Delaware
Delaware Supreme Court upholds reforms to curb ‘DExit’ concerns
This story was produced by Spotlight Delaware as part of a partnership with Delaware Online/The News Journal. For more about Spotlight Delaware, visit www.spotlightdelaware.org.
A Delaware law passed last year in the wake of escalating assaults on the state’s corporate brand shielded powerful company leaders from facing certain lawsuits brought by smaller investors.
What it didn’t do was violate the Delaware Constitution, the state Supreme Court ruled on Friday, Feb. 27.
More than three months after hearing arguments, the justices ruled that the corporate law reform – known as Senate Bill 21 – did not strip Delaware’s prominent Court of Chancery of its constitutional authority to decide when a business deal is fair.
“The General Assembly’s enactment of SB 21 falls within the ‘broad and ample sweep’ of its legislative power,” the justices stated.
The ruling ends a bruising fight in Delaware over when the state’s business court should allow small-time investors to interrogate insider deals struck within companies by founders or other business leaders.
The ruling also averts what could have been an embarrassment for the state’s legal and political establishment had the high court overturned the law.
More than a year ago, Tesla CEO Elon Musk — the world’s richest person — was calling on business leaders to move their companies’ legal homes out of Delaware. Musk had launched the campaign, which became known as “DExit,” after a Delaware Chancery Court judge ruled that he could not accept a multibillion-dollar pay package from Tesla.
Just as the campaign appeared to be gaining a foothold, Gov. Matt Meyer, legislative leaders, and Delaware attorneys who represent corporations threw their collective heft behind SB 21.
They argued then that the legislation amounted to a “course correction” that would bring the state’s business courts back into alignment with rulings from a decade ago. Many also said the bill was needed to pacify executives who were considering following Musk’s calls to move their companies’ legal homes out of Delaware.
In response, a cadre of critics — which included national law professors, pension fund attorneys, and a handful of progressives within the Delaware legislature — derided SB 21 as a “billionaires bill.”
Some also argued that the legislation was the latest in a string of recent changes to Delaware corporate law that have shifted the state away from protecting shareholder rights and toward giving greater deference to powerful executives.
Meyer and others SB 21 supporters rejected those characterizations last year. And on Friday, he celebrated the Supreme Court’s ruling.
In a statement, he said the decision affirms that “Delaware is the gold standard locale for global companies to do business.” He also stated that the number of companies that maintain their legal home in Delaware had increased throughout 2025 despite the DExit campaign.
“In short, SB 21 is working, and I’m glad it will continue to be the law,” Meyer said.
The legal arguments for SB 21
When arguing against SB 21 in front of the Supreme Court last fall, one attorney asserted that the new law removed the Chancery Court’s time-honored and constitutional duty to say what is fair – or equitable – in a business dispute.
The attorney, Gregory Varallo, argued that by removing a shareholders’ ability to sue their company, the law reduced what he described as the immutable power of the Court of Chancery to oversee a “complete system of equity.”
During his arguments, Varallo also offered the justices an unusual acknowledgement, stating that he knew that his stance was unpopular — and that he understood “well the pressures on this court.”
The comments were a likely reference to the consensus of big business groups and the state’s political establishment that believed SB 21 was necessary for Delaware to remain the world’s preeminent corporate domicile.
Following Varallo, Washington, D.C.-based attorney Jonathan C. Bond defended SB 21, in part, by characterizing his opponents arguments as unprecedented. If adopted, he said they would imperil several existing Delaware laws that go back decades.
He also argued that changing the rules of corporate law – as SB 21 did – “is the same as wiping out jurisdiction merely because it makes some plaintiff’s claims harder.”
Also arguing in favor of SB 21 during the hearing was William Savitt, an attorney with the Wachtell, Lipton, Rosen & Katz – among the most prominent corporate law firms in the country.
Last spring, Meyer hired Savitt’s firm to represent the state in the legal defense of SB 21 for a budget rate of $100,000. By comparison, Wachtell Lipton charged Twitter $90 million in 2022 to ferry that company through its arduous, four-month-long acquisition by Elon Musk.
