Apple Plans to Close Stores in Eastern District of Texas in Fight Against Patent Trolls [Updated]

Apple plans to close both of its retail stores within the Eastern District of Texas in a few months from now in an effort to protect itself from patent trolls, according to five sources familiar with the matter.

apple store inside
Apple Willow Bend in Plano, Texas and Apple Stonebriar in Frisco, Texas, both located in the northern suburbs of Dallas, are expected to permanently close in mid April. One source said each store's final day of business will be Friday, April 12. Employees were briefed about the plans earlier this week.

To continue to serve the region, Apple plans to open a new store at the Galleria Dallas shopping mall in Dallas, just outside the Eastern District of Texas border. One source said the store will open Saturday, April 13.

apple eastern texas

A rough visualization of Apple's retail stores in the Eastern District of Texas and its upcoming Galleria Dallas store

The plans are significant, as U.S. law states that patent infringement lawsuits may be filed "where the defendant has committed acts of infringement and has a regular and established place of business." By closing its stores in Eastern Texas, Apple is ending its established place of business in the district.

Residency is also a factor in determining the applicable venue of a patent infringement lawsuit, but in May 2017, the Supreme Court shifted precedent by ruling that a U.S. corporation resides only in its state of incorporation. Apple is incorporated in California, not Texas, satisfying this clause.

The Eastern District of Texas has been a hotbed for patent litigation over the past few decades due to well-established rules for patent infringement cases, experienced judges, lower probability of cases being transferred to another district, and quicker jury verdicts, according to a SMU Dedman School of Law paper.

Patent infringement lawsuits against Apple will likely shift to U.S. district courts in Northern California and Delaware.

Fortunately, we're hearing that the plans, while inconvenient, are not too detrimental for employees. One source said Apple has offered employees opportunities to transfer to other stores, work from home for AppleCare, or severance to those who are not interested in working at another Apple location.

Apple has yet to publicly announce the plans. We reached out to Apple for comment late Thursday but have yet to hear back.

Update: Apple has confirmed the impending store closures in a statement issued to TechCrunch:

We're making a major investment in our stores in Texas, including significant upgrades to NorthPark Center, Southlake and Knox Street. With a new Dallas store coming to the Dallas Galleria this April, we've made the decision to consolidate stores and close Apple Stonebriar and Apple Willow Bend. All employees from those stores will be offered positions at the new Dallas store or other Apple locations.

Apple did not provide a specific reason for the store closures beyond consolidation.

Top Rated Comments

Winter Charm Avatar
63 months ago
Well, the eastern district of texas gets their just desserts for making it so easy for patent trolls to file there... GG.
Score: 45 Votes (Like | Disagree)
JetTester Avatar
63 months ago
Patent trolls are evil. Whatever it takes...
Score: 36 Votes (Like | Disagree)
CWallace Avatar
63 months ago
Talk about spitting your dummy out. Is that how pathetic Apple really have become?
It's more how pathetic patent law has become in the US that Apple has to take this step to protect themselves.
Score: 35 Votes (Like | Disagree)
bbeagle Avatar
63 months ago
Talk about spitting your dummy out. Is that how pathetic Apple really have become?
Say you had 20 convenience stores. 18 are doing fine. 2 of them in Downtown Detroit keep getting robbed, you're losing money there. Is it pathetic for you to stop serving Downtown Detroit?
Score: 33 Votes (Like | Disagree)
bflowers Avatar
63 months ago
In terms of filing, the rules in EDTX are the same as every single other district in this country.
It isn't the rules, it is the judicial environment. They'll still get sued, but in districts where the outcome isn't heavily favoring the trolls. It is like home field advantage for the trolls. If you want supporting evidence of biased judicial environment, just look up Madison County IL. It has repeatedly earned the title of Judicial Hellhole, mostly due to asbestos cases.
Score: 23 Votes (Like | Disagree)
cmaier Avatar
63 months ago
Surprised it took them this long.
Score: 21 Votes (Like | Disagree)

