What Is a Cohabitation Agreement? A Clear Guide for Unmarried Couples in Ontario
Jun 26, 2025
You’re a couple that’s choosing to live together without marrying. How do you legally protect yourself in case things go wrong? A cohabitation agreement offers you the peace of mind and legal clarity.
Understanding your rights and establishing your responsibilities is important, no matter if you’re just moving in together or have been cohabiting for years.
In this guide, we’ll explore what a cohabitation agreement is for Ontario couples, why it’s essential for unmarried cohabiting couples, and how you can get one that protects your interests.
What Is a Cohabitation Agreement?
A cohabitation agreement is a legally binding contract between two people who live together in a conjugal (romantic) relationship but are not married.
This agreement outlines each partner’s rights and obligations with respect to:
- Property ownership
- Finances and debts
- Spousal support (if applicable)
- Division of assets upon separation
- Household responsibilities
It allows couples to create a legal framework that governs how their affairs will be managed during the relationship and what will happen if they separate.
Cohabitation agreements can be customized to reflect each couple’s unique situation. They can be signed before or after moving in together and remain valid even if the couple later marries (unless replaced by a subsequent marriage contract).
Why Unmarried Couples Should Consider a Cohabitation Agreement
Let’s explore some of the top reasons why you should get a cohabitation agreement for your common-law relationship.
Protecting Your Assets and Financial Future
One of the biggest misconceptions among unmarried couples is that “common law” relationships automatically offer the same protections as marriage.
In Canada, while common law partners may have some rights, particularly in areas like child support or spousal support, they do not have automatic rights to property division under Ontario’s Family Law Act.
This can lead to unexpected and financially damaging consequences in the event of a separation.
For example, without a cohabitation agreement:
- One partner could be left with no claim to a shared home they contributed to financially.
- Disputes may arise over jointly purchased assets.
- There’s no clear plan for who is responsible for debts or ongoing expenses.
A cohabitation agreement can clarify all of these matters, reducing uncertainty and potential legal battles later.
Clarifying Expectations in the Relationship
Just as a business partnership benefits from a clear contract, so too does a domestic partnership.
Discussing and signing a cohabitation agreement can help partners align on key topics like:
- Who owns what
- How household expenses will be divided
- What happens if one person wants to move out, or if the relationship ends
Have this discussion early in your relationship. It can prevent misunderstandings, build trust, and promote fairness.
Planning for the Future: Including the Unexpected
We all enter a relationship hoping for the best. However, not planning for the possibility that it may fail is a mistake. Planning for this possibility is a wise and practical step. A well-crafted cohabitation agreement acts as a form of insurance: it’s there to support both partners in case of unforeseen circumstances such as illness, separation, or death.
According to the Department of Justice Canada, family law agreements, including cohabitation agreements, help partners make decisions in advance about how they want to resolve issues without court intervention. This can significantly reduce stress, costs, and conflict.
What Can (and Can’t) Be Included in a Cohabitation Agreement?
Here’s what you can include:
- How property and assets will be divided
- Responsibilities for debts
- Terms for spousal support
- Rights to pensions or retirement funds
- Household duties or shared financial goals
What you can’t include:
- Parenting or access arrangements for children (these must be decided based on the child’s best interests at the time of separation)
- Terms that are unfair, illegal, or signed under duress
It’s important to remember that while cohabitation agreements are enforceable in court, they may be challenged if they are considered grossly unfair or were not entered into freely and with full disclosure.
How to Prepare a Cohabitation Agreement
Step 1: Talk Openly With Your Partner
Start by having an open and honest conversation about your financial situation, goals, and what each of you expects in the relationship. This sets the stage for creating an agreement that works for both parties.
Step 2: Hire a Family Lawyer
Even though you can technically write your own agreement, it’s strongly recommended that each partner seek independent legal advice from experienced cohabitation lawyers. This ensures that:
- The agreement is legally valid
- Both parties fully understand what they’re signing
- There is no coercion or conflict of interest
A lawyer can also help customize the agreement to your specific needs and ensure that it complies with current family law standards.
Step 3: Draft and Review the Agreement
Once you both have disclosed your financial information, your lawyer(s) will draft the agreement. You’ll review it together, make any necessary changes, and ensure you’re comfortable with the final version.
Step 4: Sign the Agreement
After the final review, you both will sign the agreement in front of a witness (usually your lawyer). Keep a copy for your records and update the agreement if your circumstances change (e.g., you buy a home together or have children).
Frequently Asked Questions About Cohabitation Agreements
Is a cohabitation agreement legally binding?
Yes, as long as it is properly executed, with full financial disclosure and independent legal advice. It is considered legally binding and enforceable in court.
Can we write our own cohabitation agreement?
You can, but it’s risky. Agreements not drafted by a lawyer may omit key legal protections, use unclear language, or be unenforceable. It’s best to work with experienced cohabitation lawyers.
What happens to the agreement if we get married?
In Ontario, your cohabitation agreement becomes a marriage contract unless you specifically state otherwise. This allows it to continue to govern your affairs during and potentially after your marriage.
Invest in Peace of Mind With A Cohabitation Agreement
A cohabitation agreement is more than just a legal document. It’s a proactive step to protect both partners in a committed relationship. With rising housing costs, blended families, and longer life spans, more couples are cohabiting without marrying.
Whether you’re moving in together for the first time or have been living together for years, the team at Kelly Jordan Family Law is here to help. Our experienced cohabitation lawyers understand the complexities of modern relationships and will work with you to craft a fair, clear, and enforceable agreement customized to your situation and needs.
Family law lawyer Kelly D Jordan can provide you with the legal guidance and support you need.
If you need legal advice regarding separation or divorce, contact us online or call our Toronto offices at 416-849-5501 to schedule a consultation. Let us provide you with the guidance and representation you need.