Delaware’s Jurisdiction Over Directors
Professor Eric A. Chiappinelli is the McDonald Professor of Law at Texas Tech University and has published the second of a trilogy of articles on the topic of personal jurisdiction that Delaware exercises by statute over those who serve as directors of Delaware corporations. In this latest article, entitled The Underappreciated Importance of Personal Jurisdiction in Delaware’s Success, he argues that:
… Delaware’s role as the center of stockholder litigation, which is currently threatened, has been rooted in two unique but unconstitutional approaches to personal jurisdiction over fiduciaries. Delaware is using several aggressive techniques to entice and coerce stockholder litigation to be filed exclusively in Delaware. However, until Delaware addresses serious problems with its personal jurisdiction statute, its other attempts to retain caseflow will ultimately be ineffective.