Wachtell’s client list also includes Mark Zuckerberg and other Meta executives and board members, who last summer settled a seven-year-long, multibillion-dollar shareholder lawsuit in the Delaware Chancery Court.
During his arguments on SB 21, Savitt said equity as determined by judges must follow the statutes created by the legislature, and “not displace the law.”
“No natural reading of the words (of the Delaware Constitution) support plaintiff’s position,” he said.
Get stories like this delivered to your email inbox by signing up for the free newsletter at spotlightdelaware.org/subscribe.
Slithery intruder makes appearance on beach
A huge snake was spotted making its way across the beach in Ocean City, Maryland. Luckily, the reptile was not venomous.
It could be one of your worst nightmares.
You’re enjoying a summer day in the water when you feel something brush past your leg. You turn, and there’s a snake.
While the chances of that scenario playing out are highly unlikely, there is a good chance the waters you enjoy playing in are also inhabited by snakes.
The danger level might not be as high as Florida’s, but it’s still something to be aware of when you go into the outdoors.
Here’s a look at the snake-infested lakes and ponds in Delaware, according to worldatlas.com.
Nanticoke River
The Nanticoke River runs 64 miles from southern Delaware to the Chesapeake Bay, winding through marshlands, forests, and farmland along the way. The habitat is perfect for the Northern watersnake. The snakes are nonvenomous, but they will defensively strike if you corner them or try to hold them.
The Brandywine
This is where you need to be very careful. The Eastern copperhead is a confirmed and documented presence, and a small group exists at Alapocas Run State Park along the water near Wilmington. The snakes won’t chase you, but if you step too close or don’t see them, they will strike. You should watch your step near log piles and rocky outcrops.
Millsboro Pond
Millsboro Pond is the home to perch, black crappie and frogs, which is the perfect food for snakes including northern water snakes, plain-bellied water snakes, queen snakes and common ribbon snakes.
The Eastern copperhead lives in southern Sussex County, which includes the pond. However, sightings are rare. It’s something to watch out for when you are at the pond.
Lums Pond
The pond, located in Lums Pond State Park, has numerous varieties of snakes. However, the inlets and small islands are perfect for northern water snakes to bask in the sun. The snakes thrive on fish and amphibians and benefit from the surrounding forest and wetlands.
One snake to watch for is the ringneck snake. It has a mild venom and its teeth have trouble puncturing human skin, but for those with venom allergies, you should treat it like any other venomous species.
Trap Pond
Trap Pond, located in Trap Pond State Park, is noted for its cypress swamp. The bald cypress trees and the tree’s root structure provide a great hiding place and basking spot for eastern garter snakes and northern water snakes.
Silver Lake
Located in Dover, Silver Lake is lined with trees and vegetation, making it a great place for snakes. The northern water snake is seen here, but eastern kingsnakes are also occasionally seen in the wooded areas of the lake.
Garrison Lake
Garrison Lake is a popular spot in Kent County for fishing and boating. The marshy areas and dense vegetation are perfect habitats for northern water snakes, eastern garter snakes and eastern rat snakes. The wetlands are attractive to snakes due to the abundance of prey and the availability of cover.
Red Mills Pond
Red Mills Pond, located near Lewes, has a rich biodiversity supporting numerous amphibians and small mammals, which attract snakes. Among the snakes you may see in and around the pond are the northern water snake, eastern ribbon snake and eastern ribbon snake.
Del lawmakers discuss bill requiring teachers work with valid licenses
The bill is a response to revelations a school therapist fabricated his credentials before he was charged with sexual abuse of a child.
Delaware Online/The News Journal won the A-Mark Prize for Investigative Journalism for its reporting revealing hundreds of invalid teacher licenses in Delaware.
The work by reporters Kelly Powers and Esteban Parra led to lawmakers proposing a bill that would tighten licensing requirements for public school employees and penalize districts that retain unlicensed staff.
The judges cited the work for “meticulous and thorough reporting” and “a fair and balanced presentation of the situation.”
