Micom Systems Becomes a Delaware Corporation

Micom Systems has reincorporated in Delaware, largely to take advantage of a 1-year-old law there protecting directors of companies from lawsuits.

Shareholders of Micom, a maker of computer communications devices with headquarters in Simi Valley, approved the measure at the company's annual meeting this month. Micom previously was incorporated in California.

Last year, Delaware approved a law protecting directors of companies incorporated there from being sued for negligence. The law was passed to deal with the problem of finding affordable liability insurance for directors at a time when rates for coverage were skyrocketing.

Copyright © 2019, Los Angeles Times
EDITION: California | U.S. & World