Stopping Lawsuits in Texas

If you have unsecured debts that are not paid on time, then the creditor will probably eventually sue you.  When the creditor sues you, you should be served with a copy of the lawsuit telling you that you have a limited amount of time to file an answer.  If you do not file an answer timely, then a default judgment can be taken against you.

Filing bankruptcy almost always stops the lawsuit.  The automatic stay provision of the Bankruptcy Code prevents the lawsuit from continuing.  Filing either a Chapter 7 bankruptcy or Chapter 13 bankruptcy will place the automatic stay into effect.