Property proceedings
An exposure draft of the Family Law Amendment Bill (No. 2) (2023) (Cth) is currently before Parliament. The Bill introduces a series of reforms focused on ‘improving the law for parties with family law property disputes, and in particular to expressly recognise family violence as part of a property settlement.’
See further information in the consultation and exposure draft fact sheet
Where separated parties to a marriage or de facto relationship are unable to reach agreement as to the division of their property, they may apply under the Family Law Act 1975 (Cth) (FLA) and the Family Court Act 1997 (WA) (FCA) to have the matter determined by the Federal Circuit and Family Court of Australia or the Family Court of Western Australia or the Federal Circuit Court of Australia (collectively called here “the family courts”). State and territory courts have jurisdiction to hear defended property proceedings in limited circumstances. They may also, when making a protection order, impose conditions affecting parties’ property, which may in some cases be inconsistent with proposed property orders.
Recent changes under the Family Law Amendment Act 2024 (Cth) (‘2024 Amendment Act’) incorporate the duty of financial disclosure, which was previously outlined in the Family Court Rules, into the Family Law Act from 10 June 2025 (Section 71B; 90RI). The duty of disclosure applies to all financial and property disputes arising after separation and involves full and frank disclosure of all relevant information and documents to each other and the court (sections 71B(8); 90RI(8)) in a timely manner. The duty is ongoing for the duration of the dispute and in preparation for the dispute (Sections 71B(5), 90RI(5)). Failure to comply with the duty may result in sanctions (e.g., costs order), dismissal of all or parts of the proceedings, fines or imprisonment, and can be considered by the judge when determining the property settlement (Sections 71B; 90RI).
Section 79 FLA (property of marriage) and Section 90SM FLA and Section 205ZG FCA (property of de facto relationship) give the family courts broad discretion to make property orders having regard to a range of factors and the need to be satisfied that any order is just and equitable in all the circumstances. Retrospective factors include the respective past contributions of each party to, for example, the acquisition and maintenance of property, the financial support of the couple or family, and the welfare of the couple or family in the capacity of homemaker or parent. Prospective factors set out in Section 75(2) FLA include the age and state of health of each party, future earning capacity, parenting responsibilities and entitlement to superannuation. It is important to note that after a decision handed down in 2012 (Stanford v Stanford [2012] HCA 52), and now codified in sections 79AA(1), 79(2) and 90SM(2), the Court must determine whether it is just and equitable to make an order altering the legal and equitable interests of the parties under sections 79(2) and (3) FLA or 90SM(3) at the beginning of the matter. Although this will not impact the majority of cases in practice as this threshold question will – in most cases- be easily satisfied, in cases such as Stanford it played a pivotal role in how the property matter was determined.
The 2024 Amendment Act, came into force 10 June 2025, and Section 79 and 90SM FLA now specify domestic and family violence as a factor to be taken into account by the court when considering an appropriate property order. These changes codify the principles outlined in the 1997 decision of the Marriage of Kennon [1997] FamCA 27 and suggest that the impact of family violence could be relevant when assessing a party’s contributions to the property pool, and to the welfare of the family, as well as when assessing their current and future circumstances.
The arguably adopts a more expansive interpretation of how family violence should be recognised in property settlement proceedings compared to the approach outlined in Kennon. The Kennon principle is only be applied in exceptional cases, and requires an assessment on the balance of probabilities that the violence had a discernible impact on their capacity to contribute to the marriage, or to the arduousness of making such contributions. The Explanatory Memorandum to the 2024 Amendment Bill suggests that the aim of the legislative change is to rectify concerns about the need for parties to understand and apply the case law (and the requisite threshold) when seeking recognition of family violence in property proceedings, which may impact on victim-survivors ability to obtain a fair property settlement and can cause long-term economic disadvantage.
The 2024 Amendment Act extends the Kennon test by addressing the potential relevance of domestic and family violence as a prospective factor in the considerations for spousal maintenance (Section 75(2)). According to parliament “The effect of family violence might be relevant to assessing a party’s need for maintenance, if for example, they were forced to flee the former matrimonial home as a result of family violence, and are unable to afford the cost of alternative housing” (explanatory memorandum). Other major change arising from the 2024 Amendment Act include the incorporation of considerations relating to the appropriate housing needs of children under the age of 18 when making orders for spousal maintenance (section 75(2)) or alteration of property interests for married (section 79) or de facto (section 90SM) couples. This change “recognises that family separation can be an accelerator of housing instability, particularly in cases involving family violence, and the detrimental effects this can have for children” (explanatory memorandum).
