At the Georgia Center for Arbitration and Mediation, we are fortunate to have some of the finest legal, creative minds as a part of team. Today’s post is written by Michael Ledyard–one of the most experienced and talented third-party neutrals we have ever met. His legal career included sophisticated business and corporate work in Delaware (and internationally) as more fully described in his biography. If you need a mediator or arbitrator who understands the complexities of companies, corporations, trusts, and LLCs formed, in Delaware, Mike is the mediator or arbitrator that you need. He is available in our offices, remotely, and travel.
The State of Delaware is the most popular state for the creation of companies and the state of organization for many of the largest, most successful and best-known U.S. companies. For example, nearly 60% of the Fortune 500 companies are organized under Delaware law.
One reason for this popularity is the advanced state of Delaware law. Business and legal professionals in the United States generally consider Delaware to have the most favorable, forward-looking laws regarding business entities. Delaware’s statutory laws governing business entities are regularly reviewed and updated, with Delaware business lawyers playing an active role in recommending and refining proposals for new legislation. Delaware also has a well-developed body of relevant judicial case law. This wealth of judicial decisions enables business decision-makers to plan with a greater degree of certainty and predictability.
Delaware’s renowned court system is also a major factor in the state’s emergence as the favored state in which to organize business entities. The Delaware Court of Chancery and the Delaware Supreme Court each enjoy a worldwide reputation for excellence and fairness. The Court of Chancery is a court of equity that has existed for more than 200 years, and it has jurisdiction over all disputes concerning the internal affairs of business entities formed under Delaware law. As a result, Delaware courts’ experience with corporate and other business issues results in unparalleled expertise, which translates into efficient, prompt, fair, and more predictable resolution of disputes.
Another reason for Delaware’s preeminence as a jurisdiction for business formation is its “business friendly” state government. Delaware’s legislature and governor historically have demonstrated a willingness to understand and be responsive to the needs of business. Moreover, the Delaware Secretary of State’s Office is a service-oriented organization. Businesses and others regularly take advantage of the flexibility and services offered by the Secretary of State’s Office, including expedited document filing and processing; advanced document imaging and retrieval technology (reducing response time); document filings by fax; and remote access to the secretary of state’s computer database by Delaware registered agents.
Finally, U.S. business executives, professional advisors, investors, borrowers, lenders and rating agencies are familiar with and generally have a favorable view of Delaware law as it relates to business entities. This level of acceptance among decision-makers in the U.S. capital and commercial markets is a major factor contributing to Delaware’s status as the forum of choice in the United States for the formation of business entities.
If your business was formed under the laws of the State of Delaware and you have having any sort of dispute from membership issues and valuations to lending or transactional work, the third-party neutrals of the Georgia Center for Arbitration & Mediation can you resolve your issues economically and efficiently. Mike Ledyard participated in writing the Delaware law establishing Statutory Trusts, he was vast experience advising and working with Delaware LLCs and corporations, and he is available to mediator or arbitrate your dispute at our offices; he can also travel to you, or he can conduct the ADR remotely through our virtual services.
DISCLAIMER
The foregoing information is for general informational purposes only and is NOT intended to constitute legal or business advice of any nature. Readers are advised to seek competent Delaware legal counsel before relying upon any of the information set forth above.
