I prefer the more squared seating that I suggested, in part because then a majority of the seating is facing outward to the view. In the angled seating, the two chairs have their backs to the yard and are facing the house. I think it also gives a more open feeling, and eliminates that 'seats around the campfire' feeling of one seat on each side of the centered table. However, everyone knows my mantra is "your house, your choice'. You live in the space, and you have to love how things are arranged. If the angled seating works best for you, then that is the way you should use it! Just wondering, leaving things angled as they are in the last pix, could the square table fit flat against the railing between the two chairs? Or is it too large? That might open up the seating - you could add a side table at the end of the loveseat if needed.

How fun - I actually really like the layout, and think you can absolutely make it work :) Do you particularly want a separate living and family room section? If you don't frequently have guests over to watch movies/sports, you could easily put a tv on the wall where the red leather chair is, and make that your living/family room. Then you could slide your dining space over towards the "family room" area on your diagram (Unless the hard floor vs carpet makes this too awkward.) I bet you could add a lovely reading nook in the corner or desk/workstation (by the window next to their tv station) while still leaving plenty of room for a dining area. If you have to leave your dining where it is because of flooring transitions, or if you want separate living/family room sections, I'd still put the tv in what's labeled the "living room," while in the "family room", you could have an L-shaped seating area in the corner with the seating against the wall (instead of curling in the room middle like their white leather sectional is). That'd open up the room a lot, leaving a good walkway into the "living room" Seating in the "family room" - Like this, without the chevron chair

A MCM sofa on the longest wall is a great way to begin. Centered if possible. Add floor lamps and cocktail table and a pair of chairs. That is a start.

The blue on the chests is a bit bright, but I'm guessing you might have been looking to add some spark to your room. I got rid of the too-small lamps and replaced them with picture lights mounted over colorful framed graphics. I painted your brick a neutral gray because the red, yellow & blue combination just isn't working for this room. I replace the TV and added a soundbar below for better sound. To finish the area I added a colorful canvas over the sectional & mounted the drapery higher. I recolored it in gray to tie in the new fireplace color. I would also consider replacing the area rug because the style is a bit 'sweet' for a family room. Picture lights below https://www.homedepot.com/p/Westinghouse-LED-Oil-Rubbed-Bronze-14-in-Picture-Light-7500300/305609004 https://www.homedepot.com/p/BAZZ-LED-Picture-Lamp-PICLEDSV/301582420 These picture lights below are from IKEA.