In family law matters, separating parties must provide full and frank disclosure of all information relevant to the issues in dispute as soon as possible. People often feel as though this can be an invasion of privacy, or try to avoid the obligation, but there are serious consequences if one ignores this duty.
A very recent case provides a practical example of the possible consequences. In this case, a Melbourne man with two de facto partners gave falsified evidence during a proceeding before the Federal Circuit and Family Court of Australia (the Court) – ultimately, landing him with an 18-month prison sentence.
Case summary
By way of background, and in summary:1
- In September 2017, a man commenced financial and parenting proceedings against his former de facto partner. Later, the man’s second de facto partner made claim to parts of the asset pool.
- On 7 August 2020, the Court found that the man falsified documents and gave false evidence. The Court referred the man to the Australian Federal Police (AFP). The AFP’s investigation revealed that the man provided bank statements, emails and documents to the Court to contend that the sale of a business occurred prior to the commencement of both relationships. He lied about the timing of the sale of a business and concealed assets valued more than $4 million.
- On 23 August 2023, the AFP charged the man for giving false testimony and fabricating evidence in a federal judicial proceeding. The man was ultimately sentenced to 18 months’ imprisonment, with 6 months to be served in prison before being released from custody and the remaining 12 months to be served on a Recognisance Release Order, which will be suspended for three years subject to the man being of good behaviour.
This case serves as a stark and timely reminder that providing false information in family law proceedings and / or failing to disclose is an offence with significant legal consequences. The simplest course is to be transparent and disclose.
What are my legal obligations?
At the time of this article, parties’ disclosure obligations are set out under Part 6.1, Part 6.2 and Schedule 1 of the Federal Circuit and Family Court of Australia (Family Law) Rules 2021 (Cth) (the Rules). Examples of the categories of documents which may fall under a party’s disclosure obligations are set out under rule 6.05 (for parenting matters) and rule 6.06 (for financial matters) of the Rules.
From 10 June 2025, the Family Law Amendment Act 2024 (Cth) will elevate parties’ financial disclosure obligations to the Family Law Act 1975 (Cth). In general, the nature of parties’ duty to make a full and frank disclosure will remain the same.
The duty of disclosure is ongoing until the conclusion of the matter, either by way of a final court order or private agreement (i.e., Financial Agreement). Compliance is mandatory and the Court takes a critical view of those who disregard it.
What are the consequences of breaching disclosure obligations?
If the Court finds that a party has breached their disclosure obligations, then it has broad discretion to, among other things:
- refuse to allow the party to use that information or document as evidence in their case (e.g., take the non-compliance into account when assessing a property settlement), and / or
- stay or dismiss all, or part, of the case, and / or
- impose sanctions, such make costs orders against a party, and / or
- fine imprison the party on being found guilty of contempt of court.
The consequences to both the case and the person can therefore be significant. Candour is key.
Seek legal advice
If you have any concerns about your disclosure obligations, or that another individual is not complying with their disclosure obligations, it is important that you seek independent legal advice. Ensuring compliance with disclosure obligations is essential to avoid potential legal and financial repercussions.
The team at Barry Nilsson is here to help you navigate complex legal matters. Get in touch!
