Ad from The DE News Journal December 17 2020
Once again, a newspaper in Europe is writing about America’s First State — that’s Delaware, in case you didn’t know. In my view, this continuous and suspiciously absurd, seemingly biased operation that Chancellor Bouchard conducts in his Chancery Court is again raising its ugly head on the world stage.
This time it is mostly about racial diversity in Delaware, and a Spanish newspaper is writing about it. Criticism is being leveled at both the Skadden Arps law firm and the Delaware Court system itself. Frankly, folks, I don’t care about forced diversity and I think affirmative action has gone way further than it ever should have. I am about hiring the most qualified individual, regardless of race, sex, religion, or sexual orientation. But it is clear that the issues with the Delaware courts go beyond Republican and Democrat. We may not all agree on the solution, but it sure seems like we can agree there’s something rotten going on in Delaware’s courts, when rich country club friends are scratching each other’s back with taxpayer money.
Folks, please read the article below and get the European perspective which is significant, because it indicates the long term, international effect that Bouchard’s subjective rulings have had on business and Delaware’s future as an international incorporation destination.
The criticisms that this state has received from the North American east coast, once known for its fiscal advantages and its ability to attract companies, have diminished its competitiveness.
The TransPerfect case is one of the most complex and media in recent years. As a result of this controversy, more than 600 jobs in Barcelona and 5,000 worldwide were endangered, and the serious shortcomings of the Delaware judicial system that directly affect their businesses and citizens have been revealed.
The criticisms that this State has received from the North American east coast, once known for its fiscal advantages and its ability to attract companies, have diminished its competitiveness. Delaware citizens have watched helplessly as Supreme Court Judge Andre Bouchard decreed in recent years the forced sale of a private company with benefits.
This puts jobs at risk and granted control of the group to the Skadden law firm for personal affinities by hiding the records of the TransPerfect case to public opinion, among others. These actions have caused a negative impact on the prestige of the Delaware judicial system among American companies, institutions, and professionals.
Protests for lack of diversity
The lack of diversity has opened a new chapter in the crisis of its judicial system. The problem has gained greater social prominence since the U.S. Department of Justice opened an investigation to Judge Bouchard and Robert Pincus, a partner of Skadden, who managed the process of selling the TransPerfect company for alleged discrimination during 2017 when the company was under your control.
Civil and social rights activists such as the Reverend Al Sharpton and Dale Dennis have charged against the lack of diversity and led marches in Delaware claiming that judicial estates are not filled only by white men. They have also undertaken a commission to study diversity in the judicial system of the State of Delaware to give notoriety to this problem.
Reverend Dennis has led a protest rally at the doors of the Senate. And it is that the Executive Committee of this House has approved that Judge Paul Fioravanti replace the magistrate Tamika Montgomery-Reeves as a member of the Supreme Court of Delaware, while Al Sharpton has been denied the opportunity to testify in said judicial hearing.
Skadden, in the center of criticism
The Skadden Law Firm has been one of the main focuses of social criticism. Despite making a flag of diversity in their communications, the reality is that 9 out of 10 associates of the firms are Caucasian.
Bouchard and Pincus come from this firm, both involved in the controversy of the TransPerfect case and investigated by the US Department of Justice for alleged racial discrimination. In this sense, Pincus acted as the judicial administrator of the company during the sale process and during his tenure, he reduced the benefits in a proportionate manner to minority employees. In parallel, it swelled the bill in favor of Skadden.
4.1 million sanction
The firm had to pay about 4.1 million euros of sanction in 2019 for breaching the US Foreign Agents Registration Act (FARA) in the political lobbying works carried out with the convicted Paul Manafort. They are accused of benefiting the Government of Ukraine in 2012 and 2013 in favor of Viktor Yanukovych, president of that country from 2010 to 2014.
Sharpton and Dennis have affirmed by letter that, due to Skadden’s high weight in the State’s judicial system, it is precisely those who have the most obligation to promote diversity among their associates and the judges of the State. In the statement, they have also asserted that “the Delaware Court should resemble the people of Delaware, not just a minority.”
Folks, it’s amazing how sunlight acts as a disinfectant for corruption. TransPerfect won the right to see the bills in their Chancery Court case, but I think it’s only because they used a lawsuit in Nevada to successfully shed a spotlight on what Bouchard was doing, which in any other court would be deemed corruption in my view.
