Most people do not realise they have made a mistake in family law until it is too late.
The agreement has already been signed, assets have already been transferred, or positions have already been locked in.
By that point, the financial impact can be significant.
We are often asked questions like:
“What if my ex is hiding assets during property settlement?”
Or
“How is property divided in divorce in NSW?”
These questions usually arise when something does not feel right.
In many cases, the issue is not just the situation itself. It is the decisions made early in the process.
Understanding the most common mistakes can help you avoid unnecessary risk and protect your position from the outset.
One of the most serious mistakes we see is the assumption that assets can be concealed.
This may involve:
Under Australian family law, both parties are required to provide full and frank financial disclosure.
This obligation applies to:
Following the 2024 and 2025 updates to the Family Law Act, there is continued emphasis on transparency and accountability.
If assets are not disclosed:
Property settlement is based on the true asset pool, not what is disclosed selectively. Attempting to hide assets is not a strategy. It is a risk.
For a more detailed breakdown of how these situations are assessed and what steps can be taken, see our article on what happens if assets are not properly disclosed during property settlement.
Another common issue is misunderstanding how property settlement works.
There is no automatic 50/50 rule.
Instead, the court follows a structured process:
This includes:
For clients with:
This process can become more complex.
Without a clear understanding, people may agree to outcomes that do not reflect their true entitlement.
For a more detailed breakdown of how these situations are assessed and what steps can be taken, visit our property separation page here.
It is common for people to try to resolve matters quickly.
Often to:
However, early agreements made without advice can create long-term issues.
We often see:
Once formalised, these agreements can be difficult to revisit.
Taking time to understand your position is not delay. It is protection.
Delays are another common issue.
Time limits apply:
Delaying can:
Early action provides clarity and structure.
Separation is emotional. That is expected.
However, decisions driven purely by emotion can lead to:
A structured approach allows decisions to be made with clarity and strategy.
Many people reach agreement informally.
However, without formalisation:
Formal options include:
Finality with matters such as family law requires structure to be finalised.
We recently advised a client who suspected that their former partner had not fully disclosed financial information.
There were:
Initially, the client was unsure whether their concerns were valid.
They had also been presented with a proposed settlement.
We assisted by:
This process identified assets that had not been clearly disclosed.
The matter was resolved through a structured agreement that reflected a more accurate financial position.
The key issue was not the dispute itself. It was ensuring the process was followed properly.
Most mistakes are not intentional.
They happen because:
By the time advice is sought, the focus often shifts from planning to correcting.
Book your free complimentary 15 min call with our team today by clicking here now.
What happens if my ex is hiding assets during property settlement?
The court can require further disclosure, issue subpoenas and draw adverse inferences where information is incomplete.
How is property divided in divorce in NSW?
The court follows a structured process assessing contributions, future needs and whether the outcome is just and equitable.
Can property settlement be changed later?
In some cases, yes, particularly where non-disclosure is proven, but it can be complex.
Do I need legal advice before agreeing to a settlement?
Yes, to ensure your interests are protected and the agreement is properly structured.
Is hiding assets illegal in family law matters?
Failing to disclose assets can have serious legal consequences, including cost orders and adverse findings.
About The Author - Bron O'Loan
Bron O’Loan is an Accredited Specialist in Family Law and Principal Director of O’Loan Family Law in Sydney. Admitted to practise in 2015, she has over 12 years of exclusive family law experience advising on separation, parenting disputes and complex property settlements. Bron holds a Master of Applied Law (Family Law) and is admitted to the Supreme Court of NSW and the High Court of Australia, providing strategic, commercially aware advice tailored to each family’s circumstances. |
* This article is intended to provide general information about family law in Australia and reflects the law as at the date of publication, including recent amendments to the Family Law Act. It does not constitute legal advice and should not be relied upon as a substitute for obtaining advice specific to your circumstances.
Every family situation is different. If you are considering separation or have questions about your rights and responsibilities, you should seek independent legal advice tailored to your individual circumstances.
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