If a party files for bankruptcy after a divorce case has been started in Texas and before the Texas divorce is finalized, the divorce case will be put on hold until the bankruptcy court says it is ok to proceed. The bankruptcy court will have to lift the stay that is in place (say it is acceptable for the divorce case to proceed) to divide marital property. The state court may still award custody of children, visitation, and hear other matters regarding the children. However, be careful here, because we know some courts that abate the case pending approval from the bankruptcy court. If bankruptcy is filed after the final decree of divorce is signed, the former spouse still has to pay child support and alimony if awarded. For those reasons, some people decide to file for bankruptcy before getting divorced. The debts will then already be discharged before the divorce case is filed. It is important to speak to your divorce lawyer and a bankruptcy lawyer before you make this determination. The Wright Firm has both bankruptcy and divorce lawyers who are ready and able to assist you in figuring out your options. Please remember that we can only represent one party in a family law matter.