After four years, and, from what I understand from sources at the company, $14 million later, he is finally allowing TransPerfect to see itemized invoices from his old law firm, Skadden Arps for work allegedly performed by Chancery Court-appointed Custodian Robert Pincus.
That all sounds nice but the order has not been signed and in my view, there is no chance Bouchard is going to rule against his former colleagues at Skadden Arps and order them to produce a real itemized bill. If he did, he would risk exposing 4-years of court-sanctioned money siphoning from TransPerfect while also risking folks seeing potentially padded Skadden bills.
I think Bouchard wants the public to believe that he is being transparent, but nothing that has happened in this case has been transparent and there is no reason to believe anything would change now. Why has the court-appointed custodian wanted his bills to be hidden in the first place? And why did Bouchard threaten to hold TransPerfect in contempt with a $30,000 a day fine if they didn’t withdraw their lawsuit in Nevada? In my opinion, the only answer that makes sense to me folks is that there is something to hide.
If there is nothing to hide, why is the custodian fighting to keep his bills a secret? Why hasn’t Bouchard ordered him to turn over his bills without lawyers spending thousands of dollars telling him why? The only conclusion I can see is that in my opinion, Bouchard is protecting his Skadden-buddy Pincus.
If the court doesn’t order a custodian to turn over his bills to the company that is paying those bills, then there is no transparency. When will the corruption end?!
Please read the Delaware Business Court Insider article below, which recaps the initial news from Bouchard to open up Skadden’s bills. The story explains the latest events.
As always, your comments are welcome and appreciated.
By Tom McParland | October 21, 2019
Despite being held in contempt last week, TransPerfect Global Inc. has won its Chancery Court bid to access the details of bills being paid to the former Skadden, Arps, Slate, Meagher & Flom partner appointed to oversee the company’s court-ordered sale.
Chancellor Andre G. Bouchard said Monday that he would grant a request by the New York-based translation services company and its CEO, Philip Shawe, to see what type of work it was being charged for, as well as the billing rate, time spent and positions of the Skadden attorneys working on the case.
The ruling, which Bouchard said he planned to formally enter later this week, ratcheted down tensions in a two-state standoff between Shawe’s legal team and attorneys for Robert Pincus, the court-appointed custodian in what has become Delaware’s most vexing legal drama.
The latest spat centered on bills Pincus submitted for some expenses he incurred following the 2015 sale, including costs related to two lawsuits in New York state and federal court stemming from the sale.
Shawe, who won the court-mandated auction following a bitter battle with company co-founder Elizabeth Elting, argued that he should be able to see a full list of itemized expenses, and TransPerfect altogether refused to pay two disputed bills from June and July. The company then sued Pincus in its new home-state of Nevada, seeking a declaration that it was under no obligation to indemnify Pincus for his role as a former tie-breaking director of TransPerfect.
Pincus responded by asking Bouchard to hold TransPerfect in contempt for trying to undermine the Chancery Court’s exclusive jurisdiction over the case.
On Oct. 17, Bouchard agreed that TransPerfect had “intentionally and willfully violated court orders and said he would fine TransPerfect $30,000 per day if the company did not dismiss its Nevada suit by Monday. However, that ruling did not touch on TransPerfect’s gripes about Pincus’ billing.
In a brief telephone conference with counsel Monday morning, Bouchard said he would grant TransPerfect’s request out of “practical concerns” that TransPerfect had raised, even though he disagreed with the company’s legal analysis. Under the order, TransPerfect would be able to challenge the bills in court.
Nothing in the ruling, he clarified, was meant to walk back his ruling on contempt. “There’s a right way and a wrong way to do things,” Bouchard said. “Seeking to undermine the court’s exclusive jurisdiction in the wrong way.”
Attorneys for TransPerfect said after the hearing that they had gotten all they wanted with regard to billing and confirmed that they would, in fact, withdraw the Nevada suit before the end of the day.
Because of the victory today in Delaware, we are withdrawing the Nevada suit,” Shawe’s lawyer, Martin Russo of Kruzhkov Russo in Manhattan said in a statement. “There is no fine, no contempt, and there is finally going to be clarity on Skadden Arps’ billing, as we had called for.”
Shawe, likewise, said the ruling was a “major win for transparency and openness in the Delaware courts” and that Skadden’s billing would now be subject to “some level of review.” A spokesman confirmed that TransPerfect still intended to appeal last week’s contempt ruling.
