It has been almost a year since Texas established the Texas Business Court. Now, Texas is making it easier for businesses to take advantage of this court.

In 2023, the Texas Legislature authorized the creation of the Business Court to offer streamlined case management procedures for complex business cases and to provide a more predictable and consistent application of business laws.  There are 11 divisions (locations) of the Business Court, but only five have begun operations (Dallas, Austin, San Antonio, Fort Worth and Houston). Since the Business Courts began operation on September 1, 2024, they have handled 80 cases statewide.

On June 20, 2025, Texas Governor Greg Abbott signed House Bill 40 (H.B. 40) to further define the newly established Business Court and expand its jurisdiction to include cases with lower amounts in controversy. For example, the Bill lowers the jurisdictional amount in controversy threshold for covered commercial disputes to $5 million from $10 million.   In addition, the definition of a “qualified transaction” now includes “a series of related transactions” allowing the transactions to be aggregated to meet the threshold amount.

A new section clarifies that “[t]he amount in controversy for jurisdictional purposes . . . is the total amount of all joined parties’ claims” allowing all of the parties’ claims to be added together to reach the threshold.

In addition, the Bill expands the Court’s jurisdiction over intellectual property, trade secrets, arbitration matters, and investment matters if the amount in controversy threshold is met.  The Bill also provides that the parties may agree in cases filed before September 1, 2024, to transfer the case to the Business Court, provided the case meets the Court’s jurisdictional requirements.

Not all of the changes expanded jurisdiction. The Bill excludes consumer transactions from the Business Court jurisdiction.  This is consistent with focus to make the Business Court available only for disputes between businesses.

By lowering the jurisdictional amount, adding intellectual property and trade secret claims, and permitting the transfer of actions, the Business Court should become more accessible to a broader group of commercial parties and increase the Court’s volume of cases. These amendments show a significant step forward for the Business Court and Texas’ commitment to establish itself as a state for business growth and success.