On May 2, 2013, the Liberal government in Ontario released
its proposed budget. While the NDP has not yet
lent the proposed budget support in order to ensure its passage,
the Heenan Blaikie Pensions, Benefits and Compensation Group has
prepared a brief summary on its potential impact on pension law in
Ontario should it ultimately be passed.
Last November, in Carrigan v. Carrigan Estate, the
Court of Appeal overturned the commonly understood interpretation
of the death-benefit entitlement provisions of the Pension
Benefits Act. Previously, the provisions were understood to
mean that where an individual had a legally married spouse, from
whom they were separated but not yet divorced, and a common law
spouse with whom they lived, the common law spouse would be
entitled to receive the death benefits. The Court of Appeal's
reversal of this interpretation potentially disentitles many common
law couples from their spouses' pensions. In this budget, the
government has