The Alaska Supreme Court is considering a case that could redefine the extent of legal protection for corporations — including health care consortiums — jointly operated by Alaska Native tribes. The verdict could have implications across the state.

In written arguments and in court on June 21, attorneys representing the state said that if the court rules broadly it might limit the state’s ability to enforce a wide range of laws, including tax collection, consumer protection and antidiscrimination rules.

But tribal health care consortiums argue that a limited ruling by the court could...