News & Analysis as of

Shareholders Nevada Business Entities

Allen Matkins

Judge Rules Shareholders Can Pursue Derivative Claim Following A "Conversion"

Allen Matkins on

A year ago, I posited the question whether a derivative suit can survive a conversion. I raised that question in reference to Palkon v. Maffei, 2024 WL 678204 (Del. Ch. Feb. 20, 2024), in which the plaintiffs unsuccessfully...more

Allen Matkins

In More Bad News For Delaware, Nevada Legislature Proposes To Allow Jettisoning Jury Trials For "Internal Actions"

Allen Matkins on

I have previously noted certain provisions of a bill amending Nevada's business entity statutes, AB239.  See Nevada Bill Would Impose A Duty That Directors Be Informed and Nevada Bill Would Expressly Allow Directors To...more

Allen Matkins

Fidelity National Financial, Inc. Takes Another Run On Nevada Move

Allen Matkins on

Last year, I reported that the stockholders of Fidelity National Financial, Inc. had failed to approve a proposal to convert the corporation from a Delaware to a Nevada corporation.  The company has not given up on the...more

Allen Matkins

In Another Blow To Delaware's Hegemony Another Company Proposes Reincorporation In Nevada

Allen Matkins on

Yesterday, another Delaware corporation, Aerovate Therapeutics, Inc.,  filed a Form S-4 registration statement that includes a proposal to reincorporate from Delaware to Nevada.  The proposal is unfortunately titled "The...more

Allen Matkins

Is Lack Of Diversity The Cause Of DExit?

Allen Matkins on

Suddenly, DExit has moved from the theoretical to the real.  Over the last several months, several publicly traded companies have filed proxy materials with the Securities and Exchange Commission that include proposals to...more

Allen Matkins

Several More Companies Propose Move From Delaware To Nevada

Allen Matkins on

As 2024 closed and 2025 began, four additional publicly traded companies proposed reincorporating from Delaware into the "sweet promised land"* of Nevada.  These companies include...more

Allen Matkins

The State Of Nevada Vilipends Vice Chancellor Laster's Ruling In Maffei v. TripAdvisor

Allen Matkins on

Much has been written about Vice Chancellor J. Travis Laster's ruling in Palkon v. Maffeii, 2024 WL 678204 (Del. Ch. Feb. 20, 2024).  That case involved a challenge to TripAdvisor's planned reincorporation from Delaware to...more

Allen Matkins

Professor Bainbridge's DExit Exegesis

Allen Matkins on

A year ago, Phil Shawe, the Chief Executive Officer of TransPerfect, penned a piece for The Nevada Independent explaining the company's reincorporation from Delaware to Nevada...more

Allen Matkins

Reasons To Quit Delaware Are Gettin' Bigger Each Day

Allen Matkins on

Over the last few months, I have been following the saga of the lawsuit challenging TripAdvisor's plan to change its corporate domicile from Delaware to Nevada.   The stockholders approved the proposed redomestication last...more

Wilson Sonsini Goodrich & Rosati

Delaware Court of Chancery Addresses Fiduciary Duty Claims Arising from Reincorporation to Nevada

On February 20, 2024, Vice Chancellor J. Travis Laster of the Delaware Court of Chancery issued an opinion refusing to dismiss stockholder claims challenging the reincorporation of TripAdvisor from Delaware to Nevada and...more

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