Elon Musk gets some guidance from a Delaware judge on how to ditch the state
Tesla CEO Elon Musk is serious about moving the electric car company out of Delaware and reincorporating in Texas, he got good news yesterday from a judge in Delaware Chancery Court.
In a case involving Tripadvisor, Vice Chancellor Travis Laster said that the online travel site can go ahead with plans to move its state of incorporation from Delaware to Nevada. The move was pushed by Tripadvisor's controlling shareholder, Greg Maffei, but was opposed by shareholders who argued that Maffei's goal was to evade accountability in Delaware courts.
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That's helpful language for Tesla and Musk, who called last month for Tesla shareholders to vote on a move to Texas after a Delaware judge invalidated his $56 billion pay package.
Even more helpful: The Delaware judge laid out how companies with a controlling shareholder can move out of the state without leaving themselves open to claims by other