Skadden, which represents Pincus, said the firm was “pleased with the court’s well-reasoned decisions, which adopt Skadden and Mr. Pincus’s position that TransPerfect and Mr. Shawe are in contempt, were in violation of applicable fee orders, and should be permitted access to invoices, but only in accordance with appropriate procedures.”
Monday’s ruling followed an escalation in rhetoric aimed at Bouchard over his handling of the TransPerfect case. Shawe and his team have been fiercely critical of Bouchard throughout nearly five and a half years of litigation. Last month, however, a TransPerfect-linked group ran a television ad in the Delaware market calling out Bouchard’s wealth and connections as part of a pressure campaign aimed at keeping him from being nominated to an opening on the state Supreme Court.
The Delaware legal community was swift in its condemnation of the ad and its message, calling it nothing more than an unwarranted attack seeking retribution against the chancellor.
Shawe’s spokesman has denied any involvement on the part of his client, and the group’s leader said it had taken no money or direction from Shawe.
Still, Russo said last week that Bouchard has a “bone to pick” with Shawe.
“Why hasn’t the chancellor recused himself,” he asked rhetorically, in a statement.
Bouchard did say Monday that he would wait until at least late Wednesday to officially enter his billing ruling, after David Finger, Shawe’s Delaware counsel, said he would be withdrawing from Shawe’s team.
Contacted by phone Monday, Finger, of Finger & Slanina, said his decision was related to “confidential attorney-client” interactions, but declined to comment any further.
An attorney for TransPerfect said he believed “there is something in the works” and that Shawe planned to substitute counsel within one to two days.
Why have evidence or witnesses to make your case in Delaware’s $250 million TransPerfect fiasco? When your name is Kevin Shannon, and your friends are wearing the robes, in my opinion, you don’t need evidence or witnesses — cause you have the game rigged in your favor.
If this isn’t illegal, it surely ought to be. Frankly, I see this as a disgusting and disturbing view into how our Chancery Court apparently now works?
After following Andre Bouchard’s first couple of years, which I viewed as suspect, followed by his mismanagement of the TransPerfect Global case, I decided to Google the names of the folks involved in the case to see if my suspicions were correct. Were there actual conflicts of interest and personal connections?
Folks, please look at the boondoggling schedule I was able to come up with by doing that digging on Google: Kevin Shannon of Potter Anderson, with Andre Bouchard (well-documented BFF) and Leo Strine, in and around the 5 years of shame related to the TransPerfect case.
I could write a serious diatribe about how corrupt this appears to be, just by referencing the Delaware Judicial Cannons, which are clear and on point, but I will let the dates and facts speak for themselves. How dumb these people must think the Delaware public is??!
Folks, after looking at the facts, it is hard to fathom for me — and should be for any reasonable person — when seeing the incestuous relationships between these individuals and their conflicts of interest, that this judicial arrangement, which apparently is condoned by the Delaware Legislature, is just plain wrong!!!
To add insult to injury, for Bouchard and Strine, this boondoggling is on the tax- payers’ dime.
Look for yourself:
(and these are just the one’s we know about from Google?!?)
Shannon and Strine (and only 2 others)
Shannon, Strine, and Voss (works with Pincus at Skadden)
There you have it folks — clear evidence of these incestuous connections and when you put these relationships together with the actions of the same players combined with the rulings from Bouchard and Strine and then add the former business partner from Skadden Arps, Robert Pincus, into the mix as the appointed Custodian in the TransPerfect case, all working in unison to seemingly profit from the case. I cringe at the obvious appearances of impropriety and the possible corruption. There should be no doubt about the integrity of these Courts. Unfortunately, they are suspect and it is right in our faces!
I urge you to contact your legislators and tell them about your concerns! This will be an issue in the 2020 election.
