Dell shareholders approve legal move from Delaware to Texas

Dell Technologies on Thursday announced that shareholders granted their approval to the company's plan to switch its state of incorporation from Delaware to Texas.Michael Dell, founder and CEO of Dell Technologies, announced the results of the shareholder vote, which was overwhelmingly in favor of the move, in a social media post on the X platform."Today, with 97% approval, Dell shareholders voted to bring our legal home to Texas," Dell said."This is home and where we've always belonged. Texas gave us the talent, the universities, and the environment to build something that lasts. Proud to make it official. Let's go," Dell added.DELL WORKFORCE SHRINKS BY 10% FOR THIRD CONSECUTIVE YEARThe company's board of directors approved the proposal in May ahead of the shareholder vote, at which time Dell said, "Texas is where Dell has innovated, expanded, and invested for more than four decades, and bringing our legal home to Texas reflects what we've been building here all along."Dell Technologies has long kept its corporate headquarters in Texas, with it being founded while Dell was attending the University of Texas at Austin, and he was living in a university dorm room in 1984.The company built a large presence in the Austin area, including its offices and manufacturing facilities, and in 1994 built a new campus for its corporate headquarters in Round Rock, Texas.ELON'S EXODUS: TRACKING MUSK'S BUSINESS INCORPORATION STATE CHANGESBy switching the state where the company is legally domiciled, Dell Technologies will shift the venue of future legal disputes with shareholders from the Delaware Court of Chancery to courts in the state of Texas, which are viewed as having a more business-friendly approach to shareholder lawsuits.Tesla CEO Elon Musk, who moved Tesla's state of incorporation from Delaware to Texas following a controversial decision by the Delaware Court of Chancery, applauded Dell's move on his X social media platform with a one word response to Michael Dell's post that said simply, "Texas."ELON MUSK MOVES SPACEX TO TEXAS AFTER DELAWARE REVOKED HIS TESLA SALARY PACKAGEMusk sought shareholder approval for the switch after a Delaware judge in the Court of Chancery issued a ruling that voided his $56 billion pay package in January 2024, which prompted him to warn, "Never incorporate your company in the state of Delaware."Tesla shareholders ultimately approved the move, while the Delaware Supreme Court overturned the judge's ruling in December 2025. Later that month, Tesla shareholders approved a new pay package valued at about $1 trillion if operational and financial targets are reached.GET FOX BUSINESS ON THE GO BY CLICKING HEREMusk has also relocated the state of incorporation for some of his other businesses out of Delaware, with SpaceX's legal domicile being switched to Texas in February 2024. Several of his other ventures have had their state of incorporation changed to Nevada.Weiter zum vollständigen Artikel bei FOX Business Weiter zum vollständigen Artikel bei FOX Business