Bonum Certa Men Certa

Companies Now Have the Incentive to Remove/Move All Operations Out of the Eastern District of Texas (If Not Texas in General)

Deviation from the law can lead to that

Rodney Gilstrap



Summary: The 'karma' of the Eastern District of Texas' aggressive policy is a diaspora or mass exodus of businesses, for any presence in the area may prove costly after TC Heartland (a year-old SCOTUS decision)

THE POOR patent trolls...

Earlier this morning we saw one such troll (Texas-based, obviously!) celebrating the USPTO's new chief, adding a cowboy hat to it. Such is their level of maturity and mentality; this particular troll and his boss, as we noted before, refuse to act like grownups.

"Cases continue to pile up regarding litigation venue."But there's a reason for their reliance on Mr. Iancu (USPTO Director appointed by Trump after he had worked for Trump). They just aren't getting their way and some have gone out of business; many are about to. Texas court cases (regarding patents) are running low; the dockets dry up.

Cases continue to pile up regarding litigation venue. The Federal Circuit, for instance, at the middle of May delivered a couple of key rulings which we covered here before. Watchtroll wrote about the first one nearly a fortnight late. It is about the Eastern District of Texas and in a nutshell:

After the case was filed in the Eastern District of Texas, ZTE filed a motion to transfer the case to the Northern District of Texas under 28 U.S.C. €§ 1404(a) and filed a motion to dismiss for improper venue under 28 U.S.C. €§ 1406 and €§ 1400(b). The district court ruled that the Eastern District of Texas was a proper venue. Relying on Fifth Circuit law, the district court denied ZTE’s motion to dismiss, finding that ZTE “failed to meet its burden to show that it does not have a regular and established place of business in the District.” ZTE filed a petition for a writ of mandamus alleging that the district court improperly placed the burden of proof on the defendant.


The subject of litigation venue trended more than a week ago; here's another one covered at the time and belatedly by Watchtroll:

The Court found that a corporation resides only in one judicial district, not all dsitricts within the state where it is incorporated. First, the plain reading of “the judicial district” indicated that Congress had in mind one particular judicial district where the defendant had committed acts of infringement and had a regular and established place of business. Additionally, other venue rules promulgated near the same time as €§ 1400(b) included a clear statement that venue could lie in multiple districts when Congress intended that result. Although Fourco established that incorporation within the state is necessary for venue purposes and sufficient for venue in single-district cases, it did not imply that venue was proper in every district within the state.


This comes almost exactly a year after TC Heartland.

How about when the venue is Dallas (also Texas)? Watch this new article labeled "Dallas Invents". This isn't "Dallas Invents" but "Dallas attracts patent trolls by ruling in their favour in nearby towns" (so that these trolls become Texas-based). The article says: "Patents granted include Nuvectra Corporation’s paired communication between an implanted medical device and an external control device; Toyota’s "cloaking" apparatus and method for making an object appear transparent; and NewVoiceMedia’s workflow triggering that uses real-time analytics for intelligent sales engagement."

"One might joke that James Rodney Gilstrap, who boasted that he was helping his town, actually accomplished the exact opposite thing. He has become a death knell to job opportunities in the whole region."It's just one of those 'shopping list' articles and it has little or nothing to do with Dallas. Some of these companies aren't even American, let alone Texan.

Meanwhile we learn that the University of Texas still goes after companies where they aren't really based! See this update on Board of Regents, The University of Texas System et al v. Medtronic, Inc. et al:

The court denied a defendant's motion to dismiss plaintiffs' patent infringement action for improper venue because defendant had a regular and established place of business in the district by ratifying its subsidiary's manufacturing and research facility as its own place of business.


As readers may recall, courts in Texas grossly misused their power last year. The "reprehensible" [1, 2] Judge Gilstrap, for example, got reprimanded for ignoring the Rule of Law (or courts above him) to keep lawsuits in an improper venue (his own). Behaviour such as this is only likely to discourage companies from opening branches in Texas; moreover, it might encourage them to leave or shut down existing branches. They're making an error by making the "selling point" of this place patent litigation; they temporarily attract many patent trolls and defendants (accused parties) and in the long run they lose both, as well as actual businesses. One might joke that James Rodney Gilstrap, who boasted that he was helping his town, actually accomplished the exact opposite thing. He has become a death knell to job opportunities in the whole region.

