Wang v. Paxton

Court of Appeals for the Fifth Circuit·Decided December 11, 2025·No. 25-20354·Published

Opinion

United States Court of Appeals for the Fifth Circuit

____________ United States Court of Appeals Fifth Circuit

FILED

No. 25-20354

December 11, 2025

Lyle W. Cayce

Peng Wang, Clerk

Plaintiff—Appellant,

versus

Ken Paxton, in his Official Capacity as Attorney General of Texas,

Defendant—Appellee.

Appeal from the United States District Court for the Southern District of Texas USDC No. 4:25-CV-3103

Before Wiener, Engelhardt, and Oldham, Circuit Judges. Andrew S. Oldham, Circuit Judge:

Texas’s Senate Bill 17 prohibits individuals domiciled in designated countries, including China, from acquiring various property interests in Texas. Plaintiff Peng Wang argues that law is unconstitutional. But Wang has lived in Texas for sixteen years, attends school in Texas, and intends to obtain a job and remain in Texas after graduation—so he is not domiciled in China. Thus, we affirm the district court’s holding that Wang lacks standing to challenge Senate Bill 17.

No. 25-20354

I

A

Senate Bill 17 (“SB 17”) regulates the acquisition of real estate in Texas by certain foreign individuals and entities from “designated countr[ies].” Tex. Prop. Code § 5.251. Designated countries include those identified by the United States Director of National Intelligence as posing “a risk to the national security of the United States.” Id. § 5.251(3)(A). That list includes China, Russia, Iran, and North Korea.

SB 17 then declares that certain individuals who are “domiciled in a designated country” “may not purchase or otherwise acquire an interest in real property” in Texas. Id. § 5.253. The statute also defines what it means for a person to be “domiciled”: “[H]aving established a place as an individual’s true, fixed, and permanent home and principal residence to which the individual intends to return whenever absent.” Id. § 5.251(4). So, adding that all up, individuals who have a “true, fixed, and permanent home and principal residence” in a designated country to which they intend to return whenever absent cannot acquire various real estate interests in Texas. 1 As to enforcement, SB 17 directs the Attorney General to “establish procedures to examine a purchase or acquisition of an interest in real property and determine whether an investigation of a possible violation of this subchapter is warranted.” Id. § 5.255(a). Upon finding a violation of SB

1 SB 17 also bans other classes of individuals and entities from purchasing property in Texas. See Tex. Prop. Code §§ 5.253(1)–(3). It further proscribes certain citizens and political leaders of designated countries from purchasing property. Id. §§ 5.253(4)(B)– (E).

No. 25-20354

17, the Attorney General then “may refer the matter to the appropriate local, state, or federal law enforcement agency.” Id. § 5.255(c)(2).

B

Plaintiff Peng Wang is a Chinese citizen. But Wang has lived in Texas for the past sixteen years and currently holds an F-1 student visa. With that visa, Wang is pursuing a Master of Divinity in Fort Worth. He “expect[s] to graduate in late 2026 or early 2027” and then “hope[s] to work as a worship pastor at a local church.” ROA.66. Wang also has “built” his “social network” in Texas and “plays instruments at several local orchestras as well as lead[s] Sunday worship service at a local church.” ROA.66. He “wish[es] to continue renting an apartment in the greater Fort Worth-Dallas area to finish [his] degree and seek employment opportunities to become a pastor.” ROA.67. As Wang put it, “I have always believed that the United States is the land of opportunity and equality, and everyone has a chance to realize the American Dream.” ROA.68.

Wang, along with two other plaintiffs, sought a pre-enforcement injunction against all applications of the state law. The district court dismissed for lack of jurisdiction. The court found that the plaintiffs lacked standing because they weren’t domiciled in China. The court based its conclusion on “the duration of [the plaintiffs’] continual residence in Texas and stated intention to remain here.” ROA.266. The court also found that the plaintiffs did not face a substantial threat of future enforcement. The court reached this holding based on the Attorney General’s repeated, in- court statements that SB 17 “does not” apply and “cannot be applied” to the plaintiffs. ROA.267.

No. 25-20354

Wang and a second plaintiff then sought an injunction pending appeal, which this court denied. 2 See ECF No. 44. That second plaintiff has since voluntarily dismissed her appeal. See ECF No. 59. Wang thus is the only remaining plaintiff. 3 Our review is de novo. Lutostanski v. Brown, 88 F.4th 582, 585 (5th Cir. 2023).

