“The leading case on the application of s.9 is the Supreme Court of Canada case of Contino v. Leonelli-Contino: 2005 SCC 63. The framework of s.9 requires a two-part determination: first, establishing that the 40 percent threshold has been met; and second, where it has been met, determining the appropriate amount of support. The specific language of s.9 warrants emphasis on “flexibility and fairness”. The discretion bestowed on Courts to determine the child support amount in shared custody arrangements calls for acknowledgement of the overall situation of the parents (conditions and means) and the needs of the children. The weight of each factor under s. 9 will vary according to the particular facts of each case.
The first factor requires that the Court determine the parties’ incomes and calculate the simple set-off amount. The simple set-off is the “starting point” of the s.9 analysis, but the set-off amounts are not presumptively applicable and the assumptions they hold must be verified against the facts. The Court retains the discretion to modify the set-off amount where, considering the financial realities of the parents, it would lead to a significant variation in the standard of living experienced by the children as they move from one household to another: Contino, supra, at 40 and 49-51.
Section 9(b) requires that the Court consider the increased costs of the shared custody arrangements. The Court should examine the budgets and actual expenditures of both parents in addressing the needs of the children and determine whether shared custody has, in effect, resulted in increased costs globally because of the duplication of costs in providing two homes for the children. The Court should also consider the ratio of incomes between the parties as the child care expenses will be apportioned between the parents in accordance with their respective incomes: Contino, supra, at 52-53.
Section 9(c) vests in the Court a broad discretion to conduct an analysis of the resources and needs of both parents and the children. It is important to keep in mind the objectives of the CSG, requiring a fair standard of support for the children and fair contribution from both parents. The analysis should be contextual and remain focused on the particular facts of each case. There are three factors to be considered under this subsection:
a. Actual spending patterns of the parents;
b. Ability of each parent to bear the increased costs of shared custody (which entails consideration of assets, liabilities, income levels and income disparities); and
c. Standard of living for the children in each household: Contino, supra, at 71-72.
The Court has discretion to assess the ability of each parent to assume any increased cost of shared custody by considering income levels, disparity in incomes and the assets and liabilities and net worth of each party.
The Court has full discretion under s.9(c) to consider “other circumstances” and order the payment of any amount, above or below the Table Amounts. This discretion, if properly exercised, should not result in hardship.”