Tuesday, June 27, 2017

Defendant’s Authorization to Conduct Business in Texas, Listing Texas Distributors on Website, and Selling Products in Texas Insufficient to Establish Texas Venue​

Following the Supreme Court decision in TC Heartland LLC v. Kraft Foods Group Brands LLC, 137 S.Ct. 1514 (2017), the court granted defendants' motion to dismiss plaintiff's patent infringement action for improper venue because plaintiff failed to present sufficient evidence that defendants had a regular and established place of business in the forum. "'The fact that [defendants] are authorized to do business in Texas is not controlling and will not establish the [§ 1400(b)] requirement.' Nor does defendants' website allowing viewers to access a list of San Antonio/Austin distributors provide venue under the patent infringement statute. Finally, the fact that defendants sell their activity trackers to distributors in Texas Western will not establish venue. . . . Therefore, the kind and degree of defendants’ contacts do not support a finding that defendants have a permanent and continuous presence which shows a regular and established place of business in the Western District of Texas."

LoganTree v. Garmin International, Inc. et al, 5-17-cv-00098 (TXWD June 22, 2017, Order) (Biery, USDJ)

No comments: