Elon Musk changes SpaceX’s legal residence to Texas after an adverse court ruling in Delaware

Elon Musk changed SpaceX’s legal residence to Texas following an adverse court ruling in Delaware. (Reuters/Gonzalo Fuente)

Elon Musk It was announced on Wednesday night that his space company spacex changed your legal address delaware To texasIn protest against a court decision that prevented them from collecting a larger package tesla stock,

,SpaceX changed its state of incorporation from Delaware to Texas. If your company is still incorporated in Delaware, I suggest you move to another state as soon as possible“, the founder and CEO of SpaceX published on the social network X.

Musk, who also runs an electric vehicle maker TeslaThis is how a judge reacted to his decision Kathleen McCormickof Delaware, which invalidated the agreement granting it million shares of tesla At a very low price, considering that the interests of the shareholders have not been respected.

McCormick’s decision comes five years after shareholders filed suit accusing directors musk And Tesla failing to fulfill his duties and arguing that the pay package was a result of fake conversation With directors who were not independent of him.

The change in legal address could benefit the businessman, who currently holds 13% of Tesla’s voting shares but who aims to increase his stake to 25% in the short term. (Reuters/Dado Ruvik/Illustration)

After hearing the decision, Musk asked his former followers whether they should also move Tesla’s headquarters to Texas, where it already has its operational headquarters.

The proposal got support 87.1% votersAccording to X, more than one million users.

Musk replied: “The public vote is overwhelmingly in favor of Texas. Tesla will soon call a vote of its shareholders to change its incorporation status in Texas,

Although Delaware has traditionally been the preferred jurisdiction for registration for larger companies usa (With more than 60% of Fortune 500 companies registered there), the state has lost some of its tax and legal advantages to places like Texas in recent years.

“SpaceX has changed its state of incorporation from Delaware to Texas. If your company is still incorporated in Delaware, I suggest you move to another state as soon as possible,” the SpaceX founder and CEO published on the social network X.

The change in legal address could benefit Musk, who currently holds 13% of Tesla’s voting shares but aims to increase his stake to 25% in the short term.

“Delaware has created its own preferred business incorporation status by being management-friendly, not shareholder-friendly,” he said. Eric Gordon Professor of Law and Business University of Michigan,

Last week, another Musk company, NeuralinkDedicated to brain chip implants, also changed its state of incorporation from Delaware Snow,

(With information from EFE, AFP and Europa Press)

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