Interesting article arguing that SpaceX could become the prototype Texas IPO: a test of the state’s new corporate stack of incorporation law, specialized courts and market infrastructure designed to compete with Delaware. The question is whether that creates useful competition or a race to the bottom on governance.
Posted by sayheykid24
3 Comments
It’s wishcasting, you can’t just say the magic words and avoid federal court
It’s a race to the bottom, Elon musk is going to legally rob American’s 401ks.
Obviously touchy topic due to the intense feelings everyone has about Musk, but it’s pretty amazing how one single judge cooked the good thing Delaware had going. You might think it’s just Musk and his buddies relocating but completely random companies like Dillards and TripAdvisor redomiciled specifically citing the landmark decision voiding Elon Musk’s Tesla pay package. My buddy does private practice corporate law and he says about half his incorporations are now outside Delaware. Used to be over 90% just a few years ago.