![\"ExxonMobil](\"https:\/\/www.europesays.com\/us\/wp-content\/uploads\/2026\/05\/1779976705_734_.webp\")
ExxonMobil shareholders approved a proposal to move the company\u2019s legal home to Texas. (Lucio Vasquez | Houston Public Media)<\/p>\n\t\t\t\t\tExxonMobil shareholders approved a proposal to move the company\u2019s legal home to Texas. (Lucio Vasquez | Houston Public Media)<\/p>\n
Gas and oil giant ExxonMobil<\/a> will likely move its legal home from New Jersey to Texas after shareholders approved a proposal to do so, according to a preliminary count.<\/p>\n ExxonMobil\u2019s board of directors unanimously recommended the legal relocation in March<\/a>, saying Texas\u2019 legal and regulatory environment was more business friendly.<\/p>\n \u201cAligning our legal home with our operating home, in a state that understands our business and has a stake in the company\u2019s success, is important.\u201d Darren Woods, ExxonMobil CEO, said at the time.<\/p>\n Two advisory firms, Glass Lewis and Institutional Shareholder Services, recommended against the relocation<\/a>, arguing the move could allow Exxon to make it harder for shareholders to sue the company.<\/p>\n Shortly after, Attorney General Ken Paxton sued Institutional Shareholder Services<\/a> for allegedly misleading investors. He cited the firm\u2019s recommendation against Exxon\u2019s relocation as a reason for the lawsuit.<\/p>\n Exxon is headquartered in a suburb of Houston<\/a> but has been incorporated in New Jersey since 1882 when the company was still Standard Oil of New Jersey, according to the company<\/a>. The company moved its headquarters to Irving in 1989 and says about 75% of the company\u2019s U.S. employees are in Texas.<\/p>\n James Lee, CEO of the Dallas-based Texas Stock Exchange<\/a>, lauded the shareholder vote in a statement.<\/p>\n \u201cExxon\u2019s move is also a watershed moment for America\u2019s capital markets, and the direct result of Governor Abbott and the legislature transforming Texas into the top jurisdiction for business in the U.S,\u201d Lee said. \u201cHundreds of companies representing trillions of dollars in market capitalization are poised to make similar moves. With today\u2019s action, it is clear the faucet is about to unload.\u201d<\/p>\n A state in which a company has its legal domicile in is important because it determines their taxes and what laws they have to follow.<\/p>\n Most of the country\u2019s largest businesses have their legal domicile in Delaware due to its special business court system, according to the Harvard Business Center<\/a>. Texas aims to offer a similar system with the Texas Business Court<\/a>, which was created in 2023 to handle complex business disputes.<\/p>\n