Furthermore, the Court can now make orders about the ownership (no joint ownership, s 79(6)) of a “companion animal” owned by parties to the relationship (section 79), which involves consideration of the series of factors listed in section 79(7). Some of the relevant factors permit “…the family law courts to consider any family violence to which one party has subjected or exposed the other party” (section 79(7)(d)), as well as “any history of actual or threatened cruelty or abuse by a party towards the companion animal” (section 79(7)(e)). Parliament intended these changes to “acknowledge that animal abuse may be part of coercive and controlling conduct, particularly when a victim-survivor has a strong emotional connection to a pet or when the pet has a service or support role for the person” (explanatory memorandum).
Furthermore, the Family Law Amendment Act 2024 has expanded the definition of economic or financial abuse within s 4AB(2A) of the Family Law Act to incorporate types of dowry abuse, including:
(c) coercing a family member (including by use of threats, physical abuse or emotional or psychological abuse):
1.
to give or seek money, assets or other items as dowry; or
2.
to do or agree to things in connection with a practice of dowry;
(d) hiding or falsely denying things done or agreed to by the family member, including hiding or falsely denying the receipt of money, assets or other items, in connection with a practice of dowry
Where the parties have reached a property settlement by agreement, either before the commencement of or in the course of property settlement proceedings, and consent orders are filed with the court for approval, it may be appropriate for the judicial officer to inquire as to whether issues of domestic and family violence have been raised and whether consent has been properly given in order to be satisfied that the order is just and equitable in all the circumstances.
Australian research suggests that domestic and family violence may affect the share of property and other financial resources a victim receives in any post-separation property division with their violent former partner. For example, following the 2006 reforms to the Family Law Act 1975 (Cth), findings indicated that mothers who had experienced violence were receiving a reduced share of property. The potential underlying issues were identified as, first, mothers trading off property entitlements in order to secure more time with their children, and, second, fathers seeking shared time arrangements in order to obtain a larger proportion of property. A later study observed that a reported history of emotional abuse or physical harm may result in a victim feeling pressured or intimidated by the perpetrator/partner into receiving a lower share of the joint property division and being more likely to experience a sense of unfairness. It is important to note that there is no suggestion that the property settlement outcomes reported in these studies are reflected in the jurisprudential approaches of the family courts.
Last updated: August 2025
Property proceedings
An exposure draft of the Family Law Amendment Bill (No. 2) (2023) (Cth) is currently before Parliament. The Bill introduces a series of reforms focused on ‘improving the law for parties with family law property disputes, and in particular to expressly recognise family violence as part of a property settlement.’
See further information in the consultation and exposure draft fact sheet
Where separated parties to a marriage or de facto relationship are unable to reach agreement as to the division of their property, they may apply under the Family Law Act 1975 (Cth) (FLA) and the Family Court Act 1997 (WA) (FCA) to have the matter determined by the Federal Circuit and Family Court of Australia or the Family Court of Western Australia or the Federal Circuit Court of Australia (collectively called here “the family courts”). State and territory courts have jurisdiction to hear defended property proceedings in limited circumstances. They may also, when making a protection order, impose conditions affecting parties’ property, which may in some cases be inconsistent with proposed property orders.
Recent changes under the Family Law Amendment Act 2024 (Cth) (‘2024 Amendment Act’) incorporate the duty of financial disclosure, which was previously outlined in the Family Court Rules, into the Family Law Act from 10 June 2025 (Section 71B; 90RI). The duty of disclosure applies to all financial and property disputes arising after separation and involves full and frank disclosure of all relevant information and documents to each other and the court (sections 71B(8); 90RI(8)) in a timely manner. The duty is ongoing for the duration of the dispute and in preparation for the dispute (Sections 71B(5), 90RI(5)). Failure to comply with the duty may result in sanctions (e.g., costs order), dismissal of all or parts of the proceedings, fines or imprisonment, and can be considered by the judge when determining the property settlement (Sections 71B; 90RI).
Section 79 FLA (property of marriage) and Section 90SM FLA and Section 205ZG FCA (property of de facto relationship) give the family courts broad discretion to make property orders having regard to a range of factors and the need to be satisfied that any order is just and equitable in all the circumstances. Retrospective factors include the respective past contributions of each party to, for example, the acquisition and maintenance of property, the financial support of the couple or family, and the welfare of the couple or family in the capacity of homemaker or parent. Prospective factors set out in Section 75(2) FLA include the age and state of health of each party, future earning capacity, parenting responsibilities and entitlement to superannuation. It is important to note that after a decision handed down in 2012 (Stanford v Stanford [2012] HCA 52), and now codified in sections 79AA(1), 79(2) and 90SM(2), the Court must determine whether it is just and equitable to make an order altering the legal and equitable interests of the parties under sections 79(2) and (3) FLA or 90SM(3) at the beginning of the matter. Although this will not impact the majority of cases in practice as this threshold question will – in most cases- be easily satisfied, in cases such as Stanford it played a pivotal role in how the property matter was determined.
