Yes. A cohabitation agreement is a legally binding domestic contract in Ontario, provided it meets the formal requirements of the Family Law Act (FLA). A cohabitation agreement lets two people who are living together, or who plan to live together, set their own rules for property, support, and finances instead of relying entirely on Ontario’s default rules for unmarried couples.

Under section 53(1) of the FLA, two people who are cohabiting, or intend to cohabit, can agree on their respective rights and obligations during cohabitation, on ceasing to cohabit, or on death – regardless of the sex or marital status of the parties.

The easiest, fastest, and most affordable way to create a cohabitation agreement in Canada is to use Legal Line’s cohabitation agreement form.

What makes an Agreement legally binding?

A cohabitation agreement must be in writing, signed by both parties, and witnessed to be enforceable. An informal verbal understanding about finances during cohabitation is not a valid domestic contract.

When can a court set it aside?

Under s. 56(4) of the FLA, a court may set aside a cohabitation agreement, or a provision in it, under three circumstances:

• where a party failed to disclose significant assets or debts,
• where a party did not understand the nature or consequences of the agreement, or
• on other general contract-law grounds such as duress or unconscionability.

What can a Cohabitation Agreement not decide?

A cohabitation agreement cannot make decisions on future parenting time, decision-making responsibility, or child support, since these issues are decided by the court based on the best interests of the child at the relevant time.

What happens if you later marry?

When a couple with a cohabitation agreement later marries each other, the agreement is automatically deemed to become a marriage contract (‘prenup’), unless the parties have specified otherwise.

Why are Cohabitation Agreements important?

Unmarried partners are not protected under the federal Divorce Act which only provides divorce and related relief to married spouses. Ontario’s default property-equalization scheme under Part I of the FLA also does not apply to unmarried couples. This makes a cohabitation agreement one of the only tools unmarried partners have to define their financial rights in advance.

Getting the advice and help you need

Before you say “I do,” protect your future. Contact Prenup.ca for clear, enforceable marriage contracts that safeguard your assets and reduce conflict if things change. Speak with an experienced Ontario family lawyer today at 1-800-837-0460 .

Get your Cohabitation Agreement

Every common-law couple should consider having a cohabitation agreement to establish clear expectations, address important financial matters, and help prevent conflicts in the future.

The easiest, fastest, and most affordable way to create a cohabitation agreement in Canada is to use Legal Line’s cohabitation agreement template.

								
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