A federal court on Monday dismissed a challenge against a new Texas law that will restrict the ownership of properties by Chinese individuals or entities from September.
The challenge against Texas Attorney General Ken Paxton over the state’s Senate Bill 17 was brought by two Chinese nationals residing in Texas on student visas.
U.S. District Judge Charles Eskridge dismissed the plaintiffs’ complaint that the law is discriminatory and could prevent non-permanent residents from owning or renting a home
Granting Paxton’s motion to dismiss the suit, Eskridge wrote that the law doesn’t apply to plaintiffs Wang Peng and Li Qinlin, who are legal residents of the state, and others in a similar situation.
“And as such, Plaintiffs haven’t and won’t sustain any injury upon eventual enforcement of this new law. Subject-matter jurisdiction in the federal courts is thus lacking,” he wrote.
The bill, which was signed into law in June and is set to take effect on Sept. 1, bans some individuals and entities from designated foreign adversaries—currently including China, Russia, Iran, and North Korea—from owning farmland, second homes, commercial properties, and other resources in Texas, including mines, mineral resources, standing timber, ground water, or water rights.
Under the law,