Senator Bryan Hughes Files Groundbreaking Bill to Transform Texas Corporate Law

FOR IMMEDIATE RELEASE: Feb. 27, 2025 Media Contact: Matthew Murdoch
Matthew.Murdoch@senate.texas.gov
Senator Bryan Hughes Files Groundbreaking Bill to
Transform Texas Corporate Law
SB 29 will cement Texas as the leading state for American business
Austin, Texas – Senator Bryan Hughes (R-Tyler) today filed a landmark bill promising to reshape
the American business landscape. Building on the strength of Texas' business courts, SB29 makes
sure that business decisions are made by Texas corporations, through their shareholders and
elected boards, and not third-party activists. With SB29, Texas shows that it is fast becoming the
leading state for business incorporations.
“SB 29 is groundbreaking legislation that will further solidify Texas as the nation’s leader in
business and economic development.” Senator Hughes said. “SB29 will draw even more
companies to Texas, enabling them to create jobs and continue the Texas Miracle.” Hughes
continued, “I thank Lt. Governor Dan Patrick for his leadership in this important step to make
Texas the unrivalled leader in business economic development and jobs.”
In addition to their business and operational headquarters, American companies must also
choose a state for their “legal home.” Almost 70% of all Fortune 500 companies are incorporated
in Delaware. That means many companies, including those that operate in Texas, are shackled by
a burdensome Delaware legal establishment dominated by activist judges and special interest
groups that deliberately disrespect the rights of shareholders. This inhibits the growth of
American enterprise by imposing complex and unpredictable laws that interfere with
shareholder-aligned decision-making designed to promote innovation and growth.
By offering Texas as a refuge from this activist storm, SB29 will draw American enterprise and the
jobs it creates home to Texas. It does this by ensuring that Texas businesses can confidently
deploy capital, codifying the business judgment rule in Texas and adopting other common sense
provisions to let boards and shareholders focus on managing their business and not their legal
risks. Texas can and must offer an environment for corporate governance that encourages
American companies to do what they do best: deploy capital, drive innovation, create jobs, grow
the economy, and build a better future for Texans and all Americans. SB29 does that.