The Delaware Advantage

Issue 6.05

January 31, 2020

This Week in Dover

This week Governor Carney released his 2021 Recommended Budget. Some items were already covered in his State of the State, including a $50 million investment in clean water, and $50 million to build a new school in Wilmington and upgrade existing city schools.

The Governor also reiterated his commitment to holding budget growth with an eye on the future by keeping growth below the DEFAC benchmark (under 4% for this year). While our economy is currently strong, the budget continues to set aside money for the future ($161 million in total—just under $40 million this year) and using one-time money for one-time projects. The bond bill appropriation is the highest ever, with over $892 million allocated to capital improvements. Read more

WHAT IS THE COURT OF CHANCERY?

How it became part of the Delaware Advantage

Fueled by the legislature's forward thinking with the passage of the Financial Center Development Act in 1981, the State of Delaware is enriched by the diversity of the financial institutions that choose to do business in the state – adding another element to the Delaware Advantage. The financial services industry is comprised of tax paying international, national and state-chartered banks, savings banks, national non-deposit trust companies, state non-deposit trust companies, state limited purpose trust companies and banks with operations in the State.

We in Delaware often speak of and “promote” the Delaware Advantage – a combination of state-of-the-art corporate laws, banking and trust laws and a highly sophisticated court and judiciary. While other states may clone our statutes, they cannot replicate our Court of Chancery, and it’s 200 plus years of carefully considered body of case law. Read more

With over one million businesses incorporated in Delaware, including more than half of the Fortune 500, it’s no secret Delaware remains the First State for corporations and entities. M&T Bank and Wilmington Trust recognized this advantage over a century ago, and have held a steadfast commitment to the communities, individuals and businesses of all sizes that make up the fabric of Delaware. Founded by the du Pont family to manage its growing fortune, Wilmington Trust maintains its roots in Delaware as it prospers within the M&T family. Read more

DELAWARE'S CHANCERY COURT

An internationally respected part of the Delaware Brand

One of the attributes that distinguishes Delaware internationally is its court of business law. Why?

The Delaware brand is sought after across the world for several reasons and its Chancery Court is certainly one of them. Our Chancery Court is very well regarded around the world, and in fact the cases determined in Delaware’s Chancery Court are relied on throughout the world. Our judges are appointed, not elected, and that’s particularly important because it allows our state to have a level of experience on our bench that surpasses so many others. We have judges who practiced in these areas, they are experts in their field, they know the Delaware corporate law in and out. As a result, there is a very strong desire and an opportunity to apply corporate law in a way that is consistent, which is one of the key reasons people look to Delaware as an internationally recognized legal brand - you know what you are going to get. Read more

MONTHLY LABOR REVIEW

December 2019

Delaware’s seasonally adjusted unemployment rate increased by one-tenth of a percentage point to 3.9 percent in December. The last time Delaware’s unemployment rate was 3.9 was April 2018. Delaware’s unemployment rate has been rising since June when the rate was 3.2 percent. For all of 2019, Delaware’s unemployment rate averaged 3.5 percent, which is the lowest average annual unemployment rate since 2007.

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