Musk fights US state of Delaware after Tesla pay debacle

Elon Musk is on the warpath against Delaware and its powerful business court, moving his SpaceX company out of the eastern US state after a judge struck down his $56 billion compensation package at Tesla.

For more than a century, the Delaware Chancery Court has been a pillar of US capitalism, the jurisdiction where roughly two thirds of American Fortune 500 companies register their company.

And according to state data, nearly 80 percent of initial public offerings in 2022 were registered in Delaware, seeking the reliability and stability of its court and the expertise of its judges.

But Musk is furious at the court, seeing it has a haven for over-litigious lawyers and meddlesome judges that are getting in the way of his business decisions and vision.

“SpaceX has moved its state of incorporation from Delaware to Texas!” Musk said on X on Wednesday.

“If your company is still incorporated in Delaware, I recommend moving to another state as soon as possible,” he added.

The move came just weeks after Judge Kathaleen McCormick voided his eye-watering compensation package at Tesla, taking sides with a shareholder who claimed the entrepreneur was overpaid.

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