"Texas Filing Chapter 11"

Each debtor in Texas filing Chapter 11 may choose to be a debtor in possession. As an exact term of legal art, a debtor in possession assumes many of the same rights, duties, and responsibilities as a bankruptcy trustee. All debtors in Texas filing Chapter 11 must satisfy an extensive assortment of administrative duties under court supervision. Also, because of the time consuming and often expensive administration, debtors in Texas filing Chapter 11 also enjoy more lucrative options than consumers filing Chapter 7 or Chapter 13 bankruptcy cases.

In Texas, legal definitions are derived from many sources, both federal and state: case law, statutes, rules of procedure, rules of evidence, and local practices. The application of law determines meaning, rather than common usage in ordinary conversations. For instance, a particular phrase used in a significant court decision may become popular, and is understood to include the rationale and requirements contained in the published opinion. For this reason, any debtor who may have questions about legal terminology should contact a qualified attorney for clarification. Most consumer specialists offer free consultations for anyone who is considering filing Chapter 7 or Chapter 13.

Back to Texas Bankruptcy Courts directory and content.