(WILMINGTON, Del. – May 30, 2025) –In response to today’s decision by the Delaware Court of Chancery to allow ChristianaCare’s lawsuit to proceed in seeking declarative and injunctive relief related to House Bill 350, ChristianaCare Chief Strategy & Legal Officer Jennifer Schwartz, Esq., issued the following statement:
ChristianaCare is very pleased with the Court of Chancery’s decision today, which denied the state’s motion to dismiss ChristianaCare’s claim that HB350 violates the Delaware Constitution and that the legislature failed to obtain the required supermajority vote to pass HB350.
As we have said from the beginning, House Bill 350 raises important questions about the integrity of the corporate franchise in Delaware, and whether it is legal for the government to usurp authority over core business decisions, such as setting the budget and strategy, from a corporation’s duly elected board. As the Court of Chancery stated in its decision, "it is a ‘bedrock’ principle of Delaware law that ‘the business and affairs of a corporation are managed by and under the direction of its board."
This lawsuit is necessary to preserve independence in clinical decision-making, protect critically necessary hospital services and resources, ensure nonprofit board autonomy and sustain a strong health care delivery system in this community for generations to come.
We share the concerns of Delawareans about the cost of health care, and we recognize the importance and complexity of this issue, both nationally and close to home. We look forward to working together with other hospitals, health care providers and stakeholders statewide to improve health for Delawareans and make high-quality care more accessible for everyone.