Extra Money for People Looking After Children of Relatives

Sarah has been taking care of her 3 year-old nephew, Paul, for the past 4 months. Paul’s mother, Mary, had to leave the country and Sara had expected that she would be back by now. But Mary’s plans have changed, and now she is not expected back for another year. Sara works full time and has been trying to make ends meet but with two children of her own to support, she can no longer afford to support her nephew without some financial help.

I tell Sarah that a relative who cares for a child residing in his or her home may be eligible to receive monthly Child in the Home of a Relative (“CIHR”) benefits from the welfare ministry a.k.a. the Ministry of Employment and Income Assistance (“MEIA”).

The criteria for these benefits are set out in section 6 of the Employment and Assistance Regulation (see http://www.eia.gov.bc.ca/PUBLICAT/VOL1/Part3/3-3.htm#6 ). The main criteria are:

(a) the child must reside with a relative,
(b) the child’s parent must have placed the child with the relative,
(c) the child’s parent must not reside with the relative,
(d) the relative and any other adults aged 18 and over in the relative’s household must authorize MEIA to conduct a criminal record check, and to review whether they have had prior contact with the Ministry of Children and Family Development (“MCFD”). They must also agree that MEIA can use this information to conduct a safety audit to determine if the relative’s home is a safe placement for the child;
(e) MEIA must decide, after a safety audit, that the relative’s home does not pose a level of risk to the child that would make it an inappropriate place for the child;
(f) there is no “kith and kin agreement” with the Ministry of Children and Family Development (in which case other funding may be available from that Ministry)


“But,” says Sarah, “I work full-time, and so does my husband. Isn’t MEIA the welfare ministry? How can I be eligible for welfare benefits?”

I explain that MEIA is indeed the ministry that administers welfare benefits in B.C., but a relative who is caring for a child in their home does not need to be financially eligible for welfare in order to receive CIHR benefits on behalf of the child. Furthermore, the care-giving relative’s household income and assets are not considered in determining whether they are eligible for CIHR benefits on behalf of the child.

“So how much is the benefit?” she asks. I tell Sarah that it depends on the age of the child. There is a chart of the different rates at http://www.eia.gov.bc.ca/mhr/cihr.htm. For a 3 year-old like Paul, the maximum is $257.46 per month. MEIA does expect a child’s parent(s) to contribute to the child’s care. However, if the parent(s) cannot or do not contribute, they do not pursue the parents for child support. If Mary contributes to Paul’s care, any amounts she gives Sara will be deducted from the CIHR benefit.

“What do I need to do to show MEIA that Mary placed him with me?” Sarah asks. Before Mary left B.C., she wrote a notarized letter giving Sara the authority to care for Paul until further notice, and also confirms that Paul’s father, Joseph, is deceased. Will this letter suffice?

I tell Sarah that the notarized letter may be good enough, but usually, MEIA wants the child’s parent to sign the CIHR application form, confirming that they want the relative to care for their child. However, in cases where the parent is not available to sign such a form, MEIA may be persuaded to accept a letter or other document which confirms that the parent wants the relative to care for the child. The care-giving relative does not have to have a court order for custody or guardianship.

“How do other benefits, like the child tax benefit, affect CIHR benefits?” Sarah asks. “Are they deducted from the CIHR benefit amount?”

I explain that the Child Tax Benefit, Universal Child Care benefit, and most other benefits paid on behalf of children are not deducted from CIHR benefits. A relative like Sarah who is caring for a child can get the Child Tax Benefit and Universal Child Care benefit, and she should apply for those as soon as possible. There are other benefits that some relatives caring for children may qualify for. For example, if the relative is caring for a child whose parent (or parents) have either passed away, or are receiving CPP disability benefits, then the child may be eligible for CPP benefits. There are CPP benefits for children of disabled CPP contributors, and CPP benefits for surviving children of deceased CPP contributors. CPP benefits are not deducted from CIHR benefits. I tell Sarah that the Legal Services Society (a.k.a. Legal Aid) has a family law website that includes a useful chart with more information about various benefits that may be available to some relatives who care for children. See: http://www.familylaw.lss.bc.ca/resources/fact_sheets/grandparents_benefits.asp

Finally, I advise Sarah if her application is refused, she can appeal MEIA’s decision. The first step in an appeal is to file a “Request for Reconsideration” of MEIA’s decision. That must be done within 20 business days of the day the relative was notified of MEIA’s decision. I tell Sarah that if she needs to pursue a Request for Reconsideration, she should call me again so I can discuss that process with her and offer some advice.

And with that I conclude the call.

