Francis Pileggi Speaks With Law360 About Delaware's Business Haven Status

Wilmington, Del. (May 7, 2024) - Wilmington Managing Partner Francis Pileggi recently spoke with Law360 for an article titled, “Storm Clouds Gather Over Delaware's Business Haven Rep,” which discusses whether Delaware’s status as a haven for companies may be in jeopardy.

As the article explains, a large law firm recently issued a client advisory detailing concerns regarding recent Delaware decisions that were unfavorable to businesses. The advisory described a perception that judges in Delaware have applied an “increasingly suspicious or negative tone” toward the corporate bar, boards, and management.

In commenting on this perception, Mr. Pileggi told Law360 that companies were unlikely to take immediate flight from Delaware. He noted, however, that “complacency is never helpful,” elaborating, "Many legal scholars think a certain level of indeterminacy in Delaware corporate law is helpful, but many observers think that recent decisions are much less predictable than in the past. When it is difficult to predict the outcome of decisions, that is contrary to the stability that lawyers and their clients prefer."

Mr. Pileggi is chair of Lewis Brisbois’ Directors & Officers Litigation Practice and a member of its Complex Business & Commercial Litigation Practice. His litigation practice emphasizes representation in high-stakes disputes of corporations, stockholders, members of boards of directors, members and managers of LLCs, and those with managerial or ownership interests in other forms of entities. He has extensive experience in matters involving fiduciary duties and corporate governance as well as summary proceedings under the Delaware General Corporation Law in the Delaware Court of Chancery. For the past 20 years, Mr. Pileggi has maintained the Delaware Corporate & Commercial Litigation Blog at delawarelitigation.com.

Read the full Law360 article here (subscription may be required).