The decision involved a claim made by the Yolnu people, the traditional owners of North-east Arhnhem Land, that their rights and interests extended to the intertidal zone in the Blue Mud Bay area recognised under the Aboriginal Land Rights (Northern Territory) Act 1976 (ALRA). The Yolgnu also filed an application for a native title determination in an area next to the Blue Mud Bay area. They sought a declaration:
to the effect that the rights of the traditional owners to enter and occupy the land and waters covered by the grants were exclusive of all others.
that the Land Trust was entitled to prevent persons entering the relevant areas of land and waters to take fishing or aquatic resources.
that the Fisheries Act 1988 (NT) (Fisheries Act) did not affect the exclusive entitlements of the traditional owners and did not, and could not, confer on the Director of Fisheries a power to grant a licence under that Act to enter and take fish or aquatic resources from the areas of land and waters covered by the grants without the authority or permission of the traditional owners.
The court held, allowing the Land Rights appeal:
Land rights grants create a fee simple estate that have the same characteristics as any other estate unless modified under statute
The intertidal zone is considered to be 'land' not the 'sea'
A grant of an estate in fee simple would therefore include the ability to exclude others from the intertidal zone
The Fisheries Act does not apply to land granted under the ALRA.
The court held, disallowing the native title appeal:
Extinguishment is based on the recognition of rights and interests under the common law. Under s 47A the Court is not allowed to disregard non-recognition under the common law.
Application of s 223 (1) with respect to whether a group's rights are communal or individual is flexible.
A native title right inconsistent with a public right to access the inter-tidal zone cannot be recognised.