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NEW: DELAWARE’S CHANCERY COURT NOMINEE SAYS DEFERENCE TO CORPORATE LEADERS IS “AT THE HEART” OF THE STATE’S CORPORATE LAW.
Kyle Lachmund, Gov. Matt Meyer’s nominee for vice chancellor, appeared before the Delaware Senate Tuesday and emphasized the business judgment rule ..the presumption that disinterested corporate leaders making informed, good-faith decisions should receive judicial deference.
“That is the default in Delaware — we defer to disinterested directors and officers,” Lachmund told lawmakers.
The Senate committee advanced his nomination. Full Senate confirmation is still required.
The comments come as Delaware continues trying to navigate intense scrutiny from founders, boards and investors over the state’s corporate-law framework and a wave of companies considering other jurisdictions.