by James DeChene
Today’s article on Delaware’s corporate reputation is fundamentally a capture of just about all the topics the State Chamber has been advocating and focused on in the past year. From the status, reliability and future of escheat, to recent legislation and decisions involving shareholder lawsuits and the potential fallout from last week’s ruling against Dole, the article lays bare the fact that the corporate community views on Delaware are in flux.
There’s no question that Delaware remains the premier choice for companies to incorporate, and a record setting year for companies incorporating in the state showcases that fact nicely. There is a question being raised nationally, however, of how Delaware is viewed for already established companies that are now involved, for a variety of reasons, but most notably in how predictable the courts are. The State Chamber has gone on record stating that we believe the courts in Delaware, specifically the Court of Chancery, are clearly sensitized to the issues and are demonstrating that they tread carefully on a case by case basis based on the facts of the case.