There is no federal corporation code, which means that a company can incorporate only under state, not federal, law. The decision about which state to incorporate in is important because the organization must live by the laws of whichever state it chooses for incorporation. Despite its small size, more than half of all public companies have incorporated in Delaware, giving it disproportionate influence on corporate law.
The government is charged with creating regulations designed to protect business. However, state regulations can sometimes differ from those created at the federal level.
(Be sure to answer all 4 prompts)
1. Compare your own state's (OHIO) statutes for protecting business against government regulations.
2. Identify areas that are similar and those that are different.
3. Determine whether the state or the federal government provides greater protection. Provide rationale.
4. Do you believe a federal system of corporate registration would help to ensure equal protection for all businesses? Why or why not?