Popular Stories

iOS 16 4 Web Push

Apple Confirms Governments Using Push Notifications to Surveil Users

Wednesday December 6, 2023 5:06 am PST by
Unidentified governments are surveilling smartphone users by tracking push notifications that move through Google's and Apple's servers, a US senator warned on Wednesday (via Reuters). In a letter to the Department of Justice, Senator Ron Wyden said foreign officials were demanding the data from the tech giants to track smartphones. The traffic flowing from apps that send push notifications...
iOS 17

iOS 17.2 Will Add These 12 New Features to Your iPhone

Friday December 1, 2023 12:19 pm PST by
iOS 17.2 has been in beta testing for over a month, and it should be released to all users in a few more weeks. The software update includes many new features and changes for iPhones, including the dozen that we have highlighted below. iOS 17.2 is expected to be released to the public in mid-December. To learn about even more features coming in the update, check out our full list. Journal ...
airpods pro 2 pink

Apple Releases New AirPods Pro 2 Firmware

Tuesday December 5, 2023 11:28 am PST by
Apple today released new firmware update for both the Lightning and USB-C versions of the AirPods Pro 2. The new firmware is version 6B34, up from the 6B32 firmware introduced in November. Apple does not provide details on what features might be included in the refreshed firmware beyond "bug fixes and other improvements," so it is unclear what's new in the update, but prior software releases ...
Beyond iPhone 13 Better Blue

'All-Screen' iPhone Under-Display Camera Enters Development

Wednesday December 6, 2023 2:03 am PST by
Apple's Korean suppliers have begun developing smartphone under-display cameras (UDC), paving the way for the first iPhone with a true "all-screen" appearance. According to The Elec, LG Innotek has entered the preliminary development of the UDC, which sits under the display and does not result in a visible hole in the panel when the camera is not in use. A UDC differs from a typical front ...
iphone se 4 modified flag edges

iPhone SE 4 May Reuse Existing iPhone 14 Battery

Wednesday December 6, 2023 1:17 pm PST by
Recently, MacRumors has received details on the battery currently being tested on the upcoming fourth-generation iPhone SE, and the information corroborates previous findings in relation to the device. The iPhone SE 4, known by its device identifier D59, is expected to use the exact same battery found in the base model iPhone 14. Partially assembled prototypes of the next iPhone SE have been ...
12

Apple to Launch Two iPad Air and Two OLED iPad Pro Models Early Next Year

Wednesday December 6, 2023 9:53 am PST by
To boost falling iPad sales, Apple has a major refresh planned for the iPad lineup in early 2024, according to Bloomberg's Mark Gurman. Apple plans to debut new iPad Air and iPad Pro models, both of which will feature notable changes. The iPad Air will come in two sizes like the iPad Pro for the first time. The smaller model will continue to measure in at 10.9 inches, but the larger version...
New iOS 17

iOS 17.2 Release Notes: All New Features for Your iPhone

Wednesday December 6, 2023 7:17 am PST by
Apple has shared the full release notes for iOS 17.2, which is in the final stage of beta testing and should be released to the public next week. iOS 17.2 includes a long list of new features and changes, including a Journal app, spatial video recording on iPhone 15 Pro models, several improvements to the Messages and Weather apps, a Favorite Songs playlist in Apple Music, and more. iOS...
magsafe blue 2

iOS 17.2 Brings Qi2 Support to iPhone 13 and iPhone 14 Models

Tuesday December 5, 2023 11:04 am PST by
The iOS 17.2 update that Apple is set to release to the public in the near future will bring support for the next-generation Qi2 wireless charging standard to the iPhone 13 and iPhone 14 models. Qi2 was mentioned in the release notes for the RC version of the update that came out today. With the addition of support for the new standard, iPhone 13 and iPhone 14 models will work with Qi2...