Third Party Matters.

Third‑party involvement in Family Law matters in Australia occurs where the Court makes orders or injunctions in Family Court proceedings between parties to a marriage or de facto relationship that has broken down that affect third‑party rights, liabilities or property interests. Such involvement may occur in both property and parenting matters where the participation or rights of a third party are relevant to resolving the issues in dispute.

Property matters

In property matters, third parties may include family members to the parties to a marriage or de facto relationship; companies; trustees; creditors; and Trustees in Bankruptcy that are joined to Family Law proceedings if their rights are to be directly affected by Orders of the Court. It can also be relevant if a third party is required for the Court to resolve the Family Law dispute, or where the third party seeks themselves to intervene in Family Law proceedings to protect their own interests.  

The Court's powers to bind third parties in property proceedings are primarily found in Part VIIIAA of the Family Law Act, which permits orders directing a third party to do something in relation to the property of a party to the relationship or alter the third party's interests. Examples include requiring a company director to make resolutions; shareholders to transfer shares, altering the proportion of ownership of shares between a spouse party and a third party; or requiring a spouse party to repay a loan.  

In property matters, third‑party issues most often arise in complex property settlements involving trusts, corporate structures, business arrangements, or in situations where liabilities exceed available assets. Although the Court has broad powers, it will only interfere with third‑party interests to the extent reasonably necessary to achieve a just and equitable outcome. In parenting matters, the Court will only make orders involving third parties where it is in the best interests of the child, and where the third party’s involvement is necessary to fully resolve the issues in dispute.

Given the significant commercial and personal consequences that may follow, Family Law matters involving third parties require careful strategic planning, sound factual and financial analysis, and precise legal reasoning.

Parenting matters

In parenting matters, third parties commonly include grandparents, other relatives, foster parents or any other person concerned with the care, welfare or development of the child. These individuals may apply for orders that deal with, amongst other matters, a child’s living arrangements, time and communication with a child and parental responsibility. Third parties may be joined to proceedings or granted leave to intervene where orders sought will directly affect their capacity to maintain a relationship with the child or where their involvement is necessary to determine the child’s best interests – the paramount consideration in parenting matters.