For your further information, the legislation regarding CIHR benefits does not define what categories of “relative” may be eligible for those benefits. As MEIA has an obligation under the BC Human Rights Code not to discriminate against someone on the basis of their family status, the term “relative” should, in our view, be given a broad interpretation, and certainly includes blood relatives (siblings, cousins, aunts and uncles, etc) and relatives either through marriage or through common law relationships (e.g. step-parents, step-grandparents, step-auntie, etc).

Finally, people who receive income assistance themselves can also get CIHR benefits if they meet all the other criteria for CIHR benefits. The CIHR benefit is not considered to be part of the relative’s “income,” so it is not deducted or clawed back from the relative’s own income assistance cheque. Furthermore, where the child cared for is under the age of three, or the child has a physical or mental condition that precludes the relative from leaving home for the purpose of employment, the relative will not be required to look for work in order to continue getting his or her own income assistance cheque.

LAST UPDATE: ONTARIO DEMAND LETTERS

Still nothing.

It is nearly a year now, and the Ontario Law Society (“OLS”) has still not made a decision. In the meantime, at least one Ontario lawyer continues to crank out these letters.

The official line from the OLS is that they are still “investigating.” As the facts are perfectly clear and simple, this just boggles the mind.

Since this is our fourth entry on this topic, there will be no further updates regarding the OLS until, or should we say, unless, they reports that they have made a decision.

We have found our experience with the Ontario Law Society very disillusioning.

As they are unable or unwilling to handle complaints within a reasonable period of time, we are working on another option, and will let you know about that once it gets underway.

SHOPLIFTING AND SCARY NOTICES

From time to time we get calls from people who have been caught shoplifting. Generally, they’ve been caught red-handed by store security, and released a short time later after some paperwork.
More often than not the police did not attend the scene and were informed of the incident after the fact by store security.

Our callers often ask us about a ”Notice Prohibiting Entry” that store security has either gotten them to sign or else just given to them. This form tells the caller that he or she is banned from the store for a period of time (usually a year), and warns that if he or she breaches the ban, “you may be subject to arrest without warrant and charged with an offence and subject to a fine pursuant to the Trespass Act.”

Often store security also serves the person with a “Notice of Intended Legal Action,” which states that the store intends to seek compensation in civil court for various alleged expenses. The notice is followed up by mail with a demand letter. Sometimes this arrives after criminal proceedings have been completed, sometimes not. The letter essentially demands that the caller pay a specific sum of around $500 to compensate the store for “investigative and administrative costs.”

Since most people think of shoplifting as a criminal rather than civil matter, this all comes as a bit of a surprise. What’s the deal with these notices? Is shoplifting a criminal or civil matter?

Technically, it’s both, but these notices and demand letters need not cause undue concern.

As for the “Notice Prohibiting Entry,” the fact is that stores, while generally open to the public, are private spaces, and owners or their agents can indeed ban anyone they want (unless they do so for reasons that violate the B.C. Human Rights Code).
If you try to steal from their stores, they can ban you. The language of the notice, while technically true, is rather overblown. “Subject to arrest without warrant” means that if the person comes back, store security can stop the person again and remove them from the store. As for “you may be charged with an offence and liable to a fine,” the likelihood of this actually happening is practically zero. Such a charge would have to be approved by Crown Counsel, and we’ve never heard of such a case.

Nonetheless, stores are private places, and if you’re banned you should stay away for the stated time.

As for the “Notice of Intended Legal Action” and demand letters, these are rather misleading. Technically, the store can sue a would-be shoplifter, but the amount of money a court would order in the vast majority of cases is so low that it is almost never cost-effective to actually carry out a lawsuit. So in nearly all cases, if you just ignore these letters, nothing happens. It’s also very important to note that payment or non-payment of the amount demanded has no impact on whether or not Crown Counsel will lay a criminal charge, and no impact on what sort of sentence may be imposed. The civil side and the criminal side of the matter operate separately.

In short, don’t panic, but don’t do it again!

CHILD SUPPORT SHENANIGANS

I can hear the aggravation in her voice, tightening her throat. “How is it fair that I’m breaking my back to bring home the bacon and make a home for the kids and he can just sit around mooching off his new girlfriend?”

Thelma’s common law husband of nine years, Fred, walked out on her and their two school-aged children three months ago, saying he needed to “start over.” Apparently, starting over means moving in with another woman, Daphne, minding her Great Dane, and taking a correspondence course in interior design.

The family wasn’t rich. They rented a bungalow, where Thelma stills lives with the kids. Fred still lives in town, so access doesn’t hasn’t been a problem. But every time she’s tried to raise financial issues, he shuts down, mumbling something about their savings. In fact there are just two RRSP’s with just a couple thousand dollars each. Worse still, he’s gone from full time to part time hours in his taxi-driving job because he’s feels stressed out, and needs more time to devote to his studies

Thelma quickly came to the conclusion that she wasn’t getting anywhere with him, so she started an application for child support in provincial court. Using legal aid’s “Family Law in B.C.” and our handy self- help guides (See: http://www.familylaw.lss.bc.ca/guides), she’s already taken care of filing and service already, and the registry has set a first appearance date for later this month.

