Delaware's proposal to allow corporations run entirely by autonomous AI agents has drawn criticism from Republican lawmakers who fear it will shield business owners from liability and harm consumers. The plan, being developed by Secretary of State Charuni Patibanda-Sanchez in partnership with Norm AI, would create Artificial Intelligence Companies (AICs) operating within a 30-month regulatory sandbox, granting AI bots the right to sign contracts, file lawsuits, and make business decisions.
House Oversight Committee Chair James Comer wrote to Delaware Governor Matt Meyer requesting documents by November 9, expressing concern that AICs could protect "powerful AI companies and their investors from responsibility for reckless harmful actions." Comer also worried the legislation, reportedly drafted by corporate lawyer John Mark Zeberkiewicz, could enable "non-transparent forces seeking anti-competitive regulatory capture."
Supporters argue US states should establish AI-centric corporate structures before offshore alternatives gain traction. The legislation aims to "pilot agentic commerce in daylight, under supervision, with capital tied to liability." Notably, several major tech companies have moved incorporation to states like Nevada and Texas to make shareholder lawsuits harder to bring.
Source: Financial Times Companies · Summarized by HeadlinesBriefing