Rick Ackland and Jim Winsor had challenged the decision after being taken off the ballot in October's election in the Municipality of Kings County.
The returning officer rejected their candidacy to become councillors after their nomination papers were accepted.
The officer had said they couldn't run because they served on municipal volunteer boards and received small honorariums.
Judge Gregory Warner ruled Friday at the Supreme Court of Nova Scotia in Kentville that the returning officer was not within its jurisdiction to revoke the nominations after accepting them.
Bob Ashley, chief administrative officer of Kings County's, says there is no decision yet on a potential appeal, and he can't say when an election would be held.