If your license has been suspended due to a civil judgment for a car accident in which you were responsible as an uninsured motorist, you may be able to discharge the debt by filing a Chapter 7 and get your license reinstated. Under Texas law, if you have a judgment entered against you as a result of a vehicular accident and you did not have any insurance, your license can be suspended until you provide proof that you have paid or are paying the civil judgment. However, if you qualify for a Chapter 7, then the judgment, so long as it is not a malicious injury or you were under the influence of any drugs or alcohol, is a civil judgment and an unsecured debt that may be dischargeable along with your other general unsecured debt.
If it was a debt arising from a malicious injury or there is a finding that you were under the influence of alcohol or drugs, then the debt must be paid in full through a Chapter 13 plan to reinstate your license while your Chapter 13 is active. The reinstatement occurs as soon as the bankruptcy case is filed and you have met all other criteria regarding paying all state license reinstatement fees and providing a copy of an SR-22 (Financial Responsibility Certificate).
If you license has been suspended under these circumstances, do not hesitate to contact our office to review your situation and determine if you qualify for reinstatement. Driving is a privilege, not a right; but all is not lost if you simply cannot pay a civil judgment against you for a vehicle accident that occurred while you were uninsured and you qualify for a Chapter 7 or Chapter 13 filing.
