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Account LoginReincorporation Trends Reveal a Strategic Reset in Corporate Governance (2022–2025)
As corporate governance, litigation exposure, and regulatory scrutiny intensify, where a company is incorporated is no longer a static legal choice—it’s a strategic one. A new CompanyIQ® analysis of Russell 3000 companies by MyLogIQ shows reincorporation activity accelerating and diversifying in ways that signal a broader rethink of corporate legal strategy.
Delaware Remains Dominant—But Its Grip Is Loosening
Delaware continues to lead reincorporation activity, with 48 companies moving their legal domicile there between 2022 and 2025, representing 65% of all business residences changes. Its mature case law and predictable governance environment still make it the default choice for public companies.
However, MyLogIQ’s analysis highlights a critical inflection point: Delaware’s share of reincorporations dropped sharply in 2025 after peaking above 90% in 2023. By 2025, Delaware accounted for less than 40% of reincorporation changes, a meaningful departure from historical norms. In addition:
- Nevada ranked second, with three companies choosing the state in 2025.
- Texas, California, Illinois, and Minnesota each recorded two companies redomesticating, including Tesla’s high-profile move from California to Texas.