IP, Arbitration, and More: What’s New in the Texas Business Court

Despite early uncertainty, the Texas Business Court is proving to be a game-changer. Launched on September 1, 2024, the Court was met with a fair share of skepticism. But fast forward to today, and it’s clear—it’s been an unqualified success.

Read the full article: Open for Business: Texas Business Court Exceeds Early Expectations

About the authors:

• Michael E. Clark
• R. Kyle Hawes
• Jeffrey S. Whittle

Transcript

Welcome to Womble Perspectives, where we explore a wide range of topics, from the latest legal updates to industry trends to the business of law. Our team of lawyers, professionals and occasional outside guests will take you through the most pressing issues facing businesses today and provide practical and actionable advice to help you navigate the ever changing legal landscape.

With a focus on innovation, collaboration and client service. We are committed to delivering exceptional value to our clients and to the communities we serve. And now our latest episode.

Welcome back to Womble Perspectives and to today’s episode, where we’re heading to the Lone Star State to talk about the Texas Business Court and how it’s faring nearly a year after it began accepting cases.

Despite early uncertainty, the Texas Business Court is proving to be a game-changer. Launched on September 1, 2024, the Court was met with a fair share of skepticism. But fast forward to today, and it’s clear—it’s been an unqualified success.

More than 150 cases have already been filed, and over 20 opinions issued in just the first half of 2025. That’s a strong signal that the Court is delivering on its promise: to move business litigation forward with speed and efficiency.

And now, the Texas Legislature is doubling down.

In a major show of support, lawmakers passed House Bill 40—signed into law and set to take effect on September 1, 2025. This legislation expands the Court’s jurisdiction and lowers the bar for entry. The monetary threshold for qualifying transactions drops from $10 million to $5 million, and the law clarifies that a “qualified transaction” can include a series of related deals—not just a single one.

But here’s where it gets even more interesting: HB 40 brings intellectual property into the fold. The Court will now have jurisdiction over business-related IP disputes—think trade secrets, licensing, and ownership issues. However, it’s important to note that federal matters like patent infringement and copyright cases remain outside its reach.

The Court can also now enforce arbitration agreements and review arbitration awards—another sign of its growing authority. But consumer-related claims? Those are still off the table.
So what does this mean for companies?

It means Texas is quickly becoming a go-to venue for high-stakes corporate litigation. In-house counsel should take note: now’s the time to revisit contracts, understand the Court’s procedures, and prepare for the possibility of litigating in this new forum—especially if your business touches on IP.

With strong legislative backing and a growing docket, the Texas Business Court is poised to become a major player in the business litigation landscape. And we’ll be here to keep you updated every step of the way.

Thank you for listening to Womble Perspectives. If you want to learn more about the topics discussed in this episode, please visit The Show Notes, where you can find links to related resources mentioned today. The Show Notes also have more information about our attorneys who provided today's insights, including ways to reach out to them.

Don't forget to subscribe via your podcast player of choice so that you never miss an episode. Thank you again for listening.