No jurisdiction, no default judgment
September 3, 2025
In Polaris Elec. Co. v. Raspberry 353 LLC, the Fifth Court held that a Taiwanese electronics manufacturer lacked sufficient jurisdictional contacts with Texas.
The company did not maintain offices, employees, or advertising in the state, and its only Texas-bound products reached the forum solely because a third-party customer directed shipment “FOB Taiwan.” Allegations that the defendant conspired to hinder collection of a Texas judgment and engaged in fraudulent transfers were not enough; the court concluded those acts occurred abroad and therefore could not supply the necessary “Texas activities.”
Rejecting stream-of-commerce arguments, the court emphasized that mere awareness a product may end up in Texas does not equate to purposeful availment when title and control pass overseas. As a result, a $30+ million default judgment was vacated and the substantive claims dismissed. No. 05-23-00382-CV; Aug. 29, 2025