The High Court has been praised after its historic lands rights decision that left the Commonwealth liable for up to $700 million in compensation.

The landmark judgement for lost Native Title rights over a mining lease on Gumatj land in the Northern Territory was brought by renowned land rights activist, the late Dr Yunupingu, in 2019 on behalf of the Gumatj people.

The High Court considered if acts done by the Commonwealth of Australia in the NT – while subject to the control of the Commonwealth between 1911 and 1978 – gave rise to the Constitutional requirement for the government to provide Native Title holders with just and fair compensation.

Wednesday's decision confirmed existing case law of the equal treatment of property rights of all Australians, with the High Court determining the extinguishment of Native Title under a law of the Commonwealth, prior to the introduction of the Native Title Act, constituted an acquisition of property within the meaning of s. 51(31) of the Constitution.

The National Native Title Council congratulated the Gumatj Clan for its victory, with chair Kado Muir paying respect to the Yunupingu family.

"This decision realises the vision of Mr Yunupingu and the Gumatj Clan, who continue to fight for land and Native Title rights to be recognised and respected, not just in the Northern Territory, but across all our various Countries," Mr Muir said.

"The Gumatj decision shows that when our sacred lands are taken away, we are entitled to receive compensation on just terms in accordance with … the Constitution, in the same way as any other citizen of Australia."

NNTC chief executive officer Jamie Lowe said the High Court's decision in Mabo recognised Native Title exists and dispelled the myth of 'terra nullius', with Wednesday's judgement reinforcing that.

"This decision confirms … Native Title is now not only recognised under Australian law but also clearly protected by the Constitution, the same as any other ordinary land title or property," he said.

"Where the Commonwealth, states or territories have acted in a way that fails to respect Constitutional or other legal protections, then it is common sense that there will be redress."

Mr Lowe said Wednesday's decision would support real economic empowerment for the Gumatj peoples.

"This ought to be seen as an opportunity to economically empower communities who have been historically dispossessed," he said.

"It is not controversial that communities impacted by projects on their Country should benefit from the wealth generated through those projects."

NNTC Native Title director Clinton Benjamin praised the High Court for providing "much-needed clarity" on how a right to Native Title compensation arises in practice.

"The case builds on the significant Griffiths v Northern Territory (Timber Creek) compensation decision … and the High Court today has repeated and reinforced what was said in Mabo No 2: that the 'fundamental consideration' was to bring the common law into conformity with 'the values of justice and human rights (especially equality before the law), which are aspirations of the contemporary Australian legal system'," Mr Benjamin said.

Mr Benjamin referenced High Court Justice Gordon's statement on Wednesday that connection to Country "existed and persisted before and beyond settlement, before and beyond the assertion of sovereignty and before and beyond Federation".

"It is older and deeper than the Constitution," Justice Gordon said.

The Northern Land Council also praised Wednesday's judgement, saying it respected the rights of Native Title holders in the NT to seek amends for historic acts, including the Gumatj people of North East Arnhem Land, who initially argued in the Federal Court they were owed compensation for losses from the extinguishment of their Native Title rights between 1911 and 1978 - when the NT was administered by the Commonwealth, which granted certain mining and pastoral leases on the Gove Peninsula.

Northern Land Council chair Matthew Ryan said Wednesday's judgement was a significant achievement and worthy tribute to the memory of the late Dr Yunupingu.

"This decision proves that Native Title is just like any other property acquired by the government and reaffirms that owners deserve to be compensated for any loss," he said on Wednesday.

"The NLC is proud to have supported the Gumatj people throughout this case, which was argued all the way to the High Court by the Commonwealth Government."

Wednesday's decision dismissing the Commonwealth's appeal was also declared a landmark victory for Traditional Owners in East Arnhem Land by the Rirratjingu people.

Rirratjingu patron and former chair, Bakamumu Marika AM, said it was an important step to fulfilling the important work of "being in control of our land – work begun by our fathers and grandfathers".

"Dhuka yarranytjun bukmakku Yolŋu ma ngarru nyena mawayanga burrmidinga romnga. This means creating a pathway for all Yolŋu to live … to have peace, harmony and justice," he said.

"Today is bittersweet; we have lost all our old people who dreamed of determining what happens on our ancestral land.

"In pursuit of our Native Title rights, we stood in the High Court as equals, alongside our Yolŋu brothers, ensuring our Rirratjingu and Gumatj voices were heard."

He said the ruling confirmed the Commonwealth was never entitled to take their land without just terms.

"This decision corrects past injustices and reaffirms that our land rights must be respected by the highest laws of this country," he said.

"This battle was always about more than compensation; it was about justice, recognising the true cost of dispossession and strengthening our future through land rights, economic independence and cultural sovereignty.

"This win isn't just about us but is for all Aboriginal and Torres Strait Islander people, across all First Nations."

The Gumatj people's claim for compensation would now be considered in the Federal Court, which would also assess who the Native Title holders for the relevant area are.