This contribution analysis the implication of the judgment in Centros Ltd, whereby a company can be incorporated in one state and used for activities in other Member States of the EU. The consequence is that businesses can chose to incorporate in the state of their own choice and Member State may as a result start to compete to attract incorporations of companies (the Delaware Syndrome). This may call for further harmonization of company laws in the EU.
Cambridge Yearbook of European Legal Studies, Vol. 2, 2000
Delaware Syndrome; Centros Ltd.; Regulatory competition; Race for the bottum; Harmonization of Company Law