Texas is trying to entice businesses to move to the Lone Star State, while Delaware is fighting to keep companies incorporated there. Haynes Boone Partners Greg Samuel and David Harper spoke with The Wall Street Journal and Bloomberg Law about the latest development in the ongoing battle between the two states. Read excerpts of each article below.
Wall Street Journal:
Greg Samuel, a partner in the capital markets practice at law firm Haynes Boone, said he’s speaking with multiple clients about whether to list shares and incorporate in Texas versus states like Delaware.
“It reflects the political divide in our country these days,” said Samuel.
Bloomberg Law:
Dallas-based Haynes Boone partner Greg Samuel said he’s been fielding calls from public companies concerned about their litigation risks in Delaware. The new law improves the status quo, he said, though language that disinterested directors must act “in good faith and without gross negligence” opens the door for investor litigation.
“I have to tell them this isn’t a panacea—we don’t know how this is going to be interpreted, and we’re back in the uncertainty camp,” he said. …
H.B. 40 would add courts in six rural areas and add a third judge in Houston and Dallas. It also opens its doors to disputes around insurance, arbitration, intellectual property and attorney and accountant malpractice.
“Nobody knows where all of that will land but certainly there will be a push from the proponents to open everything up,” said David Harper of Haynes Boone.