After Chancellor Andre Bouchard’s capricious and subjective rulings in the TransPerfect case, causing in my opinion, Delaware to drop from #1 in perceived equity and justice to #11 in a national survey, it is obvious to any true businessman and indeed many intimidated lawyers, that the Delaware law allows the judges in this court to exercise omnipotent rights to adjudicate any way they see fit — contrary to existing law or policy. The bottom line is that the Delaware Court of Chancery has become way too powerful because of the incestuous relationships within the system, which allow it to operate accordingly. In the TransPerfect case where Chancellor Bouchard was so obviously biased and improper, in levying unprecedented sanctions on CEO Philip Shawe to the tune of $7.1 million dollars and ruling that the company had to be sold contrary to the “Takings” law of the 5th Amendment, was simply outrageous. His actions and suspicious connections with the plaintiff’s attorney and former business partners at the infamous law firm of Skadden Arps (fined $4.6 million by the federal government for illicit lobbying activities), especially with his former associate Robert Pincus, who he appointed as TransPerfect’s custodian. Bouchard approved millions of dollars of unsubstantiated and un-itemized bills by Pincus, which made he and many of his cronies rich beyond anybody’s wildest dreams. I consider this the Rip-Off of The Century, all tied up in a nice little package that was approved by the Supreme Court under Bouchard’s former intern and Skadden Arps partner- Chief Justice Leo Strine! This, along with the power given the Chancery Court and its Chancellors, makes the perceived equity in this once respected institution, now extremely suspect. Bouchard has gone beyond the pale creating appearances of impropriety that are not acceptable! The court he oversees is way too powerful, which gives license to possible corruption and arbitrary decisions. Unfortunately it is all condoned by the legislature and the closely knit members of the Delaware Bar Association. Invitation for Cronyism Folks, there are simple ways we can begin fixing this broken system. First of all, we can have judges’ cases picked in a random method, as is done in the rest of the country, instead of the current system in Delaware, which allows the judges to look over the docket of cases and pick the ones that they wish to pick for whatever reasons they wish to pick a case. If that isn’t an invitation for cronyism, I don’t know what is. Next, when a candidate is recommended by the Governor for any judicial position, complete vetting by the State Senate should be done instead of it being a rubber stamp. Bouchard’s Senate confirmation took only 15 minutes and no questions were asked. Third, there have got to be some law changes. One was attempted, forcing a Chancellor to provide a cooling-off period before ordering a dissolution of a company. Unfortunately, there was no political motivation to make it happen and the incestuous Bar Association opposed it. Limitation of Power There has to be some limitation on the Chancellor’s power where true equity and justice is provided. Change is indeed necessary, however I am not optimistic. Delaware is moving into extreme territory with open late trimester abortion, socialism, eliminating voters rights, and even the idea of making Delaware a sanctuary state. Why would it want to change its method of operation when everything is controlled by the Democrats who for all intents and purposes seem to be anti-business. Corporations are fleeing to Nevada and others are searching for any venue to incorporate other than Delaware! When Delaware completely loses its lucrative franchise taxes (which make up one-third of the state’s income) due to a lack of trust in the Chancery Court, then perhaps the State Legislature will implement change to inspire businesses to continue to incorporate in Delaware. Famous attorney and law professor and Constitutional scholar Alan Dershowitz, stated after dealing with Supreme Court Justice Leo Strine in an appeal in the TransPerfect case where Bouchard’s decisions were wrongly upheld, “Any lawyer that recommends to his client to incorporate in Delaware would be tantamount to legal malpractice.” That folks is a serious statement by a true expert and should be recognized for the concern it clearly states. There is something wrong with the Delaware Chancery Court and it should be fixed, but will it? Probably not is my educated opinion. As always, your comments are welcome and appreciated. I would love to hear what you think of reforming the Chancery Court. The recent article I posted concerning the law firm “Skadden Arps” getting fined by the feds a staggering $4.6 million dollars for illegally acting as a foreign agent (in my view, Skadden was aiding treason!) in relation to the Delaware’s Chancellor Andre Bouchard, Delaware’s Chief Justice of the Supreme Court Leo Strine, and the appointed (by Bouchard) Custodian at TransPerfect, Robert Pincus — who are all ex-Skadden lawyers. It’s so incestuous, it stinks to high heaven! The rulings in favor of Kevin Shannon by Bouchard, when Shannon could not call a single fact witness, the upholding by Strine on appeal of the main case (and the largest individual sanction in the U.S. was affirmed on appeal without even a hearing!!!), and the billing by Pincus of TransPerfect to the tune of over $25 million, which is simply outrageous, brings this judicial outrage to another