Recent Techrights' Posts

Obscene Contradiction in Microsoft's Layoffs Tally ("Official" Numbers Do Not Add Up)
Notice how they treat "LinkedIn" as separate
Confirmed: Microsoft Layoffs Come in Two Waves, Just Like Last Summer
To us, what stands out is the admission from Microsoft that there are two (or more) waves
Links 06/07/2026: Artists Reject Slop (or Even de Facto Bribes to Market/Endorse Slop)
Links for the day
The Media Needs to Speak of Slop as a Climate Issue Like It Did With Bitcoin
But the slop industry keeps paying the media to play along with the hype
 
SLAPP Censorship - Part 130 Out of 200: Jealousy, Envy, Hubris
This site is primarily about Free software
Gemini Links 06/07/2026: Still Mostly Dry, GoToSocial, and More
Links for the day
European Patent Office (EPO) Series: Effective Dispute Resolution… But Not For EPO Staff
Slovenia fielded one of the few Administrative Council delegations which managed to maintain its own independent line against the tyrannical EPOnian "Sun King"
Community Sites Need Genuine Collaboration and True Autonomy
People who want to communicate, federate and organise for effective change need to evolve
Free Software Foundation (FSF) Covers Quibble, Free Software for Secure Communications, in the FSF Summer Bulletin
The Georgia Tech folks are bringing Free software education and contributions to one of the better known Computer Science hubs in the US
Microsoft Layoffs Include Windows, Bing, Slop (CoPilot etc.) and There Will More More Rounds (or Waves) to Come
"43% of Xbox laid off"
Preserving Comments About the Real IBM Before They Get Deleted
IBM in the 1980s is not what it is right now
Cybershow on "Escaping Prisons For Your Mind"
"THE CYBER SHOW: Stealing technofascism's boots, and stomping on its own face with them."
The Media Talks a Lot About XBox Layoffs, a Closer Look at the Data Show Microsoft 'Bloodbath'
'Bloodbath' is the term insiders use
Links 06/07/2026: At Least 20% Staff Reduction in XBox (Microsoft), Taiwan Sees Uptick in Chinese Aggression/Provocation, Senator Rodante Marcoleta Arrested
Links for the day
In Praise of the UK's Stance on Free Speech (but Some Reservations)
At the moment there is a healthy discussion going on with the objective of disrupting attacks on British press
Exposing Corruption at the European Patent Office (EPO), a Call for More Whistleblowers
We predict that, provided enough whistleblowers speak out, António "the unready" won't even finish his current term
Leaving Our Pets for Several Days
This week our pets will be worried that "mommy and daddy" are away
Dating Trees and Dating 'Apps'
several high-profile stories in the news about scandals in "dating apps"
DW Documentary About Julian Assange Turns 2
It was released just days after Assange had turned 53 and about two weeks after he had left the UK
Independent Media is the Only Form of Legitimate Media
Independent media is, indeed, what we need to demand more of
The Story of the European Patent Office (EPO) Wagging the Dog (EU)
The aim of the series is to properly inform the world - not just Europeans - how Europe's second-largest institution is run [...] How did a corporate hub of monopolies become so detached from the Rule of Law?
GNU/Linux Up to New High in Libya, Windows Down to All-Time Low
GNU/Linux touches 5% there, based on statCounter
SLAPP Censorship - Part 129 Out of 200: Iranian Tactics
Hunger for revenge compels people to do overzealous, irrational things
Quiet Week
Many in the US are still enjoying an extended weekend
IBM's Fall
IBM's fate is closely connected to that of the Free software movement because of the salaries
Social Dialogue at the European Patent Office (EPO) is Dead, the Strikes and Work Stoppage-Like Actions Carry on
What next for the EPO?
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, July 05, 2026
IRC logs for Sunday, July 05, 2026
Links 05/07/2026: Shadows of the Upper Peninsula and 2026 Old Computer Challenge
Links for the day
Not Everything Should be Electric
technology has become detrimental to society
Gemini Links 05/07/2026: Eye of the Beholder and Baldur’s Gate 3 and Alhena 5.6.5
Links for the day
GNU/Linux Market Share is Already High
GNU/Linux has fast become and is still becoming mainstream in recent years
The 9-Step IBM Algorithm: Gaming Wall Street While Shedding Off Staff and Bribing the Mainstream Media to Play Along
Any time IBM preaches manners (e.g. CoC) to the community remember that IBM works closely with and flatters the dictator
XBox is Practically 'Dead Man Walking' at This Point
writings on the wall
They Could Never Kill the Ideas of Richard Stallman (RMS), But They Are Still Trying
Killing an idea is harder than killing a person and killing a person is illegal
Only Germany Objected to Salary Adjustment (Reduction) Procedure of "Team Campinos"
"flash report on the Administrative Council of 30 June and 1 July 2026"
