Supreme Court Hits Reset on Patent Venue Law in TC Heartland -
In the recent TC Heartland LLC v. Kraft Foods Group Brands LLC decision, the Supreme Court reversed nearly thirty years of patent venue law and held that a domestic corporation resides only in its state of incorporation for purposes of patent venue. Based on this holding, domestic corporations now face patent infringement lawsuits only in their states of incorporation or in judicial districts where they have a regular and established place of business (e.g., a corporate headquarters) and have committed alleged acts of infringement.
Previous Federal Circuit case law provided venue for patent infringement claims anywhere the district court had personal jurisdiction over the defendant. Under that case law, patent infringement plaintiffs could file lawsuits against companies with nationwide distribution networks practically anywhere in the United States. This had the effect of concentrating patent litigation in a handful of district courts—most prominently the Eastern District of Texas. The new Supreme Court decision creates a more restrictive regime that likely eliminates venue in the Eastern District of Texas and several other patent litigation hot zones in most cases.
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