12. What kind of debts get equalized during separation?

Equalization considers each spouse’s net family property, meaning debts and liabilities are

generally part of the calculation. Common debts considered in equalization include:

 mortgages;

 lines of credit;

 credit cards;

 personal loans;

 vehicle loans;

 tax debts;

 business debts personally guaranteed by a spouse;

 shareholder loans;

 student loans;

 judgment debts;

 family loans, if genuine and enforceable; and

 contingent liabilities, where properly valued.

However, not every alleged debt will necessarily be accepted at face value. The court may

examine whether the debt is legitimate, documented, incurred in good faith, connected to the

family, or artificially created to reduce equalization.