level entirely. TransPerfect Global CEO Philip Shawe was ordered to make TransPerfect pay $25 million in fees, but not Shawe, nor the public, nor anyone else gets to examine the bills. Neither the public, nor the payer (TransPerfect) gets to know what was paid for, or if this $25 million was legitimately billed… absolute insanity folks! To go from the ridiculous to the obscene, we then have Kevin Shannon, Bouchard’s best buddy — who Bouchard hand-picked to join the St. Francis Hospital Board after he vacated his board seat. because he became the Chief Chancellor (without 1 day of bench experience, by the way) — got awarded $1.4 million in legal fees, also without any documentation, nor disclosure to the public! Why wouldn’t a law firm, fined $4.6 million by the Feds for serious crimes, pad their bills to the moon??! Since there was no disclosure by Bouchard and no way to check if the bills were valid, just pay, pay, pay to Bouchard’s Delaware cronies whatever they ask. They scratched his back to become the Chancellor, now I think he is scratching theirs? Folks, is that how this is supposed to work? In my opinion, it reeks of corruption. Again, I received an overwhelming response from the public about my last story of a 4-year injustice that would not have been tolerated in any third-world country, and damn sure should not be tolerated here. I say to you absurd cronies in the judiciary: You can fool people only so long, and then they start screaming from the tops of mountains! You are being exposed for suspicious activities, and if my readership has its way, you’ll be held accountable for these apparent improprieties. Bouchard holds half the documents in the entire case, and ALL of his friend’s $26.4 million in non-itemized bills wrapped up tight as a drum, and he refuses to release them to the public. Why? Because they could possibly incriminate him or his cronies? There is a high price to pay if you line your pockets with court-ordered money from private citizens. I wonder why Bouchard and Skadden Arps appear in my opinion to act above the law in Delaware and apparently continue to get away with it? Or are they?? Based on your feedback, it’s clear this cabal is finally being exposed and the folks are beginning to understand this disconcerting reality?? Bouchard’s continued actions and failure to disclose documents to the public have cast a doubt on Delaware’s credibility, while destroying our business-friendly image — and negatively impacting our economy, plus casting a darker shadow over the First State’s once-honorable and respected institution, our Chancery Court. As I often do when a story generates such significant outrage that something must be done, I have cut-and-pasted a sampling below from the many responses I have received. (The last names have been removed to protect these citizens from possible reprisals.) Please enjoy the comments and please keep them coming! I appreciate your feedback.1) From Dawn
Thanks for expanding my mind and understanding of Delaware politics through the TransPerfect debacle… eye-opening. Keep up the good work!
2) From Allen
IMPEACH BOUCHARD!
3) From John
Jud, It is extremely disconcerting to realize the incestuous connections between the Skadden Arps law firm, Justice Strine, Chancellor Bouchard, Robert Pincus — then the cute relationship between Kevin Shannon and our Chancellor. I wouldn’t put anything past these rotten bastards. Skadden Arps is corrupt and it sure makes me wonder about Bouchard’s integrity. The records must be released. How come Shawe has not sued to have then released through a “Freedom of Information Request”? Thanks for your outstanding work in bringing all of this to light. You should get a Pulitzer award! All the best!
4) From Linda
OUTRAGEOUS!!!! Where there is smoke there is fire. Bouchard is a disgrace to judicial integrity. Love your articles, Judson.
5) From Peter
JUDSON — This is an extraordinary situation and most disturbing. Nobody should ever have to worry that our Chancery Court could be corrupt.
6) From Carol
Hi Jud, This is beyond an impropriety. Here we have a corrupt law firm (Skadden Arps) and then Strine, Bouchard, Pincus all from the same law firm. They should make a movie about this crazy situation. Everybody is way too cozy in the Delaware Judiciary. I know we have a small state, but come on. Wow — is all I can say!
7) From Don
Hey JUDSON, Read your article and this one really is impactful. You made your point big time. Corrupt law firm, fined $4.6 million by the Justice department and the head of the Delaware Supreme Court and the head of the Chancery are from the same law firm? Bouchard’s handling of the TransPerfect case has been terrible and now he is preventing documents from being given out to the public? This guy at the best should be removed as Chancellor and at the worst should not be reappointed. Hope you will be around to testify when that time comes ! Keep up the great work. Your political articles are amazing, but this TransPerfect stuff is sensational.
8) From Erin
Great stuff JUD. What an excellent article and expose of Andre Bouchard. He has got to go. Keep up the great work!
9) From John C.
JUDSON, It’s a Simple answer: Absolute arrogance and greed!
10) From Eric R.
You are a loose cannon stirring the pot! As your wife Maria used to say as you stomped your feet up the stairs to your office, “Who are you gonna piss off now, Judson?” Keep it up, we know you are right and appreciate your guts. Love you, brother!
11) From Eric B.