The 2024 Amendment Act, came into force 10 June 2025, and Section 79 and 90SM FLA now specify domestic and family violence as a factor to be taken into account by the court when considering an appropriate property order. These changes codify the principles outlined in the 1997 decision of the Marriage of Kennon [1997] FamCA 27 and suggest that the impact of family violence could be relevant when assessing a party’s contributions to the property pool, and to the welfare of the family, as well as when assessing their current and future circumstances.
The arguably adopts a more expansive interpretation of how family violence should be recognised in property settlement proceedings compared to the approach outlined in Kennon. The Kennon principle is only be applied in exceptional cases, and requires an assessment on the balance of probabilities that the violence had a discernible impact on their capacity to contribute to the marriage, or to the arduousness of making such contributions. The Explanatory Memorandum to the 2024 Amendment Bill suggests that the aim of the legislative change is to rectify concerns about the need for parties to understand and apply the case law (and the requisite threshold) when seeking recognition of family violence in property proceedings, which may impact on victim-survivors ability to obtain a fair property settlement and can cause long-term economic disadvantage.
The 2024 Amendment Act extends the Kennon test by addressing the potential relevance of domestic and family violence as a prospective factor in the considerations for spousal maintenance (Section 75(2)). According to parliament “The effect of family violence might be relevant to assessing a party’s need for maintenance, if for example, they were forced to flee the former matrimonial home as a result of family violence, and are unable to afford the cost of alternative housing” (explanatory memorandum). Other major change arising from the 2024 Amendment Act include the incorporation of considerations relating to the appropriate housing needs of children under the age of 18 when making orders for spousal maintenance (section 75(2)) or alteration of property interests for married (section 79) or de facto (section 90SM) couples. This change “recognises that family separation can be an accelerator of housing instability, particularly in cases involving family violence, and the detrimental effects this can have for children” (explanatory memorandum).
Furthermore, the Court can now make orders about the ownership (no joint ownership, s 79(6)) of a “companion animal” owned by parties to the relationship (section 79), which involves consideration of the series of factors listed in section 79(7). Some of the relevant factors permit “…the family law courts to consider any family violence to which one party has subjected or exposed the other party” (section 79(7)(d)), as well as “any history of actual or threatened cruelty or abuse by a party towards the companion animal” (section 79(7)(e)). Parliament intended these changes to “acknowledge that animal abuse may be part of coercive and controlling conduct, particularly when a victim-survivor has a strong emotional connection to a pet or when the pet has a service or support role for the person” (explanatory memorandum).
Furthermore, the Family Law Amendment Act 2024 has expanded the definition of economic or financial abuse within s 4AB(2A) of the Family Law Act to incorporate types of dowry abuse, including:
(c) coercing a family member (including by use of threats, physical abuse or emotional or psychological abuse):
1.
to give or seek money, assets or other items as dowry; or
2.
to do or agree to things in connection with a practice of dowry;
(d) hiding or falsely denying things done or agreed to by the family member, including hiding or falsely denying the receipt of money, assets or other items, in connection with a practice of dowry
Where the parties have reached a property settlement by agreement, either before the commencement of or in the course of property settlement proceedings, and consent orders are filed with the court for approval, it may be appropriate for the judicial officer to inquire as to whether issues of domestic and family violence have been raised and whether consent has been properly given in order to be satisfied that the order is just and equitable in all the circumstances.
Australian research suggests that domestic and family violence may affect the share of property and other financial resources a victim receives in any post-separation property division with their violent former partner. For example, following the 2006 reforms to the Family Law Act 1975 (Cth), findings indicated that mothers who had experienced violence were receiving a reduced share of property. The potential underlying issues were identified as, first, mothers trading off property entitlements in order to secure more time with their children, and, second, fathers seeking shared time arrangements in order to obtain a larger proportion of property. A later study observed that a reported history of emotional abuse or physical harm may result in a victim feeling pressured or intimidated by the perpetrator/partner into receiving a lower share of the joint property division and being more likely to experience a sense of unfairness. It is important to note that there is no suggestion that the property settlement outcomes reported in these studies are reflected in the jurisprudential approaches of the family courts.
Last updated: August 2025