The A‑Mark prize honors excellence in watchdog and accountability reporting. It is backed by The A‑Mark Foundation, a nonpartisan nonprofit supporting investigative and unbiased social‑issue journalism, in partnership with the Maryland‑Delaware‑DC Press Association.
“The reporting from Kelly Powers and Esteban Parra reflects the very best of investigative journalism in Delaware – thorough, fair and impactful,’’ said Mike Feeley, executive editor of The News Journal and Delaware Online. “We are proud to see their work awarded with the inaugural A-Mark Prize in a highly competitive field.
“I congratulate all of Delaware Online’s award winners in this year’s MDDC Awards for their commitment to journalism that strengthens our communities,’’ Feeley said.
Delaware Online/The News Journal won a total of 18 awards May 8 at the MDDC Press Association’s annual conference.
The MDDC Awards recognizes news publications from Maryland, Delaware and the District of Columbia. For each category, a first- and second-place winner is chosen based on circulation divisions. A part of the largest-circulation division, Delaware Online/The News Journal competes against news sites like the Baltimore Sun, Baltimore Banner and Washington Post.
Here is the list of winners, with links to the stories that took home the prizes.
Best of Show
- News-Driven Art or Illustration: Luis Solano, “American’s deadliest habit”
First Place
Second Place
- Feature Story: Non-Profile: Xerxes Wilson, “Why this Delaware prison is making tattooing part of its educational programming”
- Sports Feature Story: Brandon Holveck, Martin Frank, “Eagles’ Saquon Barkley’s historic season built on selflessness, generational athleticism”
- Local Column: Critical Thinking: Xerxes Wilson, “Broken bones, brick walls and searching for accountability”
- Sports Photo (Feature): Benjamin Chambers, “Delaware wins 61-31 against UTEP in Conference USA regular season finale”
- Public Service Reporting: Krys’tal Griffin, “While these Delaware riders depend on Paratransit, the service still lags post-pandemic”
- Breaking News: The News Journal staff, “Delaware State trooper killed by shooter prevented other deaths, state officials say”
- News Page Design: Luis Solano, “American’s deadliest habit”
- Page 1 Design: Stephanie Lindholm, “Musical haven in Delaware”
- Continuing Reporting: Kelly Powers, Shane Brennan, “Your property taxes are changing. What Delaware homeowners should know about new laws”
- General Website Excellence, The News Journal
What to know about jury duty in Delaware
Here are some tips and information about what to do when you receive a jury summons in the mail in Delaware.
A lawsuit seeking to represent all people locked up by Delaware claims that prisoners are routinely left to “marinate” in a high-concentration pepper spray.
The lawsuit filed May 7 in Delaware Court of Chancery seeks an injunction barring correction officials from using the spray until leaders enforce rules the lawsuit says require staff to decontaminate prisoners after they are targeted.
In interviews, state prisoners have frequently described officers’ use of so-called OC spray, a more concentrated form of pepper spray only available to law enforcement, as cruel. Prisoners say the spray is deployed unnecessarily, recklessly, frequently and causes intense burning on the skin and through the respiratory system.
“Imagine taking a glass bottle, smashing it up and grinding it up and snorting that up your nose, then times that by 1,000,” said a former prisoner, William Davis, describing being sprayed during a previous interview about a similar use‑of‑force lawsuit involving Sussex Correctional Institution. “I felt it burn for days.”
Records obtained through a Freedom of Information Act request show OC spray — short for oleoresin capsicum — is used hundreds of times a year and is a frequent issue in Delaware prison lawsuits. The new ACLU lawsuit seeks class-action status on behalf of all Delaware prisoners and focuses on what happens after someone is sprayed.
The lawsuit claims officers routinely ignore training, policy and clear health risks by failing to properly flush and clean people after using OC spray. It argues the practice violates Delaware’s constitutional ban on “cruel” punishment.
Prisoners allege they were sprayed while handcuffed, naked or already subdued, including one who said officers sprayed him through his cell door while he was locked inside, and another who said he was forced during a strip search to touch his genitals and then his mouth after being sprayed.
