Author: Laura Summerville, Legal Practice Director

The Family Law Amendment Act 2024 (“the Act”) passed on 10 December 2024 and with it introduced significant reforms to financial matters in family law proceedings. The reforms come into effect on the 10 June 2025 and will reflect a broader effort to enhance fairness and protect vulnerable parties in financial disputes including an expanded definition of “Family Violence”.

 

Some of the key reforms of note are: 

1. Economic Impact of Family Violence

Courts must now consider the economic effects of family violence when determining property settlements. This is referred to as financial abuse. It includes controlling a partners’ finances or restricting their financial autonomy. Dowry abuse is explicitly recognised as a form of family violence.

2. New Framework for Property Settlements

The reforms will bring a structured and codified approach for Courts to follow when assessing property division, considering contributions,
future needs and fairness.

Sections 79(4)(c) and 90SM(4)(c) of the Act will be amended to consider the effect of family violence on a party in respect to contributions. Courts will now be required to assess how financial control, or coercion has impacted a party’s ability to contribute financially or non-financially to the relationship.

The duties of financial disclosure between parties in financial matters have been elevated from the court rules into the Act to improve transparency and compliance.

3. Spousal Maintenance Considerations

Family violence is now a factor to be considered in spousal maintenance decisions, recognising that abuse can limit a person’s ability to earn or manage finances. 

Courts will assess the long-term financial impact of domestic violence on a party’s future circumstances. 

4. Treatment of Companion Animals

The Act introduces a new legal definition for companion animals, separating them from other property considerations in settlements. The reforms recognise the emotional and significant of pets in separation proceedings.

Instead of treating pets as assets to be divided, courts will assess who has provided primary care and who can best meet the animal’s welfare needs.

Other factors the court will have regard to are:

1. How the animal was acquired;
2. Who has ownership or possession of the animal;
3. Family violence;
4. Historical of actual or threatened abuse towards the animal;
5. Any attachment of the party of children to the animal;
6. The ability of each party to care for the animal; and
7. And any other factor  the Court considers relevant.

This aligns with a broader shift toward non-adversarial resolutions in family law.

The Act acknowledges that companion animals can be used as a form of coercive control in abuse relationships. Courts may issue Orders to protect pets from harm or neglect.

5. Less Adversarial Approach

Courts now have discretion to adopt a less adversarial approach in financial matters, particularly where family violence is involved.

This aims to streamline proceedings and reduce conflict where there is family violence present.

Final Thoughts

The Act expands the definition of “Family Violence” and provides examples of behaviour that might constitute economic of financial abuse, including;

a. Denying the family member financial autonomy;

b. Unreasonably withholding financial support;

c. Coercing a family member to give or seek money or do things in connection with a practice of dowry;

d. Hiding or denying things done or agreed to by the family member in connection with a practice of dowry; and

The reforms will apply to new and existing cases, except where a final hearing has already commenced.

These reforms reflect a stronger legal framework for addressing financial abuse and coercive control in family law disputes. The reforms aim to simplify financial division, improve fairness and strengthen protections for vulnerable parties in family law disputes.

Elysian Law can help clients understand economic abuse provisions of the Act and understand what acts can amount of economic or financial abuse
and the evidence that will be required.

We can guide you through the new structured framework and advocate for a fair settlement, particularly where family violence has impacted
financial contributions.

Contact Elysian Law team for confidential consultation and discuss our fixed fees.