I had the pleasure this past summer of trying a case in the Delaware Court of Chancery. As a San Francisco business trial lawyer with clients and adversaries incorporated in Delaware, I had drafted many complaints with a Court of Chancery caption, and had even filed a few. But this was the first one to go to trial. In short, it was a wonderful experience, with some lessons for how litigation ought to be conducted everywhere. What follows is my rookie’s guide to this interesting and innovative court.
For those unfamiliar with the Court of Chancery, it’s the Delaware court system for equitable claims and equitable relief, a throwback of sorts to the English division of labor between courts “at law” and those “in equity.” Most courts have abandoned the distinction, but Delaware has continued to embrace it with a passion. There is a single “chancellor” and four “vice chancellors,” nominated by the governor and confirmed by the state senate. Over the last 200-plus years, these judges and their predecessors have focused on the equitable issues presented by the world’s largest corporations in mergers, proxy fights and other aspects of corporate governance, as well as other business disputes with equitable issues, leading the court’s website to proclaim that “its unique competence in and exposure to issues of business law are unmatched.” It’s hard to disagree.
