In a recent twist to an ongoing legal case, the Federal Circuit has decided not to review a U.S. District Judge’s order which supports a California software company’s case reason to remain in Texas for its proceedings. The request for a full court hearing was denied following the apparent validity of the company’s lease of a new office in the state following the initiation of a lawsuit against it.
U.S. District Judge Alan Albright provided the original order, which encouraged further exploration into the company’s connection with Texas considering the timing of the new lease. The software company had procured the lease following the commencement of the said lawsuit. Interestingly, the argument for remaining in Texas for the trial was found to be sound, despite the company being originally based in California.
This move was deemed substantial enough for the case to continue in Texas, thus averting a geographical transfer for the trial. The Federal Circuit’s recent decision essentially upholds Judge Albright’s order, although the specific motivations behind this decision remain undisclosed.
This new development reveals an interesting consideration for corporations dealing with lawsuits and the potential leeway in selecting the jurisdiction for their legal proceedings. Further details of the legal case and the Federal Circuit’s decision can be found on Law360.