Meta, the parent company of Facebook and Instagram, is reportedly exploring options to change its legal home from Delaware to Texas, according to sources familiar with the matter.
Key details include that Mark Zuckerberg’s influence as a controlling shareholder makes Texas an attractive option for companies like Meta. On the other hand, Delaware has long been favored by many Fortune 500 companies due to its business-friendly court system.
However, recent court decisions have caused frustration among executives and controlling shareholders, prompting Elon Musk to relocate Tesla and SpaceX to Texas after a similar dispute in Delaware.
This trend is not unique to Meta, as Dropbox also announced that it would be moving its incorporation from Delaware to Nevada. The company received approval from majority shareholders to make the switch.
The decision to relocate comes amid Texas’s efforts to establish specialized courts for business disputes, attracting businesses such as Tesla and Neuralink. A Meta spokesperson confirmed there are no plans to move the corporate headquarters from California but declined further comment on reincorporation discussions.
Source: https://www.teslarati.com/meta-considers-leaving-delaware-dropbox-announces-de-departure