What she wants from us is some information on how to argue her case. Surely child support shouldn’t be based on his new level of income?

Indeed not.

The starting point in nearly all child support cases are the tables to the Child Support Guidelines (available at http://canada.justice.gc.ca/en/ps/sup/index.html) The tables specify an amount according to the number of children and the gross annual income of the paying parent. For example, Fred’s gross income for last year was $41,902. According to the table, he’s liable to pay $638 total per month for both kids.

Although Fred will likely argue that he should pay less now that he’s earning less, he is almost certain to fail. The guidelines clearly state that a judge may “impute” income to a parent who is intentionally under-employed or unemployed. In other words, a parent who chooses not to earn money to his or her full potential can simply be deemed to be earning his or her full potential, and the child support payable calculated accordingly.

A judge won’t always impute income to an under-earning parent. For example, a parent may need to reduce employment for genuine health or educational reasons. Those reasons, however, have to be reasonable in the circumstances.

In the case of Thelma and Fred, it seems extremely unlikely that a judge would consider Fred’s voluntary reduction in hours to be reasonable. Simply feeling stressed out, short of a diagnosed psychiatric condition, will not likely convince a judge that reduced hours are legitimate health need. Likewise, his sudden desire to pursue new long-term career objectives, while it may be authentic, does not by itself provide a good reason to reduce his immediate financial responsibilities to his children.

I tell Thelma that she has a strong case to argue that child support should be calculated on the basis of Fred’s full time income, and encourage her to proceed on that basis.

FALL UPDATE: ONTARIO DEMAND LETTERS (HURRY UP AND WAIT)

As promised, we followed up with the Ontario Law Society about this matter earlier this month. They say they are still investigating. It has now been seven months....

We will continue to follow up with them periodically, and will let you know once there’s any change.

In the meantime, these Ontario lawyers continue to crank out these letters. For more information about how to deal with them, see our previous post at: www.bc-lawline.blogspot.com/2007/04/consumer-alert-demand-letters.html). Anyone receiving such a letter can contact us at (604) 408-2172 or 1-866-577-2525.

Have Your Been Injured in a Accident that was not Your Fault?

While our primary role at LawLINE is giving legal advice, sometimes it’s more appropriate to give legal information or refer people to other services that are more suited to their needs.

For example, from time to time we get calls from people who have recently been in a motor vehicle or some other type of accident.

We can certainly tell them that the general law in British Columbia is that if you are injured in an accident due to the fault of another person, you can claim compensation for damages you have suffered as a result. Damages can include loss of wages, out of pocket expenses for medication, and compensation for pain and suffering. This is the essence of the law of negligence.

Apart from this, we feel it’s more appropriate to refer these people to the private bar. There are plenty of lawyers out there who do personal injury work. Practically all of them will give a free first meeting to prospective clients.

Also, personal injury lawyers usually work on contingency. That means that the lawyer’s fees are calculated as a percentage of the settlement or award. If the client’s claim does not succeed, the lawyer charges no fee. (However, the client will still usually be responsible for the lawyer’s expenses, such as court filing fees, postage, etc.)

Contingency fees are usually staggered so that if the case settles early, the percentage will be less than if the matter has to go through a trial. The maximum percentage is 33 1/3% for a motor vehicle related case, and 40% for personal injury and wrongful death cases not relating to motor vehicles. The market is somewhat competitive, so it may be a good idea to shop around before making a decision.

For more information about lawyers fees, check out this page from the B.C. Law Society’s website:

http://www.lawsociety.bc.ca/public/lawyers_fees/types_fees.html.

To find a personal injury lawyer, ask family or friends, or consult the yellow pages.

UPDATE: ONTARIO DEMAND LETTERS

Back in April, we posted an item about some Ontario lawyers who are sending demand letters threatening Ontario legal proceedings in consumer disputes that have no Ontario connection. (See www.bc-lawline.blogspot.com/2007/04/consumer-alert-demand-letters.html).

In our view, these letters were inappropriate and raised serious ethical concerns, so we filed a formal complaint with the Law Society of Ontario (or Law Society of Upper Canada as they are officially known).

In our original post on this topic, we noted Society had promised to get back to us by mid June. In fact, we have contacted them several times in June and July by phone, and they now say they will not have a report before the Fall.

No doubt the people working in the complaints department are hard-working, competent people, but if this is the best they can do, they must be ridiculously understaffed.

We’ll follow up in September, and let you know. In the meantime, anyone receiving such a letter can contact us at (604) 408-2172 or 1-866-577-2525.