In each of these episodes, the lawsuit states that prisoners were not properly decontaminated, some were left unattended, returned to a contaminated cell, left in clothes drenched in spray and some were not allowed to shower for a day or more after.
“Refusing to decontaminate prisoners is cruel because it subjects them to hours of needless suffering. Prolonged exposure is also potentially deadly,” the lawsuit states.
Delaware Department of Correction officials did not respond to requests for comment.
The allegations of the lawsuit are built partially on declarations from eight named plaintiffs in Delaware prisons. Additionally, it leans on video and deposition evidence from two other excessive force cases the ACLU is litigating on behalf of Delaware prisoners.
In those other cases, several officers have testified in depositions that they had not decontaminated individuals they sprayed and were unaware if others had, the new lawsuit states.
The lawsuit also cites Department of Correction training materials turned over in other lawsuits. Policy and training documents outline that OC spray is only to be used when no reasonable alternative is available, not as retaliation or punishment and in short bursts from a safe distance.
A training presentation describes the health risks of OC spray and says sprayed individuals should be moved to fresh air, assessed for medical conditions and repeatedly flushed and wiped to decontaminate them.
It notes that people who have been sprayed must be monitored. It underscores these instructions with a red skull and crossbones.
Other litigation: New lawsuit claims excessive force used by Delaware officers during September prison raids
In interviews, prisoners have reported that officers would “empty the can” in long bursts directed closely at their face. The named plaintiffs in the new lawsuit include asthmatic individuals who said they were denied their inhaler after being sprayed.
Besides pain, OC spray can cause difficulty breathing, gagging, heart distress and blindness. It can also induce a feeling of suffocation and helplessness, according to a department training presentation. Failure to decontaminate can cause blindness, respiratory failure and skin conditions, the lawsuit states.
If sprayed too close, the OC molecules can cause what’s known as “hydraulic needling of the eyes” where the spray causes lacerations, the complaint states, noting that multiple prisoners in other states have died after being sprayed.
The lawsuit also claims that officers deploy OC spray in numerous ways, which include a grenade, fogger, spray, muzzle blast rounds, as well as pepper balls fired from a weapon similar to a paintball gun.
One of the named plaintiffs was shot numerous times by a pepper ball gun, rupturing the globe of his right eye. A separate lawsuit filed on behalf of that prisoner was dismissed because he didn’t address written complaints about the episode through prescribed channels inside the prison.
Rather than seeking damages for federal constitutional violations, the lawsuit asks only for an injunction forcing changes to decontamination practices. And instead of following the typical federal-court path for prisoner-rights cases, it was filed in Delaware’s Court of Chancery — the state’s business court, where cases tend to move more quickly.
It names Department of Correction Commissioner Terra Taylor as its lone defendant, claiming that the department has knowingly failed to follow its own policy regarding the spray’s use.
It also cites a deposition given by Taylor in other litigation in which she states there is no specific process for decontaminating those targeted with OC, that she hasn’t taken any steps to require officers to do so, and that she doesn’t believe there is an obligation to do so.
Contact Xerxes Wilson at (302) 324-2787 or xwilson@delawareonline.com.
-
Technology10 minutes agoDyson’s powerful 360 Vis Nav robovac is down to $279.99 for a limited time
-
World16 minutes agoAs Trump forces NATO to pay up, alliance races to close military gap with US
-
Politics22 minutes agoInside the US military playbook to cripple Iran if nuclear talks collapse
-
Health28 minutes agoFitness expert visits gyms nationwide, shouts out 4 clubs for ‘getting it right’
-
Sports34 minutes ago2026 INDYCAR Odds: Alex Palou Clear Favorite for Sonsio Grand Prix at IMS
-
Technology40 minutes agoGlobal scam crackdown leads to 276 arrests
-
Business46 minutes agoDisney’s ABC challenges FCC, escalating fight over free speech
-
Entertainment52 minutes agoWriters Guild staff union reaches deal, ending strike after nearly three months