After the controversial ruling from Delaware Chancellor Kathaleen McCormick voided compensation to Elon Musk for his success with Tesla, Musk posted: “Never incorporate your company in the state of Delaware” to his 170M followers on X. Musk currently has a poll on X with more than 888,000 votes with people voting to move Tesla’s Headquarters to Texas, which would provide Delaware another huge loss to its revenues and following a major exodus behind companies like X Corp, TransPerfect and DuPont spinoff Corteva. Citizens for Judicial Fairness released the following statement in response to these developments:
“Another heavy-handed intervention by the Chancery had led to another high-profile company ready to leave Delaware. Chancellor McCormick has followed the precedent set by former Chancellor Bouchard with another reckless invasion of a company's internal decisions, driving more large companies out of Delaware, and more risk to Delaware’s main source of funding. We have been begging for transparency in Delaware Courts and awareness for the power this Court holds on companies and workers throughout the Country. We hope that the spotlight that Musk can shine on this unscrupulous Court will be a wake-up call for overhaul of a Court that has long benefitted its partner law firms and not the people of Delaware. We will be doubling down on our efforts to shine a light on this sordid state of affairs over the coming months.”
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