Delaware Judge Weighs Sending Corporate Overhaul to Justices (2)

A major overhaul of Delaware’s best-in-class corporate laws that bitterly divided the state’s legal community earlier this year may be on a fast track to its top court.

The chief judge of Delaware’s elite business court, Chancellor Kathaleen St. J. McCormick, said Thursday that she’d like the Delaware Supreme Court to weigh in on a constitutional challenge to the law, state Senate Bill 21. The legislation, which took effect in late March, replaced several longstanding legal guardrails around insider transactions with a safe harbor for dealmakers.

The safe harbor and another section making the bill retroactive have ...