In June 2025, major changes to Australia’s Family Law system will come into effect, impacting property settlements during divorce and separation proceedings. The Amendment Act inserts family violence into the list of factors that the Court can consider when assessing contributions. These reforms are particularly significant for individuals who have experienced family violence, as they will now be factored into the division of property and finances.

If you’re navigating a separation, it’s essential to understand what these changes mean for you and how they could influence your property settlement outcome. Here’s everything you need to know about the upcoming Family Law reforms in Australia.

Key Changes to Family Law in June 2025

The most significant change to Family Law in June 2025 is the inclusion of family violence in property settlements. Under the new reforms, the economic impact of family violence will be taken into account when dividing property and finances between separating couples.
This change is designed to address the financial harm caused by family violence. If one partner has experienced abuse, whether physical, emotional, psychological, or financial, the law will consider how this has impacted their ability to accumulate wealth or maintain financial stability. As a result, victims may be entitled to a larger share of the property settlement to reflect the long-term consequences of abuse.

Why These Changes Are Crucial for Victims of Family Violence

Family violence can have devastating financial effects. Victims may face barriers to employment, have been financially controlled or isolated, or even deprived of access to assets and resources. These new changes to the law will ensure that the financial repercussions of abuse are properly acknowledged, leading to fairer property settlements for those impacted by family violence.
These reforms represent a critical step forward in recognising and addressing the financial impact of family violence in the context of separation and divorce. The new law aims to ensure that victims of abuse are not disadvantaged when dividing marital property, helping them rebuild their financial future after an abusive relationship.

How the Changes Will Impact Property Settlements

Under the new Family Law changes, courts will now take into consideration the economic impact of family violence during property settlement negotiations. The Amendment Act includes a list of factors that the Court will consider when assessing the circumstances of the parties, both current and future, with the addition of the following factors now available for consideration:

• Family violence: Where a party was subjected or exposed to family violence, this factor permits the court to consider the economic effect of any family violence that a party was subjected or exposed to, on their current and future circumstances. This allows for a broader consideration of family violence than previously provided in case law.
• Wastage: Where a party intentionally or recklessly caused any material wastage of property or financial resources, this factor permits the court to consider the effect of that wastage in assessing the parties’ current and future circumstances.
• Liabilities: Where the parties incurred any liabilities, this factor permits the court to consider the nature of the liabilities, the circumstances relating to them and the impact of those liabilities on the financial future of the parties.
• Housing needs: This expands an existing factor regarding the care of a child under 18, allowing the court to consider the need of either party to provide appropriate housing for such a child.

This means that family violence victims may receive a more favourable financial outcome, as the court will ensure that the abuse is considered during property division.

What You Need to Do

If you’re going through a divorce or separation, it’s essential to understand how these changes to Family Law may impact your case. If you have experienced any form of family violence, be sure to discuss it with your family lawyer, who can help ensure that the economic effects of the abuse are considered during property settlement negotiations.
It’s also important to gather any evidence of the abuse, such as financial records, text messages, or witness statements. This documentation can play a crucial role in demonstrating the impact of the abuse on your financial wellbeing.

How South Coast Family Law Group Can Help

Navigating the complexities of family law, particularly when family violence is involved, can be overwhelming. The team at South Coast Family Law Group is here to assist. Our experienced family lawyers understand the nuances of these upcoming legal changes and are committed to helping you achieve a fair and just outcome in your property settlement.
If you’re facing separation or divorce, especially if family violence is a factor, contact us for expert advice and personalised legal support. Our team will guide you through the legal process and ensure that your rights and interests are protected.

The Family Law reforms coming into effect in June 2025 represent an important shift in how Australia’s legal system addresses family violence during divorce and separation. By considering the economic impact of family violence in property settlements, the law aims to ensure fairer outcomes for victims.

If you’re going through a separation, it’s crucial to understand how these changes could affect your property settlement. Speak with a family lawyer at South Coast Family Law Group to ensure that your situation is fully considered and your financial rights are protected.

For more information on the upcoming changes to Family Law, stay updated and reach out to our team for expert advice and support by calling on (02) 4202 6644 or email us at admin@scflg.com.au.