I really enjoyed your article. Thanks for continuing to peel off the layers of deceit manufactured by Bouchard. I feel sorry for Mr. Shawe and anyone else that has to come before Bouchard’s kangaroo court.
Please make absolutely no mistake about it, Delaware is in huge financial trouble. After a few legislative band-aids were implemented to temporarily balance the budget in 2017, next year is going to be five times worse. Unemployment is rampant and Delaware’s incorporation bonanza is going to disappear, not only because of the increase in the cost of franchise taxes, but because business people nationwide no longer trust Delaware’s Chancery nor the Delaware Supreme Court to render fair and equitable decisions based on logic and legal precedent. The responsibility falls mainly at the feet of Chancellor Andre Bouchard whose controversial and subjective rulings in the TransPerfect case have rocked the nation’s business world. The appearances of improprieties in this unprecedented adjudication exposes the extreme bias, rampant cronyism, and corruption that has long plagued Delaware and has now caused the precipitous drop in Delaware’s ranking in the U.S. Chamber of Commerce Survey as the best place to incorporate in America, from first place to eleventh place! Interestingly, a few lawyers, a Court-appointed Custodian, and the law firm of Skadden Arps with the help of Delaware’s Chief Chancellor Andre Bouchard and Delaware’s Chief Justice Leo Strine of the Supreme Court (all interconnected and members or former members of the same law firm) have become filthy rich at the expense of TransPerfect. Protected by opposition from the Delaware Bar Association and certain ESTABLISHMENT LEGISLATORS who apparently have no interest in positive change, absolutely nothing has been done to repair the now broken reputation of Delaware. Senate Bill 53 (sponsored courageously by Senator Colin Bonini) was released from committee, but does not yet have the support needed to pass. My sources have reported that the combined fees to TransPerfect, based on Bouchard’s ridiculous manner in which he handled the case, are now over $150 million dollars… Insanity! I have followed and researched this case in detail, read all the transcripts, and interviewed many involved. I believe I know more about this case than any person on earth. I know when there is a grotesque injustice happening, and folks this TransPerfect case is the most grotesque I have ever seen. I predicted that Delaware would suffer the consequences of its recklessness, and what many are calling criminal behavior, a long time ago. I have also recognized when serious consequences are happening to the detriment of Delaware’s citizens. Hopefully this time someone will finally listen and do something about it. That being said, one of my readers forwarded one of my recent articles to a State Senator from Milford who is a Republican, voicing his concerns about this situation. The Senator’s reply, knowing about the fleecing of TransPerfect, the incestuous connections in the judiciary, the dissenting opinion by Justice Valihura, and the national criticism of Delaware’s unfriendly business reputation – dropping from # 1 to # 11 in a national survey, rudely said, “consider the source”. It is obvious to this writer and investigative reporter – that like this State Senator – there are many on both sides of the political aisle in the Delaware General Assembly, whose only care is to keep the status quo and keep everything within the good ole boy network, regardless of the damage to our state’s reputation and financial well being. Please read the article below and seriously take it under advisement when casting your future votes for choosing our state’s leaders. As always your comments are welcome. Respectfully submitted, JUDSON Bennett-Coastal NetworkChris Coffey
Published 10:06 a.m. ET Oct. 7, 2017
Although the regular troupe of Delaware judges and lawyers shrugged off the troubling fall from the number 1 spot to number 11 in the U.S. Chamber of Commerce’s business litigation survey, Delaware residents are acutely aware of the state’s recent rankings plunge.
Delaware has always shouted its top ranking in the chamber’s review, and rightly so. However, now that Delaware has tumbled out of the top 10 in most areas of the well-respected poll, the survey has been disregarded by the same groups that have taken pride in that ranking for over 15 years. They now focus on the methods of the survey instead of the content of the results.
Citizens for a Pro-Business Delaware began as the voice for the thousands of silenced TransPerfect employees who have been impacted by the uncertainty of an unprecedented decision by the Delaware courts. However, the message resonates so vividly for Delaware residents that thousands more have joined to express their concern for the employees who live in Delaware and neighboring states.
When legislators passed the TransPerfect bill out of committee last summer, it was because they heard from thousands of Delaware residents who saw the future ramifications of the court-ordered TransPerfect sale.
While many supported the bill, it appears that some legislators hoped that they could remain in good graces with a very powerful band of judges, lobbyists, and lawyers, dismissing their constituents’ voices. Many, including the chair of the Senate elections and government affairs committee, proclaim they want Delaware to be the beacon for corporate law, but then they refuse to listen unless the jobs are Delaware jobs.
