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Creation of Texas Business Courts Stand to Boost Business Sector

Texas, known for its pro-business politics, is taking another step to improve its business-friendly climate by introducing specialized business courts. Thanks to the outstanding leadership of Texans for Lawsuit Reform (TLR) in spearheading the creation of business courts in Texas, the Lone Star State has taken another giant leap in supercharging our already outstanding pro-business environment. At the Texas Association of Business (TAB), we were proud to rally the business community across the state to advocate for this important measure, which will streamline legal processes for business disputes and attract even more foreign and interstate investment.


With these courts set to go into effect on September 1, 2024, and Governor Greg Abbott expected to make his first appointments in the coming months, it’s important to reflect on the profound positive impact they will have on business operations and expansion throughout the Lone Star State.


Our state’s business-friendly regulatory climate has always been a magnet for corporations, and introducing these specialty courts further solidifies our appeal. Texas already boasts the largest number of Fortune 500 companies in the nation and it’s easy to understand why – with no corporate income tax and an increasingly predictable regulatory environment, Texas is the ideal state for incorporation.


The new Texas business courts will focus on multifaceted business disputes valued at $10 million or more and various other corporate law matters involving shareholders and management. With specialized, experienced judges at the helm, these courts are expected to deliver more efficient and specialized resolutions, compared to our state’s civil court system. Through the creation of these new business courts, Texas is strengthening its position as the preferred destination for corporations by easing the logistical burden of litigation for both corporate lawyers and litigants.


In fact, one Dallas-based attorney recently observed that the forthcoming creation of business courts in Texas is already piquing the interest of out-of-state corporations to expand and set up shop in the Lone Star State: “It's an influential factor… when they hear about the business court, they are excited about coming.”


Whether it’s new headquarters or incorporations – we want it all!


The establishment of business courts in Texas is undeniably a game-changer for our business landscape. As commerce becomes increasingly complex, our legal system must evolve accordingly. This is especially true in Texas, where businesses are moving to the state daily. These specialized courts not only signal Texas’ commitment to continually investing in and providing a conducive environment for businesses to thrive, they also pave the way for a future of continued business growth and prosperity.


By offering enhanced litigation efficiency and predictability, these courts empower corporations in Texas. No longer will they be bogged down by lengthy, expensive legal battles; the existence of business courts allows companies to focus on what they do best: creating jobs and contributing to our local economies and communities. With a more favorable litigation landscape, more firms will be inclined to incorporate and expand their operations in the Lone Star State, fueling our state’s economic growth and prosperity for years to come.



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