Delaware – SB 47, effective August 1, authorizes public benefit corporations

July 19, 2013

Senate Bill 47 signed by the governor and effective August 1 authorizes creation of public benefit corporations by formation, conversion or merger. A public benefit corporation must identify in its certificate of incorporation the specific public benefit the corporation will promote and at least once every two years, issue to stockholders a statement with respect to its promotion of the public benefit(s) identified in its charter as well as its promotion of the best interests of those materially affected by the corporation’s conduct. The bill text can be accessed at http://legis.delaware.gov/LIS/lis147.nsf/vwLegislation/SB+47/$file/legis.html?open.  Additional information is available in a news item posted on the Secretary of State’s website at http://news.delaware.gov/2013/04/18/delaware-unveils-public-benefit-corporation-legislation/.