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Delaware Judge Went After Elon Musk; Now Delaware Losing Corporations at Alarming Rate

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Delaware Judge Went After Elon Musk; Now Delaware Losing Corporations at Alarming Rate
David Strom| February 03, 2025
   
Remember last year when an activist Delaware judge invalidated Elon Musk's compensation package at Tesla--twice--despite it having been overwhelmingly approved by stockholders--twice?

The compensation package was unconventional--he wouldn't get paid unless he delivered extraordinary results. He multiplied the value of the company by 10x. Which is shareholders approved the package--he made them extremely wealthy, and they rewarded him by making him even wealthier. He put it all on the line, performed, and the judge took it all away and gave a bunch of it to lawyers.

The judge was, by the way, closely tied to the Biden crime family.

Delaware, of course, is Biden territory, and Biden was engaged in a war on Elon at the same time McCormick was making adverse rulings against him. All part of the lawfare pushed by the last administration.

The judge awarded attorney's fees to the lawyers who blocked Elon's pay package--which she claimed was excessive--and the numbers were staggering.

No wonder everybody in corporate America freaked out. If you are targeted by politicians, your entire business could be destroyed.

Yeah, well, FAFO. Major corporations are fleeing Delaware so fast that the governor himself is squealing and looking for a way to repair the reputation of the state as the most corporate-friendly in the nation.

It is a genuine crisis.

Somewhere around 15%-20% of Delaware's budget comes from corporate franchise taxes. For years, venture capital has pretty much-required firms they invest in to incorporate in Delaware because the state's corporate laws are well understood. It is seen as a safe haven to prevent frivolous lawsuits.
https://twitter.com/FrankFurter420a/status/1886260753855897729?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1886260753855897729%7Ctwgr%5Ee4e81aaa976b2af8d1991df2b2cb7158275c4aae%7Ctwcon%5Es1_&ref_url=https%3A%2F%2Fhotair.com%2Fdavid-strom%2F2025%2F02%2F03%2Factivist-judge-went-after-elon-musk-now-delaware-losing-corporations-at-alarming-rate-n3799446
https://hotair.com/david-strom/2025/02/03/activist-judge-went-after-elon-musk-now-delaware-losing-corporations-at-alarming-rate-n3799446

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