Legal scholars and political theorists dominate academic writing on the issue of indigenous peoples' rights. This article, however, adopts a sociological approach, analysing indigenous rights in Australia as a socially constructed phenomenon, the product of ideals, entrenched colonial structures and the balance of power between political interests. It shows how, during rights institutionalization processes, ably aided by a receptive government and media, commercial lobby groups constructed propaganda campaigns to further their interests to the detriment of indigenous interests. The resultant legislation was an exercise in rights limitation behind a veneer of agrarian reform. The article concludes by highlighting the tension between national rights regimes of this nature and international human rights norms and suggests an approach that could overcome this problem.