Friday, Aug 28, 2026 The claims desk. Receipts included. POWERED BY LENZ
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The court applied Texas choice-of-law tests before enforcing Delaware law.

The Claim

In VTX Communications, LLC v. AT&T Inc., decided by the United States District Court for the Southern District of Texas on August 4, 2020, the court held that Delaware law applied to all claims solely because the partnership agreements contained Delaware choice-of-law provisions.

The Short Version

The court did not apply Delaware law merely because the agreements contained Delaware choice-of-law provisions. It evaluated those provisions under Texas choice-of-law rules, considered substantial-relationship and fundamental-policy exceptions, and separately examined whether the clauses were broad enough to cover tort claims. Although the clauses were central and Delaware law ultimately applied, the asserted basis for the holding is materially incorrect.

Caveats

  • The word “solely” omits the court’s analysis under Texas choice-of-law rules and applicable exceptions.
  • The clauses’ coverage of tort claims required a separate scope analysis; it was not automatic.
  • The Delaware provisions were central to the outcome, but their existence alone was not the court’s complete reasoning.

The Receipts

  1. UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF TEXAS MCALLEN DIVISION

    govinfo.gov

  2. SOUTHERN DISTRICT OF TEXAS MCALLEN DIVISION

    govinfo.gov

  3. VTX Commc'ns, LLC v. AT&T Inc. (VTX Commc'ns, LLC v. AT&T Inc., CIVIL ACTION NO. 7:19-cv-00269 (S.D. Tex. Aug 04, 2020)) - vLex United States

    case-law.vlex.com

  4. "This Stuff's Made in New York City!" Choice of Law in Texas Non ...

    fiveminutelaw.com

  5. 19-269 - VTX Communications, LLC et al v. AT&T, Inc. et al - GovInfo

    govinfo.gov

  6. VTX Communications, LLC v. AT&T, Inc. (trial court document), District Court, S.D. Texas, 2020

    exa.ai

  7. VTX Communications, LLC et al v. AT&T, Inc. et al, No. 7:2019cv00269 - Document 121 (S.D. Tex. 2023)

    law.justia.com

Filed Under

AT&T Inc.DelawareUnited States District Court for the Southern District of TexasVTX Communications, LLC

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