II

To have standing to sue in federal court, a plaintiff must make three showings: that he has suffered an injury that is “concrete, particularized, and actual or imminent”; that the defendant likely caused the injury; and that judicial relief would likely redress the injury. TransUnion LLC v. Ramirez, 594 U.S. 413, 423 (2021). Only the first requirement is at issue here.

For a pre-enforcement challenge, the Supreme Court has announced a three-part test to show an injury: that the plaintiff “inten[ds] to engage in a course of conduct arguably affected with a constitutional interest”; that his intended conduct is “arguably proscribed by the statute”; and that the threat of future enforcement of the statute against the plaintiff is “substantial.” Susan B. Anthony List v. Driehaus, 573 U.S. 149, 161, 162, 164 (2014) (quotations omitted). For each showing, a plaintiff must come forward “with the manner and degree of evidence required at the successive stages of the litigation.” Lujan v. Defs. of Wildlife, 504 U.S. 555, 561 (1992).

We hold Wang lacks standing because he fails to allege an injury-infact . That’s for two independent reasons. The first reason (A) is that SB 17

2 The third plaintiff voluntarily dismissed her case because she “believed that assurances in the briefing of Defendant Ken Paxton established that she faced no threat of prosecution under” SB 17. ROA.227.

3 Counsel for plaintiffs has nonetheless filed another lawsuit with three new plaintiffs challenging SB 17. See Huang v. Paxton, No. 1:25-cv-01509-ADA (W.D. Tex.). That litigation remains pending in the district court.

No. 25-20354

does not arguably proscribe Wang’s conduct because he has failed to allege that he is domiciled in China. And the second reason (B) is that Wang has not alleged a substantial threat of future enforcement by the Attorney General.

A

Wang is not domiciled in China. And his counterarguments are unpersuasive.

1

Start with SB 17’s definition of “domiciled.” Tex. Prop. Code § 5.251(4). Under the statute, a person is domiciled where he has “established a place as [his] true, fixed, and permanent home and principal residence to which [he] intends to return whenever absent.” Ibid. Under this standard, Wang is not domiciled in China.

To begin, China is not Wang’s permanent home: He has lived in Texas for sixteen years and intends to stay in Texas. Specifically, he hopes to “continue renting an apartment in the greater Fort Worth-Dallas area” and “seek employment opportunities to become a pastor.” ROA.67. Thus, Wang does not “intend[] to return” to China after his current absence. See Tex. Prop. Code § 5.251(4). Indeed, Wang’s pleadings lack any sort of affirmative statement whatsoever that he intends to return to China—at all, at any time in his life, ever. In fact, counsel at oral argument could not even provide a possible address anywhere in China at which Wang has ever lived or intends to live. See Oral Argument at 6:33–6:44. Without any affirmative intent to make China his fixed, permanent home, Wang has not alleged that he is domiciled there under the plain text of SB 17.

2

Wang’s counterarguments do not change the analysis.

No. 25-20354

Free access — add to your briefcase to read the full text and ask questions with AI

Wang v. Paxton, (5th Cir. 2025).

Wang v. Paxton (Wang v. Paxton) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Ross and Morrison v. Reed
14 U.S. 482 (Supreme Court, 1816)
Ex Parte McCardle
74 U.S. 506 (Supreme Court, 1869)
Dombrowski v. Pfister
380 U.S. 479 (Supreme Court, 1965)
Warth v. Seldin
422 U.S. 490 (Supreme Court, 1975)
Babbitt v. United Farm Workers National Union
442 U.S. 289 (Supreme Court, 1979)
Virginia v. American Booksellers Assn., Inc.
484 U.S. 383 (Supreme Court, 1988)
Lujan v. Defenders of Wildlife
504 U.S. 555 (Supreme Court, 1992)
United States v. Armstrong
517 U.S. 456 (Supreme Court, 1996)
Stenberg v. Carhart
530 U.S. 914 (Supreme Court, 2000)
Sossamon v. Lone Star State of Texas
560 F.3d 316 (Fifth Circuit, 2009)
Amy Bryant v. Jim Woodall
1 F.4th 280 (Fourth Circuit, 2021)
TransUnion LLC v. Ramirez
594 U.S. 413 (Supreme Court, 2021)
Barilla v. City of Houston
13 F.4th 427 (Fifth Circuit, 2021)
Turtle Island Foods v. Strain
65 F.4th 211 (Fifth Circuit, 2023)
Lutostanski v. Brown
88 F.4th 582 (Fifth Circuit, 2023)
National Press v. McCraw
90 F.4th 770 (Fifth Circuit, 2024)