Texas officially launched its new Business Court system on September 1, 2024, creating specialized courts designed to handle complex commercial disputes faster and more consistently than the general civil docket. Under HB 19 from the 88th Legislature, the original threshold required the amount in controversy to exceed $10 million. Then in September 2025, HB 40 from the 89th Legislature lowered that threshold to $5 million — dramatically expanding the court's reach and bringing it within range of disputes that Montgomery County's growing business community regularly generates.
At Griffin & Cain, Attorneys at Law, our business law attorneys serve companies in Conroe, The Woodlands, and throughout Montgomery County. If your business is involved in a commercial dispute that may exceed $5 million, understanding whether the Business Court is the right venue matters. Call us at (936) 441-2999 to discuss your situation.
How the Texas Business Court Works
The Business Court is organized into 11 geographic divisions across Texas. Montgomery County falls within the 11th Division, based in Houston and covering the greater Houston metro area. Cases filed in or transferred to the Business Court are heard by judges appointed specifically for their experience with complex commercial matters — partnership disputes, breach of fiduciary duty claims, shareholder derivative actions, large contract disputes, and corporate governance issues.
The Business Court has exclusive jurisdiction over certain case types when the amount in controversy exceeds $5 million. These include qualified transactions — business disputes arising from transactions or relationships governed by the Texas Business Organizations Code, derivative proceedings on behalf of a business organization, disputes involving governing documents of a business (operating agreements, partnership agreements, bylaws), and actions involving breach of duty by officers, directors, managers, or partners.
The court does not handle personal injury, family law, criminal, or probate matters. It is limited to business-to-business and business governance disputes that meet the dollar threshold and subject-matter requirements.
Why This Matters for Montgomery County Businesses
Montgomery County has been one of the fastest-growing business corridors in Texas. The Woodlands alone is home to corporate headquarters, medical facilities, energy companies, and a dense network of professional service firms. Conroe's industrial corridor and Lake Conroe's commercial development have added to the county's business density. Disputes between partners, breach of contract claims with vendors, and corporate governance fights are not rare — they are routine.
Before the Business Court, these disputes landed on the general civil docket in Montgomery County District Courts alongside car accident cases, debt collection suits, and property disputes. Judges on the general docket are skilled, but they may not have deep experience with complex commercial issues like fiduciary duty standards under the Texas Business Organizations Code, buy-sell agreement enforcement, or minority shareholder oppression.
The Business Court offers several practical advantages. Cases are assigned to judges with dedicated commercial experience, docket management is tailored for complex litigation with longer hearing windows and structured discovery, published opinions create precedent that helps businesses predict outcomes, and the specialized venue can reduce the total time from filing to resolution.
The $5 Million Threshold: What Counts?
The amount in controversy must exceed $5 million. This is measured by the total value of the claims and counterclaims in the case — not just the plaintiff's demand. If a business sues a former partner for $3 million and the partner counterclaims for $2.5 million, the combined amount in controversy is $5.5 million, which meets the threshold.
For Montgomery County businesses, the $5 million threshold captures a significant number of real-world disputes. Commercial lease disputes on high-value properties, construction defect claims on large development projects, partnership dissolution of professional practices (medical groups, dental groups, law firms), franchise disputes, and breach of covenant not to compete with demonstrated damages can all reach or exceed the threshold.
How to Access the Business Court
Cases can reach the Business Court in two ways. First, a party can file the case directly in the Business Court if it meets the subject-matter and amount-in-controversy requirements. Second, a party in an existing case filed in a district court can file a motion to transfer the case to the Business Court. Transfer is not automatic — the Business Court must accept the case after reviewing whether it qualifies.
Strategic venue selection matters. If you are the plaintiff, filing directly in the Business Court signals that your case is complex and commercially significant. If you are the defendant, transferring a case out of a general docket and into the Business Court may give you a more predictable legal environment — particularly if the original venue's general docket judge has a reputation for unpredictable rulings in commercial matters.
The Connection to Business Formation and Operating Agreements
The Business Court's jurisdiction is tied directly to the governing documents of business organizations — operating agreements, partnership agreements, bylaws, and shareholder agreements. If your LLC operating agreement does not include clear provisions for dispute resolution, buyout triggers, valuation methods, and fiduciary standards, you are more likely to end up in litigation — and potentially in the Business Court — when a dispute arises.
This is why we counsel Montgomery County business owners to invest in well-drafted governing documents from the start. A $5,000 operating agreement today can prevent a $500,000 Business Court litigation tomorrow.
If your business is facing a commercial dispute that may qualify for the Texas Business Court, or if you want to review your governing documents to reduce your litigation risk, call Griffin & Cain at (936) 441-2999. We serve businesses in Conroe, The Woodlands, Magnolia, Willis, and throughout Montgomery County.
