Comer Investigates Potential for Harm, Lack of Transparency in Delaware Initiative to Create New Artificial Intelligence Companies

WASHINGTON-House Committee on Oversight and Government Reform Chairman James Comer (R-Ky.) is investigating the State of Delaware's efforts to establish a new form of corporate entity known as an Artificial Intelligence Company (AIC). Under the proposal, an AI agent would run day-to-day operations of a corporate entity while providing the human or entity behind the AIC with liability protections from potential harms to consumers, the public, and business partners perpetuated by the controlling AI. In a letter to Delaware Governor Matt Meyer, Chairman Comer requests documents and information on the state's assessed risks of this initiative, as well as the forces driving Delaware and other states to adopt such proposals. This information could inform possible federal legislative efforts to limit such state AI regulatory initiatives.

"We are concerned that Delaware's AIC proposal could be used to protect powerful AI companies and their investors from responsibility for reckless harmful actions, while also protecting non-transparent forces seeking anticompetitive regulatory capture behind state AI initiatives," wrote Chairman Comer. "The subsequent report of the Delaware Artificial Intelligence Commission addressed to [Governor Meyer] and other state officials on December 22, 2025, noted that a Commission subcommittee is 'actively working towards a draft regulatory framework that would create a regulatory sandbox that would test and evaluate agentic artificial intelligence and its application to corporate governance.[BR1] ' The two-page report referencing Delaware House Joint Resolution 7 did not mention any commission efforts to assess the potential safety, harms, risks, or outside consultations with independent experts associated with the proposal."

The House Oversight Committee has promoted the importance and potential of AI technologies to benefit American citizens at home and abroad, as well as examined uses of AI that may be harmful, unfair, or non-transparent to consumers or other businesses through surveillance pricing, assessment of housing fees, and for rental car damage billing. The Committee is concerned about the lack of transparency surrounding contributions of AI companies and their representatives in the progression of Delaware's AIC initiative. One lawyer practicing at Delaware based firm Richards, Layton, & Finger, whose biography describes him as having represented Facebook (now Meta), is described as the "principal drafter of the proposed legislation" and intends for it to allow AI agents to engage in "any business activity" and "protect owners of new AICs from facing legal liability from actions the AI might take."

"One Delaware media outlet reporting on the proposal noted, 'It is not immediately clear whether any large company or lobbying group asked Delaware to propose its AI testing ground.[BR2] ' In September 2026, a different media outlet noted the Delaware Secretary of State's office declined to answer questions about the nature of the state's working relationship with an AI company contributing to the proposal," concluded Chairman Comer. "While Delaware officials tout the benefits of an AIC regulatory framework for creating transparency around the decision making of an agentic AI, such transparency does not appear to exist in this policy making initiative that may soon result in new state law."

Read the letter to Governor Meyer here.