SAG Crossing to Delaware!!!!

Something you might of missed.  Those in power and pushing this merer certainly have not made a priority of passing it along to the membership.  SAG currently a California Corporation will become a Delaware Corporation if this merger passes!!!!
This in merger documents but not mentioned by those pushing merger.

“As of the time of filing of the Certificates of Merger on the Effective Date, the separate legal existences of AFTRA and SAG shall cease and SAG-AFTRA shall continue as the surviving corporation as a national labor organization and Delaware non-stock corporation operating under the federal labor laws and the Del.Gen.Corp.Law.”

Hmmmm.  But why would those leaders behind this  merger do that? Perhaps that can be explained by this statement from noted lawyer Steve Diamond.

Steve Diamond» Sun Feb 05, 2012 4:28 pm

“The single biggest advantage to incorporating in Delaware is the strong support in Delaware law for the protection of the so-called business judgment rule which provides a strong shield against liability for boards of directors who are sued by their shareholders (or members in the case of a non stock corporation.) So such a move is entirely consistent with the bureaucratization of power in the proposed new organization.

Delaware recently amended its law to clarify the relationship between its corporate law with respect to non stock corporations. A thorough discussion can be found here:

Steve Diamond
Steve Diamond


Thank you Mr. Diamond.

The Ol’ SAG Watchdog