The point of Texas and Nevada is that the laws favor the C-suite and expressly disfavor external shareholders. They have no restrictions on unethical behavior; it's why billionaire tech bros love them so much.
Who?
It’s time.
TO BUILD.
> Marc Andreessen on why he's supporting Clinton over Trump: 'Is that a serious question?'
> "The idea of cutting off the flow of immigrants into Silicon Valley makes me sick to my stomach," Andreessen says.
https://www.nbcnewyork.com/news/business/money-report/andree...
> Andreessen Horowitz founders plan to donate to pro-Trump super PAC
I suppose once you get an appetite for fascism your stomach aches go away.
refurb•13h ago
Businesses can deal with anything but uncertainty.
esafak•12h ago
Spooky23•11h ago
Founder owned companies want to enjoy total control, shareholders be damned. They consider the Delaware chancery court to be full of activist judges.
0xy•9h ago
Spooky23•1h ago
- Insider trading on the part of Elon relating to the sale of $8B of stock.
- Dilution of the shareholders via excessive compensation due to a board substantially lacking independence.
- Conflicts of interest on the part of CEO damaging the company, magnified by the lack of an independent, functional board.
- Various deceptions relating to “Full Self Driving”
- Various other stock manipulation frauds.
There’s obviously controversy about the company and this issue. The Silicon Valley types have so much money now, and their investors have shifted to different sources, the corporate governance stuff is a problem for them. The characterization of Delaware chancery courts as “activist” highlights that.
cbeach•2h ago
Elon surprised everyone when he achieved ALL the ridiculously high targets.
Even more surprisingly, and somewhat disturbingly, a judge then decided to nullify his shareholder-agreed package, such that he would receive ZERO compensation for growing a penny stock startup into the world's most valuable automaker.
Obviously, Tesla disputed this ruling, and held another shareholder vote on Elon's original package. The shareholders once again voted for Elon to be given what he was promised by the company.
The judge again disregarded the opinions of the shareholders.
This happened in Biden's home state.
It's no wonder that Tesla reincorporated elsewhere, is it?
Spooky23•1h ago
The former president has no bearing whatsoever.
sandspar•10h ago
A good writeup here:
https://news.law.fordham.edu/jcfl/2025/03/31/delawares-corpo...
Relevant clip:
>One of the main reasons for the recent corporate departures is likely the series of high-profile rulings by the Delaware courts that seem to run counter to established Delaware precedent. The Chancery Court has increasingly delivered rulings that expand corporate liability, intensify shareholder scrutiny, and impose heightened governance expectations.
hexfish•8h ago