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Bill

Bill

SB 98

AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO THE DELAWARE LIMITED LIABILITY COMPANY ACT.

153rd General Assembly (2025-2026) Introduced by Darius Brown and 6 co-sponsors

Delaware updates its Limited Liability Company Act to modernize operational and organizational rules affecting nationwide business formation practices.

Signed by Governor
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WeVote Research Nonpartisan
Bill Summary · SB 98

Legislative bill overview

SB 98 amends Delaware's Limited Liability Company Act (Title 6 of Delaware Code) to modernize or clarify provisions governing how LLCs operate, organize, and are taxed. The specific amendments are not detailed in the provided information, but the bill successfully passed both chambers and was signed into law in June 2025.

Why is this important

Delaware is the nation's premier business formation jurisdiction, with over 1 million registered LLCs. Changes to its LLC law can affect business practices nationwide, particularly for small businesses, startups, and entrepreneurs who choose Delaware incorporation for liability protection and operational flexibility.

Potential points of contention

  • Lack of transparency: The bill summary provided does not specify which provisions were amended, making it impossible to identify what stakeholders opposed or supported specific changes
  • Business compliance burden: Depending on amendments made, existing LLCs may need to update operating agreements or filings to comply with new requirements
  • Competitive positioning: Changes to Delaware's LLC framework could shift formation choices toward or away from Delaware compared to rival states like Nevada or Wyoming

Compiled from official sources — confirm details with the bill’s official record.

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