Explore BrainMass

Explore BrainMass

    Bankruptcy homestead exemption in Texas

    Not what you're looking for? Search our solutions OR ask your own Custom question.

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Many of the original settlers in Texas were debtors fleeing from creditors in other states. As a result, Texas bankruptcy laws generously protect a debtor's "homestead" from being seized by creditors. A "homestead" under Texas law can be as large as one acre in an urban area or 200 acres in a rural area. As a result of this exemption, Texas has become a haven for people in financial difficulty.

    Some of those around the table, advocate the Texas homestead exemption, and argue that it is a great thing to provide a debtor with the essentials he or she needs to make a fresh start. Critics respond that the exemption is a dodge that debtors can use to hide their assets.

    There is a pause in the discussion. Now is the chance to share the sharp legal thinking you have developed.

    © BrainMass Inc. brainmass.com December 24, 2021, 6:22 pm ad1c9bdddf
    https://brainmass.com/business/financial-distress-and-bankruptcy/bankruptcy-homestead-exemption-in-texas-109521

    Solution Preview

    You could point out that the original purpose of the homestead exemption was a worthy idea as it was intended to protect a surviving spouse by allowing the spouse to continue to live in their home. The concept of land ownership is so strong in the US, and has contributed greatly to the development of our country.

    The homestead exemption in Texas is as generous as that ...

    Solution Summary

    The solution explains a little of the history and current law with respect to the homestead exemption as it applies in Texas with references to other states.

    $2.49

    ADVERTISEMENT