Spence v. Spence

Spence v. Spence

The respondent established a material change in circumstances (loss of long-term employment and receipt of severance); severance was treated as replacement income and prorated to impute respondent income at $173,000 annually for the relevant period; claimant income imputed at $45,000; on balance of compensatory factors, equalization, and claimant's obligation to pursue self-sufficiency, the court varied the consent spousal support order into a stepped schedule ($3,200/month Jan–Aug 2021; $1,520/month Sept 1, 2021–Aug 31, 2025; $760/month Sept 1, 2025–Aug 31, 2028), terminated support thereafter, ordered FMEP to release the $200,000 security, and directed that parties bear their own costs.

Citation
2021 BCSC 2159
Parties
Claimant: Joan Elyza Spence; Respondent / Applicant: David Neil Spence
Court
Supreme Court of British Columbia
Jurisdiction
Canada
Judgment Date
4 November 2021
Procedural Posture
Application to Vary Spousal Support Under the Divorce Act / Variation Application From Final Consent Order (2016 Order)
Outcome
Application to vary the spousal support order granted in part; spousal support varied to a stepped schedule and FMEP ordered to release security; costs each party to bear their own costs.
Legal Topics
Variation of Support Order, Material Change in Circumstances, Severance as Income, Imputation of Income, Self Sufficiency, FMEP Security Release, Compensatory Spousal Support, Equalization
Source Language
English
Family Law Divorce Spousal Support Enforcement Variation of Support Order Material Change in Circumstances Severance as Income Imputation of Income +4 more

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Parties

Joan Elyza Spence

Claimant

David Neil Spence

Respondent / Applicant

Procedural Posture

Application to Vary Spousal Support Under the Divorce Act / Variation Application From Final Consent Order (2016 Order)

Legal Issues

  1. 1 Whether there was a material change in circumstances warranting variation of spousal support
  2. 2 How to treat a lump sum severance for Guideline income
  3. 3 Whether and to what extent claimant must move toward self-sufficiency and income imputation

Ratio Decidendi

The respondent established a material change in circumstances (loss of long-term employment and receipt of severance); severance was treated as replacement income and prorated to impute respondent income at $173,000 annually for the relevant period; claimant income imputed at $45,000; on balance of compensatory factors, equalization, and claimant's obligation to pursue self-sufficiency, the court varied the consent spousal support order into a stepped schedule ($3,200/month Jan–Aug 2021; $1,520/month Sept 1, 2021–Aug 31, 2025; $760/month Sept 1, 2025–Aug 31, 2028), terminated support thereafter, ordered FMEP to release the $200,000 security, and directed that parties bear their own costs.

Court Disposition

Application to vary the spousal support order granted in part; spousal support varied to a stepped schedule and FMEP ordered to release security; costs each party to bear their own costs.

Orders

  • Spousal support set at $3,200 per month for January 2021 to August 2021 based on imputed incomes of $173,000 (respondent) and $45,000 (claimant).
  • Spousal support set at $1,520 per month from September 1, 2021 for a period of four years (to August 31, 2025).