Overview

The Hicks Johnson team led by Varant Yegparian, and including Lori Arakaki and Fraser Holmes, recently obtained a significant legal victory for their client, a leading artificial intelligence startup, underscoring their expertise in handling cross-border disputes within the tech industry. The case, filed in the United States District Court for the Southern District of Texas, involved critical issues of intellectual property and founder rights — issues which are pivotal for software, tech, and AI companies.

Dismissal of Claims

The Hicks Johnson team secured 12(b)(7) dismissal of multiple claims, including breach of contract and fraud. The team did so via a two-front strategy: seeking enforcement of a forum-selection clause and arguing that indispensable parties (located outside of the United States) were not present but nevertheless crucial for full adjudication on the merits.

Significance for Software, Tech, and AI Companies

This case serves as an important reminder of the need to clearly define and protect both intellectual property and founder rights regarding that IP. It underscores the importance of clear contractual agreements and the strategic use of forum selection clauses to manage international disputes effectively. And this case shows how these issues directly bear on companies operating in the artificial intelligence space. Hicks Johnson’s success in this case demonstrates their commitment to delivering favorable outcomes for clients in the tech industry, reinforcing their reputation as experts in complex international litigation.