A "Never Slop" Policy in Quibble
"every change in the repository must be made by a human"
Series on GNU/Linux in Japan
This series can last a week or longer
75% of All the Patents Last Year Were Software
The corporate media has more or less ceased to discuss this matter
At Microsoft "the Morale of Developers is at an All-time Low"
Numerous reports today say that after at least 5 studios got marked for shutdown (mothballing) by Microsoft there are rumours about Obsidian as well
Links 05/07/2026: Data Breaches, Heat Waves, and Weinstein Rape Conviction Upheld
Links for the day
Confidentiality at Risk With Slop 'Coding'
People who continue to cheer for slop aren't just misguided fanbis and fangurls
False Narratives of Slop "Efficiency" as Debt Climbs
false stories about slop
July 8 as "D-Day" for Microsoft, Mass Layoffs Planned
Microsoft's grip on the market has slipped for a long time
GNU/Linux Leaps to 6% in Thailand
Can we expect 10% by year's end?
SLAPP Censorship - Part 128 Out of 200: Making Laws Work for Britain, Not Oversensitive Americans Looking for 'Revenge' by Lawfare
The SLAPPs are intended to protect corporations (employers like Microsoft)
EC Looking for Input on Digital Networks Act Until Next Month
New initiative
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Saturday, July 04, 2026
IRC logs for Saturday, July 04, 2026
Gemini Links 05/07/2026: Ragebaited and Removing Lines in Emacs
Links for the day
Links 05/07/2026: "Tesla Slams Into Crowded Cafe" and "ChatGPT [Turned] Into a Sociopath"
Links for the day
BRICS and Windows: All-Time Lows
Expect many more Microsoft layoffs in years to come
Do No Evil, Do Not DDoS
Sites that attract DDoS attacks because of their message are sites that are difficult to debunk or debate
France is Winning the Race Against Windows
France instructs, then orders, government agencies to adopt GNU/Linux
Not 2.5% and Not 2.5 Billion Dollars for "Hey Hi"; 2 Waves of Microsoft Layoffs Rumoured This Month, July 8th, Then July 22nd (Just Before 'Results')
People there join unions, knowing they will be terminated silently or otherwise
Microsoft Double Trouble With Slop
What does Microsoft even sell at this point?
Based on US Government Sites, GNU/Linux Has Reached About 8% "Market Share" in Desktops/Laptops
Culled to exclude mobile platforms, GNU/Linux would likely be above 8%
TheLayoff.com is Deleting Comments About IBM Offshoring
Meanwhile, rage-baiting Internet trolls and sometimes trolls who paste in LLM slop are immune from censorship
American Independence Needs Independent Media
The American regime's hostility towards media is an international problem
Techrights Was Always a Community Platform
Techrights is about whistleblowers
Phenomenal Growth for GNU/Linux in Afghanistan
This is impressive because for many years it was registered at near 0%
Daniel Pocock Pursuing Complaint in the United States Against Software in the Public Interest (SPI) et al
It seems like the only people who don't support him are those whom he criticises
Gemini Links 04/07/2026: Busy Squirrel, Independence Day Celebrations, PalmOS Programming
Links for the day
Canonical/Ubuntu is Breaking CP (cp) to Help Microsoft Turn Coreutils Into Proprietary Software for Windows
What we could do reliably in the 1970s (before GNU) we cannot do in 2026?
Brett Wilson LLP is Downsizing, Apparently Closing Down the Oversized and Overpriced Office
Address changed 13 hours ago
Free Software Has No Kings or CEOs
The kingdom is a cross-border phenomenon, so national flags and other such symbolism overlook the core problem [...] Free Software can help lead us out of the current imbalances
The United States Lost Freedom of Speech
independence refers to a condition, not an activity
IBM Replacing the People Who Built IBM With Cheaper and Younger Staff, According to IBM Insiders
This is a very common sentiment in IBM
For USA 250 Microsoft is Messing With Our Minds (2.50%) to Distract From Mass Layoffs
The slopfarms contribute to this noise
"Defective by Design" Turns 20
DBD is still as relevant as ever (probably more relevant than ever before)
A Bicycle for the Feeble Mind, or How Computers Got Worse for Productivity (Intentionally)
Many of us still adopt and champion the "workstation" mentality
Links 04/07/2026: Microsoft Tax Haven (Evasion) Tactics, Tobacco Bans, and More
Links for the day
Links 04/07/2026: 2026 Old Computer Challenge and Trying Gopher
Links for the day
SLAPP Censorship - Part 127 Out of 200: Lawsuits by Americans Filed in the UK a Burden on British Taxpayers, No Way to Recover the Funds When Americans Lose Their Cases
Are Garrett and Graveley 'pulling a 4Chan'?
Links 04/07/2026: USMCA (Covering Software Patents) Might Not be Renewed, Slop Bros Try to Pay Weird Al to Endorse Their Scheme
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, July 03, 2026
IRC logs for Friday, July 03, 2026