USA: Is Delaware superior?

A recent post on the excellent Delaware Corporate and Commercial Litigation Blog brought to my attention several articles in the University of Illinois Law Review, volume 2009, issue 1, which explore the reasons for Delaware being the most popular state for company incorporation. According to the State of Delaware website, over half of all US publicly traded companies and 63% of the Fortune 500 are incorporated in Delaware.

Issue 1 begins with an article by Professors William J. Carney and George B. Shepherd, titled "The Mystery of Delaware Law's Continuing Success", which challenges the view that Delaware's popularity is explained by its superiority. A response is provided by William B. Chandler III (the Chancellor of the Delaware Court of Chancery) and Anthony A. Rickey. Other articles explore: Delaware law with regard to limited partnerships; the balance between state and federal law; and role of independent directors.