Baseball for the Thinking Fan

Login | Register | Feedback

You are here > Home > Baseball Newsstand > Baseball Primer Newsblog > Discussion
Baseball Primer Newsblog
— The Best News Links from the Baseball Newsstand

Friday, May 29, 2020

Not in Missouri anymore: Royals move legal home to Delaware

The Kansas City Royals of Delaware.

The Kansas City Royals have moved—not actually, but legally.

The Royals changed their legal home from Missouri to Delaware last fall during the process of the team’s sale from David Glass to a group headed by John Sherman. The switch was mentioned Monday in a filing with the 9th Circuit U.S. Court of Appeals by Major League Baseball’s law firm in its defense of a lawsuit by minor leaguers claiming they are not being paid minimum wage.

Kansas City Royals Baseball Corp., a Missouri corporation, had been a defendant in the suit, which was filed in 2014. That company filed a certificate of conversion with the Missouri secretary of state on Nov. 19 to convert to Kansas City Royals Baseball Club Inc., a Delaware corporation. Then the newly named corporation converted to Kansas City Royals Baseball Club LLC, a Delaware limited liability company.

RoyalsRetro (AG#1F) Posted: May 29, 2020 at 12:25 PM | 7 comment(s) Login to Bookmark
  Tags: royals

Reader Comments and Retorts

Go to end of page

Statements posted here are those of our readers and do not represent the BaseballThinkFactory. Names are provided by the poster and are not verified. We ask that posters follow our submission policy. Please report any inappropriate comments.

   1. A triple short of the cycle Posted: May 29, 2020 at 03:36 PM (#5954390)
Kansas City Royals of Delaware has an okay ring to it. KC of D, for short?
   2. Fernigal McGunnigle Posted: May 29, 2020 at 03:55 PM (#5954395)
TFA might say this, but the Wilmington Blue Rocks have been a Royals farm team since they moved to Delaware in 1993. Their "players of note" list at Wikipedia is a who's who of Royals, uh, royalty over the last 27 years, from Moose Tacos to Jimmy Gobbles. Not that the Royals have any reason to "move" to Delaware other than to dodge taxes, but unlike every other MLB team they have a direct link to the state.
   3. Pasta-diving Jeter (jmac66) Posted: May 29, 2020 at 04:00 PM (#5954396)
That used to be quite common in sports--when I was growing up,(in the fiddies and 60s) the Cleveland Browns were officially incorporated in Delaware
   4. The elusive Robert Denby Posted: May 29, 2020 at 08:16 PM (#5954437)
So now I can run by the Royals business office after visiting a screen door factory.
   5. Steve Parris, Je t'aime Posted: May 30, 2020 at 10:36 AM (#5954479)
Not that the Royals have any reason to "move" to Delaware other than to dodge taxes, but unlike every other MLB team they have a direct link to the state.

If it was just about taxes the Royals could incorporate in Wyoming, where unlike Delaware there is no corp income tax. Companies incorporate in Delaware because the corporate law leans towards supporting businesses and has been well developed for decades.
   6. Ned Garvin: Male Prostitute Posted: May 30, 2020 at 02:09 PM (#5954503)
It seems like if your company is based out of Delaware, but operates in Missouri, that you just might be involved with interstate commerce...

I know this does not relate to the actual decision, but if I was a minor leaguer losing my job right now, I would be thinking hard about finding a way to challenge the anti-trust decision.
   7. Zach Posted: May 30, 2020 at 09:30 PM (#5954553)
The Royals aren't laying any minor leaguers off this year, so don't plan any road trips to Wilmington.

#5 has it right: a lot of the literature on corporations just flat out says you want to be a Delaware C corporation.

For example:

A very important preliminary question is how you should set up your company. This isn’t a hard question. You should set up as a Delaware C corporation. That is the right answer. You incorporate to achieve separation of your personal affairs and company affairs. You want to create a structure where you can let other people in, sell equity, etc. And incorporating can give you a lot more legitimacy. A business group called “Larry Page and Friends” might work today. It would not have worked in 1997. Give yourself the basic structure you’ll need.


Over 50% of C corporations get incorporated in Delaware. There are many reasons for this. Delaware business law is clear and wellunderstood. Its chancery courts are fast and predictable. The judges are pretty good. And there’s some signaling too; everybody sort of does it, and most everybody thinks it’s a good thing to do. You can just take it on faith that you want to be a Delaware C corporation.

You must be Registered and Logged In to post comments.



<< Back to main

BBTF Partner

Dynasty League Baseball

Support BBTF


Thanks to
Edmundo got dem ol' Kozma blues again mama
for his generous support.

You must be logged in to view your Bookmarks.

Hot Topics

NewsblogEmpty Stadium Sports Will Be Really Weird
(9028 - 1:06am, Aug 13)
Last: Mayor Blomberg

NewsblogAstros' Zack Greinke tells batter what's coming, gets swinging strike anyway
(2 - 12:43am, Aug 13)
Last: The Yankee Clapper

NewsblogGiants' Johnny Cueto loses no-hitter as routine fly ball ends in disaster
(34 - 12:39am, Aug 13)
Last: What did Billy Ripken have against ElRoy Face?

NewsblogOT - NBA Bubble Thread
(127 - 11:37pm, Aug 12)
Last: Booey

NewsblogWhy Are MLB’s Base Hits Disappearing?
(36 - 11:22pm, Aug 12)
Last: Dr. Vaux

NewsblogIf it's a salacious rumor, then it's in OMNICHATTER! for August 12, 2020
(20 - 10:20pm, Aug 12)
Last: Boxkutter

NewsblogCould Casey Mize win the Rookie of the Year award twice?
(13 - 10:10pm, Aug 12)
Last: Mayor Blomberg

NewsblogRed Sox’s Ron Roenicke Reveals Factors Behind Brian Johnson’s Release
(22 - 7:47pm, Aug 12)
Last: Nasty Nate

NewsblogPrimer Dugout (and link of the day) 8-12-2020
(10 - 5:28pm, Aug 12)
Last: Walt Davis

NewsblogSources: MLB has preliminary talks about bubble-type format for playoffs
(12 - 5:26pm, Aug 12)
Last: Zonk. Person. Man. Camera. TV.

NewsblogOT Soccer Thread - Spring 2020
(675 - 5:08pm, Aug 12)
Last: AuntBea odeurs de parfum de distance sociale

NewsblogMarcus Stroman Opts Out Of 2020 Season
(10 - 4:03pm, Aug 12)
Last: Slivers of Maranville descends into chaos (SdeB)

NewsblogHow bad are team finances now? Ask the Atlanta Braves.
(19 - 3:06pm, Aug 12)
Last: Karl from NY

NewsblogOMNICHATTER! is too busy to run for VP, for August 11, 2020
(13 - 10:43am, Aug 12)
Last: puck

NewsblogRays’ Brendan McKay shut down due to shoulder tightness
(1 - 9:57am, Aug 12)
Last: Random Transaction Generator

Page rendered in 0.2557 seconds
48 querie(s) executed