The moving party sought to reduce interim child and spousal support after losing his employment and requested elimination or set-off of arrears.
The responding party sought to impute substantial income to the payor and requested large prospective lump sum awards for child and spousal support due to concerns about potential bankruptcy and loss of future support.
The court held that the evidentiary record did not justify imputing high income or ordering lump sum support at the interim stage, emphasizing that such orders require strong evidence and consideration of the payor’s future financial viability.
Finding a material change in circumstances due to the loss of employment, the court varied the interim order by suspending spousal support and reducing child support to reflect current income.
The court also ordered payment of a tax liability previously agreed to by the parties from the payor’s RRSP holdings.