If this keeps up much longer, Delaware jobs will fast follow as the state continues to plummet in the business rankings. If these jobs go overseas, the 11th ranking will look like a pleasant memory.
Unemployment is already on the rise in Delaware. Do we need more uncertainty? Average Delawareans, on the other hand, empathized with the families about to lose their income and saw how the TransPerfect sales will be perceived: A state court meddling in the affairs of a private company, risking thousands of American jobs and Delaware’s ability to keep and attract businesses incorporated in the state.
Now, the U.S. Chamber of Commerce has reported that over thirteen hundred business executives and lawyers who control companies that earn $100+ million in annual revenues no longer believe Delaware is even in the top ten of business-friendly states. And if Delaware’s litigation leaders’ reaction is to disregard this long-treasured ranking, how much further will Delaware drop?
As the TransPerfect sale continues, thousands of Americans may move closer to losing their jobs to overseas workers, a common translation industry practice. Citizens for Pro-Business Delaware will focus its efforts on keeping jobs here in the United States.
We want to see any potential winner of the custodian’s process to include a commitment that 80 percent of the domestic TransPerfect employees will remain in the United States for five years. We are calling on the governor and legislature to demand that any future outcome of this company involves leaving the jobs in the United States.
Every day, I speak with hard-working people who live in uncertainty about a process that feels rigged. A New York judge threw out the TransPerfect case based on its lack of merit yet after a second try in Delaware, an unprecedented ruling had led us to this scary place. The decision enriches a few Delaware elites, and one owner who wants to sell.
It subjects thousands of workers to massive uncertainty, and very possibly the loss of their jobs. The decision has helped to drop Delaware’s reputation for being the most business-friendly state, yet the courts continue.
If TransPerfect is sold and thousands of American jobs move overseas, how far will Delaware’s ranking fall? Will other companies incorporated in Delaware, like Ancestry.com and Dole, wait to see if Delaware disbands a company that is a global leader in translation services?
Citizens for a Pro-Business Delaware will continue to be the voice of thousands of TransPerfect employees and Delaware residents, as well as the supporters across the nation who recognize that Delaware is willingly leading the exodus of thousands of well-paying American jobs.
The custodian has tried to silence our efforts, but we will not kowtow to threats or intimidation. We will continue to fight for TransPerfect, and in turn Delaware. We will not back down from standing up for Transperfect employees. Delaware’s economy shouldn’t suffer even more because of a short-sighted unprecedented decision which could cost this country 3,500 jobs.
Chris Coffey is the campaign manager for Citizens for a Pro-Business Delaware, a group of TransPerfect employees and Delaware citizens working toward a solution in the case that preserves current jobs and the company.
“We arrived to the hearing with a full bus of TransPerfect employees,” said Chris Coffey, Campaign Manager for CPBD. “These employees have been ordered not to speak out against the court, but still risked attending the hearing to fight for their jobs. We hope that Delawareans will see the threat that the Chancery Court’s decision poses to Delaware’s economy and to more than 4,000 livelihoods. We urge them to sign the petition and stand with us to protect our state and its residents.”
CPBD was formed after the Delaware Court of Chancery ordered an appointed custodian to sell TransPerfect amid an internal dispute among company owners. Over the past few months, CPBD has been involved with court proceedings, submitting an amicus brief and arguing that the Court of Chancery appoint a custodian to act as a provisional director until the dispute is resolved – and continues to work with members of legislature to get the bill passed. “I am concerned that the TransPerfect case will negatively impact the state of Delaware – and I am actively working with Citizens for a Pro-Business Delaware to make sure our state keeps its long and well-deserved reputation as the state where businesses come from around the globe,” said Senator Colin Bonini. “We all want the same thing – to keep jobs in Delaware and to keep our state’s economy strong.” Citizens for a Pro-Business Delaware is a group made up of more than 2,200 members including employees of the global translation services company TransPerfect, as well as concerned Delaware residents, business executives, and others. They formed in April 2016 to focus on raising awareness among Delaware residents, elected officials, and other stakeholders about the issue. For more information on Citizens for a Pro-Business Delaware, visit DelawareForBusiness.org. Contact: Mary Urban, [email protected] Julijana Englander, [email protected] SOURCE Citizens for a Pro-Business Delaware