Reese Witherspoon’s marriage to Ryan Phillippe is officially over. The couple finalized their divorce this week with court documents filed in Los Angeles.

According to court documents, “(The court finds) the parties have settled all their remaining issues in these proceedings.”

The couple, who separated back in 2006 and went through a painful divorce – Phillippe said it was the “worst time” in his life – had reached an agreement on finances and custody of their two children, Ava, 8, and Deacon, 4. But the details of their agreement are being kept confidential. After seven years of marriage, Witherspoon filled for divorce in November 2006, citing “irreconcilable differences.”

The Louisianna-born Witherspoon, 32, who starred in the movies “Legally Blond” and “Rendition,” has since stepped out with her beau Jake Gyllenhall, while Phillippe, who recently starred in the war film “Stop-Loss,” went public with his new romance, Australian actress Abbie Cornish. The two were seen together at the Australian in Film Breakthrough Awards. A witness told the People magazine that they “were adorable.” Ryan, 33, worked together with the 25-year-old actress when they shot the Iraq drama “Stop-Loss.”

Witherspoon and Phillippe first met at Witherspoon’s 21st-birthday party. In 1999, they costarred in “Cruel Intentions” and married that same year. Three months later, they had their first child, Ava.

Ryan Phillippe and actress Abbie Cornish have gone public on their relationship, two years after the Australian actress was accused of splitting Phillippe and his ex-wife Reese Witherspoon.

The couple, who starred together in ‘Stop-Loss’, were photographed last week holding hands at the 2008 Australians in Film Breakthrough Awards, where Cornish was honoured with a Breakthrough Award.

One guest told People magazine: “They were adorable. He had his arm around her and they were cozy and comfortable.”

The new couple had long been rumoured to have fallen in love on the set of ‘Stop-Loss’, when Phillippe was still married to Witherspoon. Both stars have denied such rumours.

Ryan Phillippe accompanied girlfriend Abbie Cornish as she received an award from the Australians In Film 2008 ‘Breakthrough Awards’ in Los Angeles on Thursday night.

We don’t quite know what he sees in her.

She’s no Reese Witherspoon!

Phillippe met the Australian actress on the set of a film and it is reported that the two started having an affair while he was still married to the Legally Blonde actress.

That homewrecker!

I’ll be adding the images from this event later today!