When a relationship ends, dividing the family home, savings, superannuation and other assets can be complicated enough. But what happens when one person’s financial position has been shaped by family violence or economic abuse?
In Australia, this is no longer an issue that sits quietly in the background of property settlement proceedings. Since 10 June 2025, changes to the Family Law Act 1975 have made it clear that the economic effect of family violence can be relevant when courts determine property and financial matters. Economic or financial abuse is also expressly recognised within the statutory definition of family violence.
For separating couples, this change can have important practical consequences.
What Counts as Economic Abuse?
Economic abuse is not limited to simply refusing to provide money. Under the current family law framework, family violence can include conduct that unreasonably denies a family member financial autonomy or unreasonably withholds financial support needed for reasonable living expenses.
In everyday situations, this could involve controlling access to bank accounts, restricting a partner’s ability to work, withholding money, controlling household finances or creating financial dependence.
The important point is that financial control can form part of a broader pattern of coercive and controlling behaviour.
How Can Family Violence Affect Property Settlement?
Property settlement in Australia is not simply a matter of dividing assets down the middle. The court considers the parties’ financial and non-financial contributions, their current and future circumstances and other relevant matters before determining what is just and equitable.
The 2025 amendments specifically require the court to consider the economic effect of family violence on a party’s contributions where relevant.
This means the impact of family violence can become part of the property settlement analysis itself, rather than being treated solely as a separate parenting or protection issue.
Looking at the Economic Consequences
The practical question is often: How did the violence affect the person’s financial position?
For example, family violence may have made it difficult for one party to maintain employment, pursue career opportunities, manage finances or contribute financially to the household in the same way they otherwise could have.
There may also be situations where financial control prevented a person from building savings, accessing funds or making independent financial decisions.
The court is concerned with the evidence and the actual economic consequences rather than simply applying a fixed percentage adjustment.
Evidence Matters
If family violence or economic abuse is relied upon in property proceedings, evidence becomes particularly important.
Relevant material may include financial records, bank statements, employment records, messages, emails, medical or professional records, family violence orders and other documents that help establish the conduct and its financial impact.
The Federal Circuit and Family Court of Australia has also updated its forms and procedures to allow parties to provide information about the effect of family violence on their contributions in financial or property proceedings.
This makes it important to raise relevant issues properly and provide supporting evidence where available.
Does Family Violence Automatically Mean a Larger Property Share?
No. There is no automatic rule that family violence results in a particular percentage of the property pool being awarded to the affected party.
The court still considers the circumstances of the individual case and must be satisfied that a proposed property order is just and equitable. The Family Law Act provides the framework for considering contributions and the parties’ current and future circumstances.
The significance of family violence will therefore depend on its nature, duration, impact and connection to the financial and other circumstances of the parties.
Economic Abuse Can Be Relevant Beyond the Property Pool
Economic abuse can also complicate the financial picture in less obvious ways.
For example, one party may have accumulated debt, lost access to financial resources or been prevented from making independent financial decisions because of the other party’s conduct.
These circumstances may need to be examined alongside the broader asset and liability pool. The court’s task is to consider the evidence and determine the appropriate orders based on the statutory framework.
What This Means for Separating Couples
The changes reinforce an important practical point: family violence should not be viewed only through the lens of physical harm.
Financial control and economic abuse can have lasting consequences after separation. Someone may leave a relationship with fewer financial resources, disrupted employment, reduced earning capacity or significant financial disadvantage caused by the relationship dynamics.
If those circumstances are relevant to a property settlement, they should be identified early and considered as part of the overall case strategy.
How Australian Courts Are Applying Family Violence in Property Settlements
- Assessing Financial Impact: Courts consider how family violence affected a person’s ability to work, earn income, manage finances or build assets.
- Examining Economic Abuse: Financial control, restricted access to money and unreasonable withholding of financial support may be relevant to the property settlement.
- Considering Contributions: Courts may consider how family violence affected a party’s direct financial and non-financial contributions during the relationship.
- Reviewing Supporting Evidence: Bank records, employment documents, messages, financial records and relevant family violence orders may help establish the impact.
- Looking Beyond Physical Violence: The assessment can extend to economic and financial abuse where the conduct has affected a party’s financial circumstances.
- Applying the Law to Individual Circumstances: There is no automatic percentage adjustment. Courts assess the nature, duration and economic consequences of family violence in each case.
- Considering Future Circumstances: The court may also consider how the effects of family violence have influenced a party’s current financial position and future needs.
Getting Legal Advice About Property Settlement
Family law property disputes involving family violence or economic abuse can be particularly sensitive. They may involve significant assets, financial records and allegations that require careful preparation and presentation.
A family lawyer can help identify the relevant issues, assess the available evidence and explain how the current property settlement framework may apply to the circumstances of the relationship.
Most importantly, you do not need to navigate the financial consequences of an abusive relationship without understanding your legal options.
Discuss Your Family Law Matter With Dot Legal
Every relationship breakdown has its own financial history and circumstances. If family violence or economic abuse has affected your financial position, Dot Legal can help you understand how these issues may be relevant to your property settlement and what steps may be available.
A confidential discussion can be a useful starting point for understanding your position and considering the way forward.
