Four Indigenous remote renters have won their case unanimously in the High Court, successfully invalidating the Northern Territory government's widely-criticised 'Remote Rent Framework'.

Rents have been hiked by up to 200 per cent since the former NT Labor government established the Framework in early 2023. The CLP took office in 2024 and maintained the Framework.

On Wednesday, Asher Badari, Ricane Galaminda and Lofty Nadjamerrek from Gunbalanya, along with Laramba woman Carmelena Tilmouth made history in the High Court by striking out the unlawful actions of the NT Government.

The High Court found unanimously that the NT government did not afford the tenants impacted by the new model procedural fairness, therefore rendering the 'Remote Rent Framework' unlawful.

Australian Lawyers for Remote Aboriginal Rights (ALRAR) said the decision means the Territory government will be "forced to scrap the rent model and go back to the drawing board, this time consulting those impacted by the rent hikes before taking any further steps", and also means the NT Government has been unlawfully collecting $9.7 million per annum additional rent for the past two years.

'A much-deserved victory'

After the decision was brought down, ALRAR lead solicitor Daniel Kelly said "renters of Gunbalanya and Laramba led this fight for the benefit of all remote tenants in the NT, and today their persistence has paid off".

"This is a much-deserved victory for the many families who've been battling to keep their heads above water since these unwarranted and destabilising rent hikes were implemented," he said.

"Now is the time for the NT Government to start the conversations with remote Aboriginal public housing tenants about what rent method works for each of them. Involving the existing community Housing Reference Groups and making sure people can give their views orally and in-language has to be part of that process.

"I look forward to the government working with communities to develop a new rent model that keeps a roof over everyone's head and reduces financial stress for thousands of NT families."

ALRAR noted that the rent framework, which was implemented by the NT government in February 2023, saw rent increases for 68 per cent of remote First Nations tenants in the NT, with more than 5,000 homes impacted in total. No renter was consulted before these rent hikes were imposed.

The framework made remote communities in the NT the only public housing tenants in the country that have rents determined by the number of bedrooms in a home, rather than an income test.

The Northern Territory currently has a homelessness rate of 12 times the national average, and faces the nation's worst rates of housing stress. It also remains the worst performing state on Closing the Gap housing targets, with more than half its population of First Nations people living in inappropriately sized, overcrowded rental homes.

Decision welcomed by Indigenous housing advocates

Aboriginal Housing NT chief executive Leeanne Caton welcomed the Court's decision.

"The Remote Rent Framework exacerbated the high numbers of rough sleepers and people experiencing homelessness in Darwin, Alice Springs, Katherine and Tennant Creek, as many people in remote communities who are unable to afford the increased rent are effectively forced into seeking alternative accommodation, often in urban centres," she said on Wednesday.

"Public policy reform must never disadvantage remote tenants. The Remote Rent Framework further disadvantaged remote Aboriginal tenants and households who are already experiencing some of the highest costs of living nationally.

"Aboriginal tenants and households in remote communities are already being forced to pay inconceivably high prices for basic goods, essential groceries, fuel and standard day to day items."

Ms Caton said all Territorians should have access to "a safe, healthy and affordable public housing rental model that does not further impoverish nor diminish the wellbeing of families".

Government 'considering options' for a new system

NT Minister for Housing, Local Government and Community Development Steve Edgington told National Indigenous Times the Northern Territory government "acknowledges the High Court decision regarding the former government's Remote Rent framework implemented on 6 February 2023 by then Minister for Housing and Homelands, Selena Uibo".

"All public housing tenants, remote and urban, are still required to pay rent," he said.

"The Northern Territory Government is considering options to ensure a valid rental framework is in place for remote tenants."

The Minister did not address a question regarding what would be done to remedy the unlawful collection of over $9 million a year in rent under the Framework.

'The worst landlord in Australia'

The Grata Fund backed the case brought by the four tenants.

The Fund's executive director, Isabelle Reinecke, said the outcome was "a remarkable victory for Asher, Ricane, Lofty, and Carmelena, who took on the Goliath that is the NT Government and pursued justice all the way to the High Court".

"Once again, the NT government has proven itself to be the worst landlord in Australia," she said.

"Remote communities have copped blow after blow from successive NT Governments, with steep rent hikes, neglect of basic housing repairs, and failure to provide safe drinking water for all communities.

"This High Court ruling gives the CLP government a golden opportunity to develop a new, evidence-backed model that supports families to thrive."

Report updated at 1.45pm AWST to include the Minister's response.