Cohabiting? You should be aware of this proposed legislation
Many people believe that cohabiting partners have the same legal rights as married couples – but that is not the case. At present, there is no dedicated legislation regulating financial matters between cohabitants.
This article provides a brief overview of the current legal framework – and the proposal for a new Cohabitation Act.
What is the current legal position?
Main rule upon relationship breakdown: Each cohabitant retains ownership of their own assets and remains responsible for their own debts. Cohabitants do not have an automatic right to share assets acquired during the relationship – unlike spouses.
However, certain laws and case law provide limited protection:
- Ownership shares and compensation: If a cohabitant has contributed financially or otherwise to property owned by the other, they may be entitled to an ownership interest in that property. A cohabitant may also have a right to compensation if they have conferred a financial benefit on the other party during the relationship.
- The Household Community Act (husstandsfellesskapsloven): In certain circumstances, this law allows a cohabitant to take over the shared home and its contents at market value, or to be granted usage rights.
Proposed new Cohabitation Act
On 23 May 2025, the Cohabitation Law Committee submitted a proposal for a dedicated act regulating the financial aspects of cohabitation. The aim is to provide more predictable and equitable financial arrangements – both during the relationship and upon its dissolution.
Who would be covered by the proposed Act?
- Cohabitants who have, have had, or are expecting a child together, or
- Cohabitants who have lived together for at least three years, or
- Cohabitants who have agreed that the Act shall apply to them
Key proposals in the new Act
Here are some of the most important changes proposed:
- Joint ownership (co-ownership): A presumption that cohabitants jointly own housing and movable property that has been acquired for joint use, and with an equal ownership interest – unless otherwise provided by law, agreement, or specific circumstances.
- Division upon dissolution: Cohabitants who have, have had, or are expecting children together would have the right to demand division of property acquired for shared personal use – such as homes, holiday cottages, cars, and boats.
- Exemptions from division: Certain assets and rights are excluded from the division of jointly acquired property, for example: 1. property each cohabitant brought into the relationship, 2. inheritances and gifts from third parties, 3. financial assets such as bank deposits and shares, 4. assets and rights mainly linked to one partner’s business activities
- Compensation claims: An extended right to financial compensation if one party has suffered financial disadvantage during the relationship.
- New duties: The proposal includes mutual maintenance obligations, financial transparency between partners, and restrictions on the right to dispose of the shared home.
- Public division of assets: In the event of disagreement, cohabitants may request that the division be handled by the court.
What does this proposal mean for you as a cohabitant?
If the Act is adopted, parts of it would apply retroactively to cohabitants who moved in together before the Act enters into force. The rules concerning cohabitation agreements would apply immediately.
Other provisions – such as the presumption of co-ownership and division of assets – would take effect one year later, unless the parties agree to opt out.
Yes. The Act allows cohabitants to agree:
- Whether the Act shall apply to them or not
- Whether the division rules in Chapter 4 shall apply, even if they have not had or are not expecting children
- Whether specific assets or rights are to be considered jointly acquired for personal use
Note: The agreement must be in writing and signed in the presence of two witnesses – the same formal requirements as for prenuptial agreements.
It may be wise to review whether the agreement needs to be revised – or re-signed with witnesses – in order to meet the formal requirements.
It remains uncertain whether – or when – the proposal will become law. The content may also be amended. Still, it is wise to be prepared.
We recommend that cohabitants:
- Familiarise themselves with both the current rules and the new proposal
- Consider making a written cohabitation agreement – preferably in accordance with the proposed formal requirements
- Consult a solicitor to help ensure a balanced and tailored agreement
Can you opt out of the legislation?
Note: The agreement must be in writing and signed in the presence of two witnesses – the same formal requirements as for prenuptial agreements.
What should you do now?
Read more: Brækhus’ family law and inheritance expertise
Need assistance? Contact us today
Do you have questions about what applies to you and your partner? We are happy to help tailor an agreement that provides security and predictability – both now and in the future.
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