Congress questions Delaware plan to allow AI agents to manage corporate entities

Delaware officials are advancing a draft proposal to create an Artificial Intelligence Company, or AIC, allowing autonomous software agents to run day-to-day business operations without routine human supervision. Under the framework, an AIC could pursue any legal purpose except banking and would possess its own legal standing to sue and be sued. However, the concept is already drawing congressional scrutiny: House Oversight Committee Chairman James Comer sent a letter to Delaware Governor Matt Meyer on October 26, requesting documents regarding safety assessments and industry involvement. [1][2]

The draft bill would establish a 30-month regulatory sandbox to test the concept. Each AIC would require a single member, either an individual or another entity, tasked with keeping the company adequately funded. While that member would generally receive protection from the business's liabilities, exceptions remain for fraud, willful lawbreaking, and actions known to fall outside the company's designated purpose. [1]

Lawmakers and legal scholars worry the framework creates an overly protective liability shield. Representative Comer warned that the structure could let owners avoid responsibility for reckless actions, potentially prompting federal legislation to restrict state-level AI efforts. UC Berkeley law professor Andrew Baker told the Financial Times that the protections appear excessively generous. Conversely, supporters such as Delaware Secretary of State Charuni Patibanda-Sanchez argue an official legal identity ensures AI actions remain traceable while creating new formation fee revenue for the state. [1][2]