Frequent Questions about the Texas Business Courts
The Texas Business Courts are a new system of specialty trial courts established to handle complex business disputes. The Texas Legislature created the courts through House Bill 19 (HB 19) and Senate Bill 1045 (SB 1045) and became operational for actions commenced on or after September 1, 2024.
Initially, the Texas Business Courts are established in major metropolitan areas, including Dallas, Austin, San Antonio, Fort Worth, and Houston. There are plans to expand to other regions in the future.
The Texas Business Courts handle a wide range of business disputes, including contract disputes, fiduciary duty claims, corporate governance issues, derivative proceedings, and securities claims. The courts have jurisdiction over cases where the amount in controversy exceeds $5 million or $10 million, depending on the nature of the case.
Yes, the Texas Business Courts do not have jurisdiction over health care liability claims, claims for bodily injury or death, legal malpractice claims, and certain other specified claims such as those involving consumer transactions or insurance policies.
Yes, cases that meet the jurisdictional criteria can be transferred to the Texas Business Courts from other Texas trial courts. There are specific procedures for filing cases directly in the Business Courts or moving cases from other courts.
Yes, parties in actions pending in the Business Courts have the right to a trial by jury when required by the constitution.
Judges for the Texas Business Courts are appointed by the Governor of Texas with the advice and consent of the Senate. Judges are appointed for an initial term of two years and may be reappointed.
Appeals from the Texas Business Courts are heard by the newly created Fifteenth Court of Appeals, which has exclusive intermediate jurisdiction over such matters. This court is in Austin, Texas, and initially comprises a chief justice and four other justices.
Yes, judges in the Texas Business Courts are expected to issue written opinions explaining their decisions. This practice aims to enhance the predictability of legal issues and provide concrete guidance on corporate governance, fiduciary duties, and business transactions.
Yes, the Texas Business Courts are creating streamlined procedures and enhanced case management techniques tailored to the unique needs of commercial litigation.