What is the test for reapportioning the value of a rental property between the spouses?

British Columbia, Canada


The following excerpt is from R.D.G. v. S.T.G., 2003 BCSC 846 (CanLII):

In support, counsel for R.D.G. referred to Raposo v. Raposo, [2001] B.C.J. No. 2242 (S.C.). In that case, the court found that rental revenue property purchased by one spouse shortly before the marriage and then held during the eleven years of marriage was a family asset. This was because some of the income was used for family purposes, namely vacation expenses, and because the other spouse made indirect contributions. On the question of reapportionment, the court considered the timing and circumstances of acquisition along with the respective contributions of each spouse to the operation of the property as a rental business. The court also found little difference in the earning capacity of the two parties. In my view, even though the case resulted in a significant reapportionment to achieve fairness, it offers little direct guidance in the case at bar.

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