In the recent 2025 Full Court Judgment Shinohara & Shinohara [2025] FedCFamC1A 126, the Court dealt with the issue of addbacks relating to property settlements in light of recent legislative amendments. At trial, the Court departed from its traditional approach of adding back assets in the parties’ property pool for division.
Prior to the s 79 amendments introduced by the Family Law Amendment Act 2024, if one party had spent or lost funds or property prior to the separation, the Court would sometimes treat the assets as if they still existed and would include them in the total pool of assets in the balance sheet as an “addback” to then be divided between the parties. [...]