Foreign IP Holding Company Subject to Personal Jurisdiction in US

By Editorial Team | July 29, 2025

A recent decision by the Eleventh Circuit has significant implications for foreign intellectual property holding companies. The case of Jekyll Island-State Park Auth. v. Polygroup Macau Ltd. ruled that an IP holding company based in a remote jurisdiction is subject to personal jurisdiction in the United States for trademark infringement claims.

Many large corporate families establish intellectual property holding companies in foreign jurisdictions to manage intellectual property used by other entities within the corporate structure. This setup is often believed to offer tax advantages and can sometimes help in avoiding jurisdiction in other countries.

However, the recent ruling challenges this notion by asserting that such foreign IP holding companies can be brought under the jurisdiction of US courts for trademark infringement matters.

This decision serves as a reminder to companies operating with intricate international corporate structures that they may still be held accountable in the US legal system for intellectual property disputes, even if the IP assets are held by a foreign entity.

Legal experts suggest that this ruling could have far-reaching consequences for how companies structure their intellectual property ownership and management, especially in the context of global operations and cross-border disputes.