Decision to Use a Corporate Model Instead of Tribal Governments

ERA II — The Settlement Design
Governance Practice
1970

ANCSA deliberately established state-chartered corporations rather than tribal or trust-based governance structures.

What Happened

Rather than placing land and assets into trusts or strengthening tribal governments, Congress opted to create for-profit corporations under Alaska state law. This structure was intended to integrate Native assets into the American economic system, avoid federal trusteeship, and streamline administration. The decision was novel and largely untested at the scale envisioned.

Why It Matters Today

This choice introduced dual expectations that continue to collide: cultural stewardship versus corporate profit, shareholder rights versus collective identity, and Indigenous values within non-Indigenous legal frameworks.

Related Patterns

Pattern 7: Cultural Expectations vs. Corporate Law
Pattern 2: Authority Concentration

Related Governance Themes

Clearly Defined Fiduciary Roles and Duties
Clear Distinction Between Corporate and Subsidiary Reporting
Board Education and Governance Training

Sources

Primary Source
Secondary Source Link