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

Links 09/11/2026: Nvidia CEO Jensen Huang Cheats on Wife With A Suspected Chinese Spy, "400,000 Russians Killed in Battle Since 2022 Invasion"
Links for the day
Digitalisation Is Not Inevitable or Unavoidable
Nor inescapable
Intercontinental Brigading - Part XXXXIV - Why the Swatting Failed
After that we only ever heard from or spoke to cops when we invited them to our home to collect evidence
 
When Some Footage Causes Your 'Company' to Lose Almost Half a Trillion Dollars in 'Value' in a Few Minutes Your Company is Fictionally Valued
stock slips 8% because the CEO cheats on the wife
Intercontinental Brigading - Part XXXXV - The Brand (and Reputation)
"Russell Brand sentenced to 10 years and six months for rape and sexual assault"
Links 09/11/2026: 'Humanitarian' Putin Knocks 600,000 Civilians Off the Grid, Eminem’s Publisher Sues Suno
Links for the day
Like Crooked Politicians, The Register MS is Selling "Dinners" (Access, Sponsors)
Talk about "hey hi".
The Register MS is Not Objective Regarding "AI", It's Paid by Pushers of the Pyramid Scheme (including Nvidia)
Some time soon we'll name some companies that pay millions to The Register MS in order to cement their role in the house of cards (while it lasts)
GAFAM Moribund
A lot of what we say about Microsoft in respect to debt is equally applicable to the rest of GAFAM
NVIDIA as a Scam Company Run by Scammers Who Fake Demand for Their Waste of Energy (Subsidising GPU Sales for Use Cases That Don't Exist)
First they targeted gamers, then fake 'currencies' (which turned out to be a bust), now it's slop (obfuscation of plagiarism using brute force and fusion) [...] We're quite glad that Huang publicly broadcasts how untrustworthy he is
Zero Tolerance for Slop
very few sites that dabbled in slop ended up well off (for it)
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, November 08, 2026
IRC logs for Sunday, November 08, 2026
Gemini Links 09/11/2026: "The Blue Wave Won't Save Us" and "Discoverability Is Only Solved If You Can Be Discovered"
Links for the day
IBM 'Robbery': No More Car Allowance in the UK, Severance Shredded, CEO Pay Up 51% in One Year While Thousands Laid Off in Secret
Why does a CEO reward himself so much when the company does so badly?
Gemini Links 08/11/2026: "Back", Zot, and Information Overload
Links for the day
“Concerned Microsoft Workers” Say “Working at Microsoft Has Become Joyless and Demoralizing.” (That's What Microsoft Wants, More Will Leave That Way)
Many Microsoft employees are going to leave
The Register MS is Losing Hundreds of Thousands of Pounds a Year While Directors Pay Themselves Hundreds of Thousands of Pounds a Year in Dividends
they take money from slop pushers and have clearly compromised some journalistic standards in the process
GNU/Linux Measured at 7.4% in the UK This Weekend: Clownflare Radar
I hope that one day GNU/Linux will be everywhere here
Never a One-Person Project
Just because I'm the main "public face" of the site (who takes all the insults and SLAPPs) doesn't mean I deserve all the credit
“I Always Expect to Lose. I Fight Anyway, and Sometimes I Win.” — Richard Stallman
To change the world meaningfully people must think big
Stop Looking for News About "Layoffs", Layoffs Are Over (They've Been Rebranded)
To properly assess the status quo we need other yardsticks
Links 08/11/2026: Bosses Who Were Forcing Their Workers to Use Slop Change Mind, "Rapper RBX Files Ninth Circuit Appeal in Fraud-Focused Class Action Lawsuit Against Spotify"
Links for the day
Links 08/11/2026: Why Vikings Stayed in Iceland and "TikTok Accused Of Promoting Sex Industry To Young Girls"
Links for the day
Gemini Links 08/11/2026: "Before Sunrise" and LLM Scrapers Versus Self-Hosting (or Web in General)
Links for the day
Intercontinental Brigading - Part XXXXIII - Weaponising Cops in Another Continent (Europe), Knowing They Cannot Come to Your Home in America, While Threatening Women
This year it culminated in death threats
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Saturday, November 07, 2026
IRC logs for Saturday, November 07, 2026
The Decade Ahead, a Decade of Suppressed Stories
Our stories aren't discouraged or considered taboo because of racism or "toxic politics" or anything like that; they just hurt powerful people and corporations
Solicitors Regulation Authority (SRA) Inaction and Incompetence - Part V - "Reports Closed Without the Evidence Being Examined."
Totally what the SRA did regarding Brett Wilson LLP
Gemini Links 07/11/2026: Illusion Garden and Lagrange 2
Links for the day
Complexity is the Tyrant's Friend
Slop is for feeble minds and cheaters
IBM Firings (or Silent Layoffs) After Bluewashing; "IBM’s Employment History is More Troubling Than its Patriotic Marketing Suggests"
"It has zip to do with race but everything to do with the greed of the 1% who have been doing all they can to destroy the middle class..."
“Week van de Werkstress” and Work-Related Stress at the EPO, Where Staff is Bullied Into Granting Illegal Patents for Foreign Monopolists
"poor working environments, including discrimination and inequality, excessive workloads, low job control and job insecurity pose a risk to mental health"
Czech Republic: GNU/Linux Rises Above 5% in Desktops and Laptops
A year ago it was somewhere around 4%
EPO's Local Staff Committee The Hague Says Almost or About a Third of Staff Assembled to Organise at "a Time of Continued Social Unrest"
They speak of "circa 850 staff members in attendance" (in The Netherlands there are about a couple thousand)
Suggestions That XBox Will be Offloaded by Microsoft, Rather Than Shut Down, Make the False Assumption XBox is Profitable (It's Not, It's a Liability)
Microsoft has serious financial troubles
Which "Smart" "Phone", Which "Social" "Media", and Which "Cloud" "Storage"?
Let's take back control of the language
State of the (Linux) Slop, Late 2026 Edition
Google News (Gulag Noise) is a plagiarism booster
Year 21
It's 5PM here
Links 07/11/2026: "Flock Cameras Got Eviscerated by the Midterms" and Joshua Wong Shows China is Highly Repressive and Fully Controls Hong Kong
Links for the day
At The Register MS the Net Liabilities Doubled in One Year, Tangible Assets Down About 35% in One Year
signed off in 2026
Intercontinental Brigading - Part XXXXII - Running One's Mouth
British Police told me "making a false complaint to police is a crime" in relation to Lozza
Another 20 Years of Exposing Corruption
We'll focus on carrying on what we do
EPO Budget and Finance Committee (in Very Recent Meeting) Increases Bribes to People Who Vote on Campinos Reappointment ("Cooperation Activities")
Buying 'elections' to protect the cocaine-stained regime in Europe's second-largest institution
Links 07/11/2026: London's SLAPP Industry Now Targets Kirkenes (Northern Norway) at the Behest of Corrupt Thieves in Russia and Microsoft’s 'Buyout' Offer Crashes Microsoft Systems
Links for the day
Links 07/11/2026: "The Moon is Waning Crescent", Homeworlds, and "Can't Handle The AVIF!"
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, November 06, 2026
IRC logs for Friday, November 06, 2026