Why You Need a Cohabitation Agreement (Even If You’re Madly in Love ❤️)
Love is great. But you know what isn’t? Legal disputes over property and finances if things don’t work out.
If you’re living with your partner (or planning to move in together), a Cohabitation Agreement in Ontario can save you a ton of stress, money, and heartache later on.
Wait, what? Aren’t cohabiting couples treated like married couples under the law? Not exactly. In Ontario, the rules for common-law couples are very different from those for married spouses—especially when it comes to property division and financial rights.
So, if you:
✔ Own property (or plan to buy a home together)
✔ Want to protect your finances in case of a breakup
✔ Want to decide how things will be handled before there’s a problem
Then a cohabitation agreement is something you should seriously consider.
(By the way, this is an informational article from Key Family Law, your trusted experts in Ontario family law.)
What is a Cohabitation Agreement?
A Cohabitation Agreement in Ontario is a legally binding contract between two people who live together (or plan to) but are not married.
It outlines each partner’s rights and responsibilities regarding:
📌 Property ownership (who owns what and what happens if you split)
📌 Financial support (whether one partner will pay support to the other)
📌 Debt responsibility (who is responsible for joint or individual debts)
📌 Household expenses (who pays for what)
📌 What happens in case of a breakup (to avoid messy disputes)
📌 Future plans (e.g., what happens if you later get married)
It’s basically a “relationship insurance policy” that protects both partners in case things don’t go as planned.
Why Should You Get a Cohabitation Agreement?
Still on the fence? Here’s why a cohabitation agreement is a smart move:
1️⃣ It Protects Your Property 🏡
Unlike married couples, common-law partners do NOT have automatic property rights in Ontario.
📌 Example: If you move into a home your partner owns, you don’t automatically get half of it if you break up. A cohabitation agreement can clarify what happens to property.
2️⃣ It Prevents Financial Disputes 💰
Who pays for what? What happens to shared accounts? A cohabitation agreement lays out financial expectations, preventing fights later on.
3️⃣ It Reduces Legal Costs in a Breakup ⚖️
Without an agreement, you might have to go to court if you separate and can’t agree on financial matters. Legal battles are expensive—why not avoid them altogether?
4️⃣ It Can Include Future Marriage Plans 💍
If you plan to marry later, your cohabitation agreement can automatically become a marriage contract, saving you from redoing everything later.
What Happens If You Don’t Have a Cohabitation Agreement?
If you don’t have a cohabitation agreement and you split up, the default Ontario laws will apply—and that might not be in your favor.
💔 For property: You don’t automatically have a right to half the property like married couples do.
💸 For financial support: You might have to prove economic dependency to get spousal support.
⚖️ For legal disputes: If you and your partner disagree, you may end up in a lengthy court battle.
A Cohabitation Agreement prevents these problems by setting clear terms from the start.
Are Cohabitation Agreements Legally Enforceable?
Yes! A cohabitation agreement is legally binding as long as:
✔ It is written (verbal agreements don’t count)
✔ Both partners sign it voluntarily
✔ Both partners fully disclose their finances (no hidden assets or debts)
✔ It is witnessed and signed properly
✔ It is fair and reasonable
💡 Pro Tip: To avoid future disputes, it’s best to have a lawyer draft or review the agreement.
What Can (and Can’t) Be Included in a Cohabitation Agreement?
✅ You CAN include:
✔ Property ownership and division
✔ Financial support arrangements
✔ Responsibility for debts and expenses
✔ What happens if you break up
✔ Future marriage plans
❌ You CANNOT include:
❌ Child custody or child support (these must follow Ontario family law)
❌ Anything that violates Ontario laws (e.g., signing away spousal support rights unfairly)
🔗 Need help with child custody? Learn more here: Child Custody
How to Create a Cohabitation Agreement in Ontario (Step by Step)
1️⃣ Discuss it with your partner – Be open and honest about what you both want.
2️⃣ Make a list of assets, debts, and financial expectations – Full disclosure is key.
3️⃣ Consult a family lawyer – To ensure the agreement is fair and legally enforceable.
4️⃣ Draft the agreement – Make sure everything is clear and detailed.
5️⃣ Review and sign – Both partners should review carefully before signing.
6️⃣ Keep a copy – Store it in a safe place for future reference.
Can a Cohabitation Agreement Be Changed or Canceled?
Yes! A cohabitation agreement can be modified or revoked if:
✔ Both partners agree to the changes
✔ The changes are put in writing and signed
✔ Both partners get independent legal advice before signing the changes
If you get married, your cohabitation agreement can either:
✅ Automatically turn into a marriage contract (if specified in the agreement)
❌ Or need to be updated or replaced to reflect your new status
Final Thoughts: Should You Get a Cohabitation Agreement?
If you’re moving in with your partner, a Cohabitation Agreement in Ontario is a smart, proactive step to protect both of you.
✔ It prevents financial disputes
✔ It clarifies property rights
✔ It reduces legal stress in case of a breakup
✔ It ensures both partners are treated fairly
📞 Need legal help drafting a Cohabitation Agreement? Key Family Law can guide you through the process and make sure your agreement is airtight and fair.