On Sept. 1 of this year, Texas became the latest state to launch a business court. Many practitioners have eagerly anticipated the Business Court’s rollout, though observers have raised a litany of questions about how the court will function, its jurisdictional limits, and other key issues. While we do not yet have complete answers to all questions, the Business Court has addressed many in its first 60 days.
The Texas Business Court
The Texas Business Court is a statewide trial court “dedicated to the fair, efficient, and timely resolution of business disputes.” Business Court Local Rule (BCLR) 1. The court has jurisdiction over governance disputes exceeding $5 million and commercial disputes exceeding $10 million, plus supplemental jurisdiction to hear certain related claims. The court is comprised of five active Divisions in Austin, Houston, San Antonio, Dallas, and Ft. Worth, with two judges assigned to each Division. The court began accepting filings on Sept. 1, 2024.