Cottage Involved in Your Divorce? Call Verhaeghe Law Today
Determining who keeps the family cottage after a divorce is often one of the most emotionally charged and complex issues in property division. It is not only about financial value, but also about preserving fairness and preventing future disputes.
With the help of a family lawyer, you can ensure that:
- You don’t lose your fair share of the property, or are forced to sell
- No exemptions, hidden costs, or tax implications are overlooked
- Thorough property valuations are conducted
- Agreements are drafted and negotiated that safeguard your interests
- And more
If you’re going through a separation or divorce involving a family cottage, contact the team at Verhaeghe Law today. Our experienced family lawyers will guide you through every step, ensuring your rights are protected. To schedule a consultation, call our Edmonton office at 587-410-2500 or fill out our online contact form now.