The Family Law Act 1975 NSW governs how Australian families navigate separation, divorce, and parenting disputes. This federal legislation applies across all states, including New South Wales, setting the legal framework for property settlements and child custody arrangements.
We at Jameson Law see families grappling with these complex legal requirements daily. Understanding your rights and obligations under this Act can make the difference between a smooth resolution and costly court battles.
What Does the Family Law Act Actually Cover?
The Family Law Act 1975 operates as federal legislation across Australia through the Federal Circuit and Family Court of Australia (FCFCOA) system. This Act handles three main areas: marriage dissolution, property division, and parenting arrangements. Unlike state-based laws, this federal framework applies identical legal principles whether you separate in Sydney or Perth.

The Act introduced Australia’s no-fault divorce system, which requires only 12 months of separation rather than proof of wrongdoing. Courts process approximately 47,000 divorce applications annually, with most cases now resolved through alternative dispute resolution.
NSW Court System Integration
NSW residents access family law services through the Federal Circuit and Family Court. This federal system handles complex property disputes and all parenting matters. The Act mandates Family Dispute Resolution (FDR) before court applications, which has significantly reduced parenting order filings.
Legal Aid NSW provides support for qualifying applicants, though most property settlements require private legal representation. The federal system becomes particularly important when matters involve substantial assets or interstate complications.
Major 2024 Legislative Changes
The Family Law Amendment Act 2023 (effective May 2024) introduced significant changes. Courts must now consider economic abuse as family violence when they divide property. The Act removes the presumption of equal shared parental responsibility and prioritises child safety over parental rights.
New disclosure obligations require complete financial transparency from case commencement. These amendments reflect recognition that family violence extends beyond physical harm.
Property and Asset Coverage
The Act covers all forms of property acquired before, during, and after relationships. This includes real estate, business interests, and superannuation funds. Courts can make orders about companion animals, though they cannot order joint ownership of family pets.
Financial agreements (like Binding Financial Agreements) allow couples to determine asset division. These agreements require independent legal advice to become enforceable.
How Are Assets Actually Divided in Property Settlements?
Property settlement under the Family Law Act follows a strict four-step process that courts apply to achieve just and equitable outcomes.

The Four-Step Assessment Process
Courts evaluate financial contributions (income, inheritance) alongside non-financial contributions such as homemaking. “Future needs” assessment considers age, health, and earning capacity. The Australian Bureau of Statistics shows that many children live in single-parent families, making future needs calculations significant for primary caregivers.
Courts then determine if the proposed division produces a just and equitable result. This systematic approach prevents arbitrary decisions.
Superannuation Division Rules
Superannuation splitting is available, with courts treating superannuation as property. The recipient party establishes their own account through this process. Financial agreements can also address superannuation division.
Economic Abuse Recognition
The amendments now recognise economic abuse as family violence. This includes situations where one party controlled finances or accumulated debt in the other party’s name. Courts can now adjust property settlements to account for financial abuse patterns.
How Do Courts Decide Child Custody?
Child custody decisions under the Family Law Act prioritise safety. Courts examine factors such as child safety, meaningful relationships, and the child’s views. Most separated parents do not go to court to decide their parenting arrangements.

Safety Takes Priority Over Parental Rights
The 2024 amendments removed the presumption of equal shared parental responsibility. Courts will make parenting orders in the best interests of the child, assessing safety risks. This change recognises that relationships should never compromise child safety.
Parenting Plans Versus Court Orders
Parenting plans represent voluntary agreements but lack legal enforceability. Consent Orders provide binding legal frameworks. Parents must attempt family dispute resolution before seeking court orders unless an exemption applies.
Final Thoughts
The Family Law Act 1975 NSW provides comprehensive frameworks for property settlements, parenting arrangements, and divorce proceedings. Recent amendments prioritise child safety and recognise economic abuse.
Professional legal assistance becomes essential when substantial assets are involved or family violence allegations arise. We at Jameson Law provide expert family law services across NSW. Contact us today to discuss your family law matter with qualified professionals.