Corporations Can Vote in Some Delaware Elections, Judge Says (1)

Skip to contentBloomberg the Company & Its ProductsThe Company & its ProductsBloomberg Terminal Demo RequestBloomberg Anywhere Remote LoginBloomberg Anywhere LoginBloomberg Customer SupportCustomer Support Bloomberg Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world For Customers Bloomberg Anywhere Remote LoginSoftware UpdatesManage Products and Account Information Support Americas+1 212 318 2000 EMEA+44 20 7330 7500 Asia Pacific+65 6212 1000 Company AboutCareersDiversity and InclusionTech At BloombergPhilanthropySustainabilityBloomberg LondonBloomberg Beta Communications Press AnnouncementsPress Contacts Follow FacebookInstagramLinkedInTwitterYouTube Products Bloomberg TerminalDataTradingRiskComplianceIndices Industry Products Bloomberg LawBloomberg TaxBloomberg GovernmentBloombergNEF Media Bloomberg MarketsBloomberg TechnologyBloomberg PursuitsBloomberg PoliticsBloomberg OpinionBloomberg BusinessweekBloomberg Live ConferencesBloomberg RadioBloomberg TelevisionNews Bureaus Media Services Bloomberg Media DistributionAdvertising Company AboutCareersDiversity and InclusionTech At BloombergPhilanthropySustainabilityBloomberg LondonBloomberg Beta Communications Press AnnouncementsPress Contacts Follow FacebookInstagramLinkedInTwitterYouTube Products Bloomberg TerminalDataTradingRiskComplianceIndices Industry Products Bloomberg LawBloomberg TaxBloomberg GovernmentBloomberg EnvironmentBloombergNEF Media Bloomberg MarketsBloomberg TechnologyBloomberg PursuitsBloomberg PoliticsBloomberg OpinionBloomberg BusinessweekBloomberg Live ConferencesBloomberg RadioBloomberg TelevisionNews Bureaus Media Services Bloomberg Media DistributionAdvertising Bloomberg Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world For Customers Bloomberg Anywhere Remote LoginSoftware UpdatesManage Contracts and Orders Support Americas+1 212 318 2000 EMEA+44 20 7330 7500 Asia Pacific+65 6212 1000 News Podcasts Videos Home They've Got Next: The 40 Under 40 Leading Law Firms Survey Pro Bono Innovators Unrivaled Law School Innovation Program League Tables Bloomberg Law Reports®: Surveys Data-Driven Departments Rankings & AwardsBrief Analyzer Draft Analyzer Dockets Practical Guidance Points of Law Research Tools Log In Sign Up For Newsletters Bloomberg Law Antitrust Artificial Intelligence Banking Bankruptcy Before the Bar Benefits & Executive Compensation Bloomberg Law Analysis Business & Practice California Brief Cannabis Capital Markets Class Action Construction Labor Crypto Daily Labor Report Delaware Brief Employment Environment & Energy ESG Federal Contracting Health Law & Business Human Resources Immigration In-House Counsel Insurance International Trade IP Labor Relations Legal Ethics Legal Exchange: Insights & Commentary Legal Ops & Tech Litigation Litigation Finance Mergers & Acquisitions New York Brief Occupational Safety & Health Pharmaceutical & Life Sciences Privacy & Cybersecurity Private Equity Product Liability & Toxics Securities Social Justice & Diversity Tech & Telecom Texas Brief US Law Week White Collar & Criminal Bloomberg Tax Daily Tax Report ® Daily Tax Report International Daily Tax Report State Federal Tax Developments from Daily Tax Report ® Financial Accounting Payroll Tariffs Tax Insights & Commentary Tax Management International Tax Management Memo Transfer Pricing ESG Listen PrintEmailShare To:FacebookLinkedInCorporations Can Vote in Some Delaware Elections, Judge Says (1)May 26, 2026, 9:25 PM UTC; Updated: May 26, 2026, 10:20 PM UTC Mike Leonard Senior Legal Reporter Photographer: Daniel Acker/ Bloomberg Documents Ruling Docket Search by Topic dismissal voting rights choice of entity limited liability companies Corporations, partnerships, trusts, limited liability companies, and other “artificial entities” have the right to vote in Delaware elections under some circumstances, a judge said in a novel ruling Tuesday.Judge Craig A. Karsnitz rejected an ACLU challenge to a charter permitting voting in local elections by the entities that own most of the property in the Town of Fenwick Island, one of several municipalities in the state with similar provisions. Karsnitz dismissed the lawsuit from Delaware’s Superior Court, citing “the principle of one person/entity/one vote.”“Visions of faceless large corporations or even HAL controlling a small town are frightening and the stuff of science fiction,” but “trusts, partnerships, limited liability companies, and corporations are expressly recognized as ‘persons’ in the Delaware Code,” the judge said.The dispute over municipal voting in a tiny coastal community represents an unusual flashpoint in the decades-long fight over the free speech rights of corporations and the dark money flooding the American electoral system. The US Supreme Court held in 2010’s Citizens United v. Federal Election Commission that political spending counts as constitutionally protected speech.Ever since that ruling effectively ended corporate campaign finance regulation, the prospect of outright voting by business entities has served as fodder for both critics and comedians.Delaware, home to more corporations than people, is a fitting place for reality to outpace satire. The state constitutional provisions expressly enshrining corporate personhood reflect Delaware’s budgetary reliance on the billions in fees it raises annually from the more than 2 million business entities chartered there.Karsnitz, writing in a 19-page opinion Tuesday, rejected an array of constitutional arguments advanced by the ACLU, including the claim that entity voting dilutes the political power of living people.The lawsuit “does not allege discrimination based on race or political partisanship,” show “that entity property owners vote sufficiently as a bloc to usually defeat the preferred candidates of natural persons,” or assert “that Fenwick’s charter distinguishes between natural persons and entity property owners with the discriminatory intent to fence out natural persons,” the judge said.The town is represented by Brockstedt Mandalas Federico LLC. The ACLU is represented by its own attorneys.The case is Am. Civ. Lib. Union of Del. v. Town of Fenwick Island, Del. Super. Ct., No. S25C-12-003, 5/26/26. Continue Reading Learn more about Bloomberg Law or Log In to keep reading: See Breaking News in Context Bloomberg Law provides trusted coverage of current events enhanced with legal analysis. Learn more Already a subscriber? Log in to keep reading or access research tools and resources. Log In © 2026 Bloomberg Industry Group, Inc. All Rights Reserved Sign Up For Newsletters View Bloomberg Law's YouTube Submit A News Tip About Us Contact Us pro.bloomberglaw.com Do Not Sell Or Share My Personal Information 24/7 BLAW® HELP DESK 888.560.2529 help@bloomberglaw.com Terms of Service • Privacy Policy Copyright • Accessibility © 2026 Bloomberg Industry Group, Inc.
All Rights Reserved © 2026 Bloomberg Industry Group, Inc.
All Rights Reserved

