DE SB113

Amends Delaware Code § 160(c) to clarify voting restrictions on shares of a corporation's capital stock held by other entities.

Shares held by another entity are not entitled to vote or be counted for quorum purposes if the corporation directly or indirectly holds a majority of the other entity's voting power or otherwise controls that entity.

Extends the restriction to both corporate and non-corporate entities (such as partnerships, LLCs, or other business forms) controlled by the corporation.

Preserves the right of corporations to vote stock held in a fiduciary capacity, including their own stock.

Effective date: August 1, 2021.