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Rule 354. Action Originally Filed in the Business Court (2024)

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(a) Pleading Requirements. For an action originally filed in the business court, an original pleading that sets forth a claim for relief--whether an original petition, counterclaim, cross-claim, or third party claim-must, in addition to the pleading requirements specified in Part II of these rules, plead facts to establish the business court's authority to hear the action. An original petition must also plead facts to establish venue in a county in an operating division of the business court.

(b) Clerk Duties. The business court clerk must assign the action to a division of the business court. If the division has more than onejudge, then the clerk must randomly assign the action to a specific judge within that division.

(c) Challenges.

(1) To Venue. A motion challenging venue must comply with Rules 86 and 87.
(2) To Authority. A motion challenging the business court's authority to hear an action must be filed within 30 days of the movant's appearance.

(1) Venue Transfer. If the business court determines, on a party's motion, that the division's geographic territory does not include a county of proper venue for the action, the business court must:

(A) if an operating division of the business court includes a county of proper venue, transfer the action to that division; or
(B) if there is not an operating division of the business court that includes a county of proper venue, at the request of the party filing the action, transfer the action to a district court or county court at law in a county of proper venue.

(2) Authority. If the business court determines, on a party's motion or its own initiative, that it does not have the authority to hear the action, the business court must:

(A) if the determination was made on its own initiative, provide at least 10 days' notice of the intent to transfer or dismiss and an opportunity to be heard on any objection; and
(B) at the request of the party filing the action:

(i) transfer the action to a district court or county court at law in a county of proper venue; or
(ii) dismiss the action without prejudice to the parties' claims.

Notes and Comments
Comment to 2024 change: Rule 354 is adopted to implement Texas Government Code Sections 25A.006(a)-(c) and 25A.020(a)(2). Texas Government Code Section 25A.004 specifies the business court's authority to hear an action.

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