Musk’s War on Delaware Spurs Law Pushed by Private Equity (3)

The lobbying powerhouse for the private equity industry was rewarded Tuesday night when a controversial bill overhauling Delaware’s corporate law was passed, potentially making it harder for shareholders to beat companies and executives in court — a long-simmering campaign reignited by Elon Musk.

A team of five lobbyists hired by the American Investment Council, which is funded by the likes of Blackstone Inc. and KKR & Co., had pressed lawmakers to support the measure. The “billionaires’ bill,” as some detractors called it, eased the standards for insider deals involving controlling shareholders and for rich compensation packages for ...