A judge recently addressed the question of whether corporations, partnerships, trusts, and limited liability companies have the right to vote in certain Delaware elections, issuing a decision that emphasizes the principle of one person, entity, or vote. In this novel ruling, Judge Craig A. Karsnitz dismissed a lawsuit filed by the ACLU challenging a charter that permitted voting by these entities in local elections, specifically concerning the Town of Fenwick Island and similar municipalities in the state.

The judge noted that while visions of large, faceless corporations influencing small towns are speculative, the Delaware Code explicitly recognizes trusts, partnerships, limited liability companies, and corporations as legal "persons." This recognition forms the basis for the court's consideration of entity voting rights. The dispute highlights a broader tension between corporate personhood and municipal governance, reflecting an ongoing debate concerning the free speech rights of corporations and the flow of money into the American electoral system.

The court found that the lawsuit did not contain allegations of discrimination based on race or political partisanship, nor did it assert that the municipal charter intentionally distinguished between natural persons and entity property owners in a manner designed to exclude living individuals. Furthermore, the judge assessed that the entity property owners vote sufficiently as a bloc to typically defeat the preferred candidates of natural persons. This analysis refutes the constitutional arguments advanced by the ACLU that entity voting dilutes the political power of individual citizens. Consequently, the ruling acknowledged the status of these entities as recognized persons under Delaware law while upholding the principle that voting rights must be managed within the framework of the "one person/entity/one vote" principle.