States Compete with Delaware for Corporate Business: What's Driving the Shift?

Several states are actively changing their corporate laws to attract businesses traditionally incorporated in Delaware. Texas, Oklahoma, and Nevada are leading this initiative by implementing business-friendly measures.

Texas has established a dedicated business court, while Oklahoma is working on similar courts in populous areas. Nevada is also pushing for a dedicated business court, drawing attention from notable companies like MercadoLibre and Tesla.

In response, Delaware has passed legislation to enhance protections for corporate leadership and limit shareholder access to records. Despite the growing competition, Delaware remains home to over two million entities, including a significant portion of Fortune 500 companies.

Experts suggest that the push for relocation may be premature, given Delaware's established track record in corporate law.