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State Incorporation Does Not Subject a Party to Venue in Every Judicial District in That State

The Fed. Cir. found (In re BigCommerce, Inc.) that a domestic corporation incorporated in a state having multiple judicial districts does not “reside,” for purposes of the patent-specific venue statute, § 1400(b), in each and every judicial district in that state.  Petitioner BigCommerce sought a writ of mandamus challenging the denial by the District Court for the Eastern District of Texas of motions to dismiss and transfer.  While BigCommerce was incorporated in the state of Texas, its headquarters in Austin lies in the Western District of Texas.  The Fed. Cir. found support in the statute’s language, history, purpose, and precedent. The Fed. Cir. concluded that BigCommerce maintains both its principal place of business and its registered office in Austin, Texas, within the Western District of Texas and that Big Commerce has no corporate connection at all with the Eastern District.

Richard Chinn