BVO v MMO, 2016 ABQB 366

Court of Queen ’ s Bench of Alberta Citation: BVO v MMO, 2016 ABQB 366 Date: 20160629 Docket: 4803 171954 Registry: Edmonton Between: BVO Plaintiff/Respondent - and - MMO Defendant/Applicant Corrected judgment: A corrigendum was issued on July 5, 2016; the corrections have been made to the text and the corrigendum is appended to this judgment. _______________________________________________________ Supplemental Reasons for Judgment of the Honourable Mr. Justice Donald Lee _______________________________________________________

[ 1 ] This is an application for periodic spousal support made by the Wife heard in morning Family Law Chambers June 24, 2016.

The issues of retroactive spousal support to the date of separation in December 2013; an Order directing that the Husband pay to the Wife one-half of a severance he received in January 2015 while employed with the Office of the Ethics Commissioner; and an Order that the Wife receive one-half of the Husband’s MEPP pension were not dealt with in morning chambers. [ 2 ] These parties were married in July 1981, and there is no question that there is an entitlement to spousal support given the long term traditional marriage between the parties of approximately 35 years, and given that the Wife supported the Husband’s success as a lawyer.

There are three adult children. The Wife is presently approximately 56 years of age and the Husband is approximately 65 years of age. The parties separated in December 2013, when the Husband moved out of the matrimonial home to reside with his girlfriend in Edmonton. [ 3 ] In February 2015, the Husband’s position as general counsel to the Office of the Alberta Ethics Commissioner was terminated. He received severance pay equivalent to five months’ salary, or approximately $80,000.00. [ 4 ] His income in 2012, 2013 and 2014 was approximately $134,000.00, $129,000.00 and $207,000.00 respectively.

The Husband deposes that his 2014 income included back-pay of approximately $50,000.00 paid to him in 2014. [ 5 ] The Husband’s 2015 income was approximately $143,000.00, which included severance pay of $80,000.00, employment income of $59,000.00, and $3,500.00 that he received from the office of the Saskatchewan Conflicts of Interests Commissioner. [ 6 ] Presently the Husband deposes that he nets $4,000.00 a month in his fulltime employment with MRJC, a charitable organization. He hopes to earn another $30,000.00 in income from MacEwen University by teaching one course in the fall.

He has provided in his June 22, 2016 Affidavit a monthly budget of approximately $3,100.00, which leaves him with approximately $900.00 each month, after paying his share of expenses while living with his girlfriend.

He also deposes that he may lose his employment with MRJC as early as next month due to that organization’s funding problems. [ 7 ] The Wife’s circumstances are that she is presently unemployed, and she desposes she has commenced bi-weekly counselling as of July 2014 through 2015 to deal with the many issues she presently faces including she says of betrayal of trust, abandonment, depression, lack of self-confidence, and other issues triggered by the breakdown of the marriage. The Wife has had very limited employment record since she graduated from high school in 1978.

She did complete two years towards a commerce degree at the University of Alberta many years ago, and did work as a bookkeeper briefly for the Husband’s law office.

Conclusion [ 8 ] The Husband submits that the Wife could work as a bookkeeper and earn approximately $36,000.00 per year, but for purposes of this interim interim application for spousal support I consider the Wife’s income and employment prospects to be non- existent. [ 9 ] For purposes of this application, I consider the Husband’s income to be $4,000.00 net per month, and his expenses which were unchallenged to be approximately $3,100.00 per month, leaving him with $900.00 a month in net income.

The Husband will however start receiving a pension at some point fairly soon which will net him an additional $700.00 per month. Accordingly I conclude that he has available to him an income of at least $1,600.00 presently each month after expenses. [ 10 ] In addition to the $1,600.00 in net income, the Husband also has another potential $2,000.00 in net income if he teaches part- time at MacEwan University starting in September 2016.

I have not taken into account that $2,000.00 in potential income from MacEwan University for the purposes of deciding present spousal support. [ 11 ] The Wife lives in a mortgage free home, which is the primary asset of these parties. The home is in the University of Alberta area and is probably worth according to the Affidavit evidence before me at least $500,000.00.

The Husband believes that the home can be rented for $1,800.00 per month, although the home is not rentable currently because that is where the Wife resides. [ 12 ] The Husband deposes in his Affidavit that he has been paying the Wife since they separated in late 2013. In his Affidavit sworn June 22, 2016 in paragraph three the Husband deposes as follows: 3.

I paid the Defendant 55% of my net pay every 2 weeks, from January 2014 to June, 2014; then 52% of my net pay from June, 2014 to December, 2014. 1 also paid to the Defendant 55% of my back pay which I received after a reclassification of my position in June, 2014. In 2014 I paid the Defendant $62,107.54; I paid myself $52,868.20. In 2015 I paid the Defendant $20,038.37.

For 2016, to April 27, I paid the Defendant $2,250.00 I do not have the exact figures for January, 2014 to April, 2014, as I cannot access bank statements for that period; the Defendant should have the bank statements showing the deposits into our joint account at ATB for all of 2014 and 2015. Hereto attached as Exhibit “A” to this my affidavit is a breakdown of the monies I have paid to the Defendant for the period January, 2014 to April, 2016, These payments do not include payments I made to the mortgage on the matrimonial home or other matrimonial debt.

I do not know what the Defendant has done with the monies I have paid her. The Defendant has not provided a budget of monthly expenses. [ 13 ] Given that the Wife did not provide the Court on this application with a budget of her own monthly expenses, and given that it appears that the Husband has been making some payments until approximately April 2016 toward the Wife’s expenses, I did not deal with retroactive spousal support from the date of separation at the end of 2013.

Retroactive spousal support can be dealt with at a future time when the Husband’s Fall 2016 income is determined, or when the other matters in the Wife’s application are dealt with.. [ 14 ] I have concluded however that the Husband will begin paying $1,500.00 per month in interim interim spousal support as of July 1, 2016 on a go-forward basis, which amount will be reviewable in September 2016 if the Husband begins teaching at MacEwan University, which is a likely prospect at this time. If that event occurs, in the Husband’s own Affidavit of June 22, 2016, he will have

another $2,000.00 of net income. [ 15 ] Given the Wife’s success in this application, I have also awarded her $750.00 in costs, payable immediately. Heard on the 24 th day of June, 2016. Dated at the City of Edmonton, Alberta this 29 th day of June, 2016. Donald Lee J.C.Q.B.A. Appearances: Michael Kraus, Q.C. for the Defendant/Applicant Wife John A. McCrae for the Plaintiff/Respondent Husband _______________________________________________________ Corrigendum of the Reasons for Judgment of The Honourable Mr.

Justice Donald Lee _______________________________________________________ There was a correction in the citation and the style of case changing the initials of the Defendant/Applicant from MAMO to MMO.