Key Changes to the Family Law Act 2025
The Federal Government has passed laws to amend the Family Law Act 1975 (Cth) (‘FLA’). The purpose of the amendments is to create a safer and more streamlined system for separating couples.
Importantly, if you already have financial or property orders in place, you should continue to follow those Court orders. However, these changes will apply to all new and existing proceedings. The amendments can be categorised into two groups:
First Group (taken effect from 11 December 2024) –
Commonwealth Information Orders
There have been changes to the Commonwealth Information Orders framework. This is where the location of a child is unknown, and the Court orders a one-off search or periodic searches for information relating to that child. This can be no more than once every three months and for no further back than two years, unless otherwise ordered by the Court. The changes also define persons related to a child to include anyone biologically related and anyone who has a connection with the child, for the purposes of any information a government department may have in regard to actual or threatened family violence.
Jurisdiction
The amendments seek to remove any uncertainty around the jurisdiction of state or territory courts when exercising family law jurisdiction. This change embeds the policy intent and helps with streamlining the family law process.
Low Rate Cap and Separation Declarations
The amendments have removed the low rate cap amount for superannuation balances. It also removes the requirement for separating couples to make a separation declaration for superannuation splits. Instead, the parties only need to state that they were married, or in a de facto relationship, but are separated at the time of making the declaration.
Second Group (effective from 10 June 2025) –
Property
The amendments will require the Court to consider the effect of material wastage by a party when determining property settlements, codifying important case law on the topic. This is where a person intentionally or recklessly lessens the assets that would otherwise be available for distribution between the parties.
They will also adapt the existing framework for less adversarial trials (‘LATs’) so that they extend to certain property or other non-child related proceedings. LATs are less formal, allowing the Court to take an active role in managing the proceedings.
Disclosure Obligations
The duty of disclosure is already reflected in the Family Law Rules. However, these amendments seek to codify these disclosure obligations. This simply means that each party will be required, under the FLA, to provide full and frank disclosure of their financial circumstances. The aim of this amendment is to encourage separating couples to use alternative dispute resolution methods, which are often more timely and cost effective.
Divorce
The changes will allow the Court to determine divorces, regardless of whether there are children under the age of 18 years old, without the need for an appearance. This reduces the burden on separating couples to attend the hearing, whilst still ensuring the best interests of the children are upheld.
Cost Orders
The amendments alter the cost provisions within the FLA. It provides more certainty around the Court’s power in making cost orders (in other words, where one party is ordered to pay the legal costs of another). Furthermore, it clarifies the circumstances in which the Court may order party to contribute to the cost of an Independent Children’s Lawyer.
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