Elon Musk, the CEO of SpaceX, announced in a post on X on Wednesday that the business has changed its state of incorporation from Delaware to Texas.
“SpaceX has shifted from Delaware to Texas as its state of incorporation! On the platform that was formerly known as Twitter, Musk stated, “I recommend moving to another state as soon as possible if your company is still incorporated in Delaware.”
The move comes after a Delaware judge nullified the $56 billion pay package of the billionaire founder and CEO of Tesla, an electric vehicle manufacturer, earlier this month. The CEO said he will organise a shareholder vote to change Tesla’s state of incorporation to Texas, where the company maintains its headquarters.
“The people have clearly voted in favour of Texas! Earlier this month, Musk declared on X that Tesla “will move immediately to hold a shareholder vote to transfer the state of incorporation to Texas” following a poll in which 87% of participants supported the company’s move to change its incorporation state to Texas.
Neuralink, Musk’s brain-chip implant startup, similarly shifted its incorporation state from Delaware to Nevada last week.
Additionally, In order to resolve a lawsuit that was launched earlier this week by 25 counties in California, alleging that Tesla was improperly treating hazardous waste at its locations around the state, Tesla has now agreed to pay $1.5 million.
Judge Jayne Lee of the San Joaquin County state court approved the settlement on Thursday, just two days after the counties filed a lawsuit alleging Tesla mislabeled waste at its facilities throughout the state, including paint materials, used batteries, and diesel fuel, and sent hazardous materials to landfills that aren’t allowed to handle them.
A request for comment from Tesla on Friday was not immediately answered.
In the settlement, the firm agreed to pay a $1.3 million civil penalty and $200,000 to repay the counties for the costs incurred during the inquiry, but it did not acknowledge any wrongdoing. It also committed to implementing waste management best practices and hiring an outside auditor to review its waste management procedures over a five-year period.
San Francisco District Attorney Brooke Jenkins stated in a statement that “even though electric vehicles may be better for the environment, the manufacturing and servicing of these vehicles still generates many harmful waste streams.”
