If you are separating in 2026, the June 2025 family law property changes may affect how your property settlement is assessed, especially where family violence, debts, housing needs, or family pets are part of the picture.
What you’ll learn:
This guide explains what changed, why those changes still matter in 2026, and when it makes sense to get advice before you agree to a property outcome. If you are starting to sort out assets, debts, super, or the family home, this sits alongside Fair Path Legal’s property settlement guidance. (Federal Circuit Court)
- The June 2025 reforms still apply in 2026
- Family violence can now have clearer relevance in property matters
- Pets now have a more defined legal framework
- The court has a clearer path for assessing contributions, liabilities, and future needs
- Early advice matters more where there is uncertainty or pressure to settle quickly
Short answer
The June 2025 reforms changed how family law property matters are framed and assessed. They did not turn every matter upside down, but they did make some issues clearer and more visible in the law, especially the economic effect of family violence, financial abuse, liabilities, wastage, housing needs for children, and family pets. The changes apply to both married and de facto couples, and they can affect matters negotiated outside court as well as those already before the court, unless a final hearing had already started. (Federal Circuit Court)
What changed in June 2025
The key reforms started on 10 June 2025 under the Family Law Amendment Act 2024. They introduced a clearer property decision-making framework, moved the duty of financial disclosure into the Family Law Act, made the economic effect of family violence more clearly relevant, and created a specific framework for companion pets in property matters. (Federal Circuit Court)
A clearer framework for property settlement
The law now spells out the approach the court takes more clearly.
In broad terms, the court looks at:
- what property, debts, and financial interests exist
- what each person contributed before, during, and after the relationship
- each person’s current and future circumstances
- whether the final outcome is just and equitable overall
That matters because it gives separating couples a clearer structure for thinking about outcomes before they formalise an agreement or go further into a dispute. (Attorney-General’s Department)
Family violence is more clearly recognised
One of the biggest practical changes is that the economic effect of family violence can now be considered more directly in property matters where relevant.
This can matter where one person’s ability to earn, save, manage money, contribute to the relationship, or rebuild after separation has been affected by violence or controlling behaviour.
The law also makes clearer that economic or financial abuse can be family violence. That can include conduct such as controlling spending, denying financial autonomy, or other financially abusive behaviour. (Attorney-General’s Department)
New attention on liabilities, wastage, and housing needs
The reforms also make it easier to see that the court can consider issues such as:
- liabilities and the circumstances around them
- material wastage of property or financial resources
- the need to provide appropriate housing for a child under 18
These are not small details. In real matters, they can affect how fair an outcome looks once the court moves beyond a simple asset list. (Attorney-General’s Department)
Pets now have a specific framework
Family pets used to sit inside the broader property discussion without a dedicated structure.
From 10 June 2025, the court has a more specific framework for companion animals. It can consider issues such as:
- any history of actual or threatened abuse towards the pet
- the attachment of either party, or a child, to the pet
- who can care for the pet in the future
The court can make certain orders, including sole ownership, transfer, or sale. It cannot make orders for shared ownership or shared care of a companion animal. (Attorney-General’s Department)
Why these changes still matter in 2026
A lot of separating couples in 2026 are still dealing with matters that began after the reforms started, or matters that were already underway but had not reached final hearing.
That means these changes are not old news. They are part of the current legal landscape for many property settlement matters now. Existing final orders do not automatically change, but unresolved matters may be affected by the new framework. (Attorney-General’s Department)
They can change how people assess their position
Before agreeing to a settlement, people often ask:
- Is this outcome actually fair?
- Have all assets and debts been identified properly?
- Does the law take account of what happened in the relationship?
- What happens if one person controlled the finances?
- What if the pet is being used as leverage?
These reforms do not guarantee a particular result, but they can change how a lawyer assesses risk, leverage, and the likely fairness of a proposed outcome.
They matter even if you want to settle outside court
Most people do not want a courtroom fight.
That is exactly why the reforms matter. A clearer legal framework affects negotiations, advice, and settlement strategy well before a hearing. If you are trying to resolve matters by agreement, knowing how the law now looks can help you avoid settling on the wrong assumptions.
How the changes may affect property settlement in practice
If family violence affected finances or contributions
This may be relevant where one party:
- stopped the other from working
- controlled access to bank accounts
- created fear around spending
- forced debts or financial dependence
- damaged the other party’s earning capacity or stability
In these situations, the practical impact may now be easier to raise and explain within a property matter.
If there are complex debts or financial pressure
Liabilities are not just numbers on a spreadsheet.
How and why debts were incurred, who benefited, and what those debts mean for each person’s future can matter. This is especially important where there are business interests, tax issues, personal loans from family, or debts one party says should be carried by both.
If one person wasted assets
If there has been reckless or intentional wastage of property or financial resources, that may now be a more visible part of the analysis.
This can become relevant where money was spent irresponsibly after separation, assets were sold below value, or funds were dissipated in a way that affected the pool.
If children’s housing needs are a major issue
The reforms also sharpen the practical focus on housing needs for children under 18.
In some matters, that can influence how future needs are argued and how realistic settlement options are considered, especially where there is a family home issue and limited borrowing capacity.
If the pet is emotionally significant
Pets are often more than a simple asset.
Where there is real attachment, concern for the pet’s welfare, or controlling behaviour linked to the pet, this issue should not be brushed aside as minor. It now has a clearer place in the legal framework.
What this does not mean
These reforms do not mean:
- every property split will change dramatically
- family violence automatically decides the outcome
- pets are treated the same way as children
- old final orders are reopened just because the law changed
- disclosure has become optional or less important
The duty to give relevant financial information remains serious, and it is now written into the legislation more clearly. That duty continues through the life of the matter. (Attorney-General’s Department)
Common mistakes
Assuming the law only matters if you go to court
Even negotiated outcomes should be informed by the current law.
Treating the matter like a basic asset split
Property settlement is rarely just about who paid for what. Context matters.
Ignoring the impact of family violence on finances
If violence affects work, spending, savings, debt, or the ability to contribute, that may be legally relevant.
Rushing a deal before getting advice
A quick agreement can look attractive, but it may miss issues that matter under the current law.
Thinking pets will just be shared informally if things break down
The court’s powers are more limited than many people expect.
Quick checklist and next steps
You may want legal advice sooner rather than later if:
- you separated after 10 June 2025
- your property matter is still unresolved in 2026
- there are allegations of family violence or financial control
- there are complicated debts or missing financial information
- a pet is becoming a point of conflict
- you are being pushed to agree before you understand your position
A useful next step is to review your likely position under the current framework, then compare that against any proposed agreement. For many people, that is the difference between a fast settlement and a fair one.
If your separation also involves the end of a marriage, Fair Path Legal’s divorce page can help with that process, and you can also explore the firm’s broader legal services if there are related family law issues.
Moving forward with confidence
The June 2025 reforms matter because they make some key property settlement issues easier to identify, explain, and assess.
For separating couples in 2026, that means better questions to ask, better risks to look for, and a stronger reason not to assume the old way of looking at property matters is enough.
If you are unsure how these changes apply to your circumstances, it is worth getting advice before you agree to anything. You can also read more about Fair Path Legal’s approach to property settlement if you are comparing your options.
Book an assessment call
A quick first step to understand where you stand.
