Delaware Senate approves controversial corporate law changes

Delaware's state Senate has passed controversial legislation aimed at protecting its corporate incorporation system. The bill defines a "controlling shareholder" and reduces internal due diligence for company deals, responding to concerns about potential company departures from the state. Supporters argue the changes are necessary for clarity and predictability, especially after high-profile exits like Tesla. Critics label the bill a "billionaires' bill," claiming it favors wealthy shareholders and undermines the state's legal framework. The legislation will now move to the House for consideration. It has faced criticism for being rushed and lacking public transparency, with some arguing it could deter companies from incorporating in Delaware.