Texas Courts Must Enforce Corp. Forum Selection Clauses
February 11, 2014, 2:29 PM EST
Law360, New York (February 11, 2014, 2:29 PM EST) -- Texas, with its low tax and regulatory environment, skilled workforce, and abundant natural resources, proudly boasts that it is home to a large number of publicly traded companies. But the majority of those Texas-headquartered companies choose to be incorporated outside of Texas, primarily in Delaware, with its well-developed body of corporate law.
By choosing to invest in Delaware corporations, shareholders expect that Delaware law will govern any issues concerning the “internal affairs” of the corporation. And, when lawsuits arise involving the internal affairs of a Delaware...