Pretty much everyone has resigned themselves to the fact that Touch of Italy in Rehoboth has the very best Chicken Parm around. A single breast is pounded out delightfully thin, fried to a crunchy finish, and then treated to a muenster (yup, you heard that right) cheese topping with not too much sauce. It's creamy and wonderfully bite-size. In the off-season it's half-price, usually on Tuesdays. But CALL FIRST!
A very close contender is the Chicken Parm at Lupo italian Kitchen in downtown Rehoboth. A very different prep and presentation, but quite satisfying nonetheless.