An important Athecate genus, Eudendrium, and a group of species of the Thecata, the latter ecologically related by life on a common substrate, are reviewed. Eudendrium, hitherto poorly known in Australia, comprises 17 species, including 10 undescribed species with 71% Australian, and high provincial endemicity. Eudendrium may be a shelf genus avoiding turbulent oceanic waters. Species of Eudendrium are predominantly epizoic and some gregariously settling colonies may live for five years. Identification of sterile material is refined by using the cnidome in a key to classification. The species and population dynamics of hydroid epiphytes of the endemic southern Australian marine angiosperm Amphibolis were investigated with revision of historically vexatious taxa. In contrast with the northern hemisphere, no Athecata are associated with southern Australian seagrasses. Seventeen species from eight thecate families are associated with the two species of Amphibolis, including one undescribed species, H&lecium amphibolum, and one new record for Australia, Aglaophenia postdentata. The Lineolariidae is revised and a new genus, Millardaria, erected for a species from seagrass in Madagascar. The high endemicity (58%) and host-specificity of hydroids to Amphibolis is an evolutionary consequence of isolation of the seagrass dating from break-up of the Tethyan Sea. Hydroids occur throughout the year in the Amphibolis leaf canopy with a mean annual epiphytism of 44% on A. antarctica in the eastern continent and 86% in the western continent; epiphytism is 52% on A. griffithii in the western continent. Half of the eight important species are dominant epiphytes across the southern continent but the species and order of abundance varies regionally. Most are pioneer colonists with short, repetetive life-cycles lasting from weeks to a few months. Three species epiphytise the seagrass stems but only one is a leaf-canopy dominant. The canopy community comprises small, fast-growing species or dwarfed variants of species larger in other habitats: these ecomorphically constant forms are associated only with seagrass. Strategies for survival in the harsh Amphibolis environment include adnate colonies and gonothecae adnate or recumbent to the substrate, marked strengthening of the hydrorhiza, various hydrodynamic adaptations of the hydrotheca, early maturation and production of numerous small ova.