DoorDash is set to become a Nevada-incorporated company.
Shareholders controlling 54.2% of the delivery service’s voting power agreed to end its incorporation in Delaware and head west, according to a Tuesday filing with the Securities and Exchange Commission.
The move was made with the written consent of the shareholders, including cofounders Tony Xu, Andy Fang, and Stanley Tang, according to the filing. DoorDash’s board had unanimously recommended reincorporating in Nevada.
DoorDash is the latest company to decide to move out of Delaware. While it’s long been the top state for companies looking to incorporate, big names from Roblox to VC firm Andreessen Horowitz have left over the last two years.
Elon Musk famously reincorporated SpaceX in Texas after a judge in Delaware voided his $55 billion pay package in 2024.
DoorDash cited its own concerns about Delaware’s legal system in Tuesday’s filing.
“DoorDash’s management and Board believe that the Company will be best positioned to pursue its corporate strategy within the more predictable, statute-based legal environment that Nevada provides,” the company wrote.
Delaware has a reputation of legal precedents that are favorable to businesses, DoorDash’s filing reads.
“However, in recent years, a discussion has emerged in the market over the legal landscape in Delaware, including as a result of cases that reached what many viewed as surprising results, an increasingly litigious environment and high-profile litigation outcomes that involved companies with controlling stockholders,” it continues.
Other states, such as Nevada, “attracted attention as potentially offering a more business-friendly, agile and predictable environment,” the company wrote.
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