Financial Abuse, Non-Disclosure and Property Settlements: Lessons from Pryor & Pryor (2026)
Can financial abuse affect your property settlement? What happens when your former partner refuses to disclose their financial circumstances?
The recent decision of Pryor & Pryor (No 2) [2026] FedCFamC1F 77 highlights the significance of the family law reforms introduced on 10 June 2025, particularly the express consideration of family violence in property settlements.
The Federal Circuit and Family Court of Australia awarded the wife 77.5% of the known net property pool, having considered the parties’ contributions, the husband’s coercive financial control, inadequate financial disclosure and their respective future circumstances.
The key lesson
Property settlements are not automatically divided equally. Financial abuse and non-disclosure may affect the outcome, but there is no automatic percentage adjustment for family violence.
What happened?
The parties married in 2005 and separated in 2022. The husband was the primary income earner and controlled several businesses, while the wife was primarily responsible for homemaking and caring for their two children.
The Court accepted evidence that the husband exercised coercive financial control, including requiring the wife to request money for personal expenditure and restricting access to funds needed for essential household expenses.
The husband also failed to provide adequate financial disclosure, including taxation records, company financial statements and explanations for substantial financial transactions.
1. Financial abuse and the new family law reforms
The amendments to the Family Law Act 1975 (Cth), commencing on 10 June 2025, expressly require the Court to consider the effects of family violence, where relevant, when assessing contributions and the parties’ current and future circumstances.
Family violence is not limited to physical abuse. It can include economic or financial abuse, coercive control and behaviour restricting a person’s financial independence.
In Pryor, the Court accepted the wife’s evidence that the husband exercised restrictive control over household finances, including requiring her to ask for money and blocking access to a credit card used for essential expenses.
The decision illustrates how financial abuse may be relevant to property settlement entitlements, particularly where it affects a person’s ability to make financial or non-financial contributions.
What does this mean for you?
If your former partner controlled your access to money, restricted your financial independence or used finances to exert control, the effects of that conduct may be relevant to your property settlement.
2. The Court’s 77.5% property division
The Court assessed the parties’ contributions at 57.5% in favour of the wife, having considered their respective contributions and the evidence concerning family violence.
A further 20 percentage point adjustment was made after considering the parties’ current and future circumstances, including their respective earning capacities, the wife’s ongoing care responsibilities and the husband’s inadequate financial disclosure.
The resulting division of the known net property pool was:
- Wife: 77.5%
- Husband: 22.5%
The wife received the remaining proceeds from the sale of the former matrimonial home and a $200,000 superannuation split from the husband’s superannuation interest.
The decision demonstrates that property settlements are not automatically divided equally and that family violence, financial circumstances and contributions can materially influence the outcome.
There is no automatic percentage adjustment for family violence. Its effects must be assessed against the particular evidence and circumstances of each case.
3. Financial non-disclosure and its consequences
Another significant issue was the husband’s failure to provide full and frank financial disclosure.
Despite controlling several businesses, he failed to produce reliable financial records. His reported annual income also declined from approximately $68,000 in 2023 to approximately $3,000 in 2025, without a satisfactory explanation.
The Court emphasised that financial disclosure requires more than simply providing bank statements. Significant unexplained deposits and withdrawals may also require explanations.
Where inadequate disclosure prevents the true financial position from being established, the Court may take a less cautious approach to allocating known property in favour of the other party.
This is particularly relevant where a former partner controls businesses, companies or trusts, or where there are concerns about undisclosed assets or understated income.
4. A further $35,000 legal costs order
The financial consequences did not end with the property settlement.
In Pryor & Pryor (No 3) [2026] FedCFamC1F 240, the Court ordered the husband to pay $35,000 towards the wife’s legal costs, in addition to an earlier costs order.
The Court considered his inadequate financial disclosure and failure to accept a settlement offer that would have been more favourable to him than the judgment. An earlier costs order relating to the adjourned trial was preserved and was not counted again in deciding the further order.
The decision reinforces that financial non-disclosure and unreasonable litigation conduct can result in significant compensatory costs orders.
How Sambanis Family Law can help
At Sambanis Family Law, we assist clients navigating property settlements involving financial abuse, coercive control and complex financial circumstances.
Our services include:
- Family violence and financial abuse: Assessing how coercive control and economic abuse may affect property settlement entitlements.
- Financial disclosure: Identifying missing financial information and pursuing disclosure of relevant business interests, companies, trusts and other assets.
- Complex property settlements: Addressing disputed valuations, superannuation, liabilities and financial contributions.
- Negotiation and Court proceedings: Assisting clients to resolve property disputes and protect their financial interests.
If you are separating and have concerns about financial abuse, incomplete financial disclosure or your property settlement entitlements, contact Sambanis Family Law to arrange a confidential consultation.
Preparing to speak with us? Read our first consultation preparation guide.
Case references
Disclaimer: This article provides general information only and does not constitute legal advice. Property settlement outcomes depend on the particular facts and circumstances of each case.