NewsTalk 1010: Adults Kids Moving Back Home - Featuring Laura Paris, Shulman & Partners

As housing affordability continues to challenge younger families in the Greater Toronto Area, more adult children are living with their parents, often bringing romantic partners and even children into the family home. While these arrangements can offer financial relief and emotional support for everyone involved, they can also introduce unexpected legal risks if relationships break down. This issue becomes especially complex when separations occur while the younger couple is living in a parent’s property. In an interview with NewsTalk 1010, Laura Paris, Associate Lawyer at Shulman & Partners LLP, explained how these living arrangements can blur legal boundaries around ownership, equity, and possession of a home. Her insights highlight why informal family arrangements, no matter how well intentioned, should be approached with clarity and legal foresight to avoid disputes that can escalate into costly litigation.

“You may actually run into a problem where the parents want to keep their child and get rid of the other, but because of the matrimonial home designation, it’s not that simple.”
— Laura Paris, Associate Lawyer, Shulman & Partners LLP

During the interview, Laura discussed why multi-generational living arrangements have become increasingly common, particularly in the GTA, where high housing prices leave younger couples with limited options. Many families view these arrangements as mutually beneficial: parents may receive help with mortgage payments or household expenses, while adult children save toward eventual homeownership and gain support with childcare.

However, Laura explained that legal complications can arise if the younger couple separates while living in the parents’ home. The legal outcome depends heavily on whether the couple is married or in a common-law relationship and whether they contributed financially or through renovations to the property.

For common-law couples, contributions such as paying household expenses or renovating a basement can give rise to an unjust enrichment claim. In these cases, a court may find that the parents were enriched by the couple’s contributions and may award compensation or even recognize an interest in the home. These claims can become particularly complicated when contributions were informal and undocumented.

The risks increase further when the younger couple is married. In that situation, the home they are living in may be considered a matrimonial home, even if it is owned by the parents. Laura explained that a matrimonial home designation carries possessory rights, meaning a non-biological spouse may have a legal right to remain in the home after separation. This can prevent parents from simply asking one party to leave, even if conflict arises.

Laura noted that while these disputes are not common, they do occur, and she increasingly sees parents seeking legal advice before allowing adult children and their partners to move in. She emphasized that the best protection for both generations is clarity from the outset. Conversations about expectations should happen early, and any financial arrangements should be clearly documented.

Practical solutions include written agreements confirming that renovations or payments are made in lieu of rent and do not create equity rights, or formal rental agreements that clearly define the younger couple as tenants. In some cases, Laura suggested it may be safer for parents to fund renovations themselves and collect rent, reducing ambiguity if a relationship ends.

Without safeguards, significant contributions could, in extreme cases, force parents to compensate the younger couple or sell the home if liquidity is unavailable. Laura’s message was clear: well-meaning family arrangements can carry serious legal consequences if intentions are not documented.

Listen to the full NewsTalk 1010 segment here. 

This media appearance is part of Shulman & Partners LLP’s ongoing contributions to Canadian family law discussions. Explore more of our media features in our In the Media  archive.