Certain property cannot be seized and sold to satisfy a judgment. A partial list of the most common types of property exempt from execution is as follow:
1. The homestead.
2. Personal property of various categories specified by statute, up to the aggregate fair market value, exclusive of any charges encumbering the property, of $100,000 for a family or $50,000 for a single adult who is not a member of a family (Tex. Prop. Code §§ 42.001, 42.002).
3. Current wages for personal services, except for the enforcement of court-ordered child support (Tex. Prop. Code § 42.001(b)(1)).
4. Professionally prescribed health aids of a debtor or his dependent (Tex. Prop. Code
§ 42.001(b)(2)).
5. Certain retirement benefits and funds.
6. Workers’ compensation payments (Tex. Labor Code § 408.201).
7. Cemetery lots held for purposes of sepulchre (Tex. Prop. Code § 41.001).
8. Property that the judgment debtor sold, mortgaged, or conveyed in trust if the purchaser, mortgagee, or trustee points out other property of the debtor sufficient to satisfy the execution.
9. Assets in the hands of the trustee of a spendthrift trust for the benefit of the judgment debtor (Tex. Prop. Code § 112.035; see also Hines v. Sands, 312 S.W.2d 275, 278 (Tex. Civ. App.—Fort Worth 1958, no writ)).
10. Insurance benefits (Tex. Ins. Code §§ 1108.051–.053).
11. Alimony, support, or separate maintenance payments received or to be received by the debtor for his support or the support of his dependents (Tex. Prop. Code § 42.001(b)(3)).
12. Judgments of Texas courts. See Visage v. Marshall, 763 S.W.2d 17, 18 (Tex. App.—Tyler 1988, no writ). But a motion for turnover is an effective remedy to reach a judgment owned by the debtor.
- The Abstract
- Writ of Garnishment
- Post-Judgment Investigation
- Post-Judgment Written Discovery
- Post-Judgment Deposition
- Motion to Compel
- Motion for Contempt
- Arresting the Debtor
- Discovery Has No Limits
- Motion for Turnover
- Appointing a Receiver
- Writ of Execution
- Property Exempt from Execution
- Spousal Property
Questions About Exempt Property
If most of my debtor's property is exempt, is the judgment worthless?
Not necessarily. Exempt status is not permanent and not absolute. Circumstances change — a debtor who today has only exempt property may tomorrow have non-exempt income, accounts receivable, or business assets. A judgment that is kept alive can be enforced whenever non-exempt assets appear. We have collected judgments that were more than twenty years old when the debtor's situation finally changed.
Is a debtor's house always protected from a judgment?
The homestead exemption in Texas is among the strongest in the country and generally protects a debtor's primary residence from forced sale to satisfy a judgment. A judgment lien does not attach to a valid homestead, but a recorded abstract still clouds title, so the debtor usually has to clear it (or file a homestead affidavit of release under Tex. Prop. Code § 52.0012) before selling or refinancing. Homestead status can also be contested: property the debtor treats as homestead is not always entitled to the protection. And if the debtor owns non-homestead real property, that property is not exempt.
What personal property is exempt from execution in Texas?
Texas exempts personal property up to $100,000 in fair market value for a family, or $50,000 for a single adult, across categories specified by statute. This includes clothing, furniture, food, a vehicle, tools of a trade, and certain other items. Property above those thresholds, or outside the protected categories, is non-exempt and reachable by a judgment creditor.
Are retirement accounts protected from a Texas judgment?
Generally yes. Certain retirement benefits and funds are exempt from execution under Texas law. However, the specific type of account and how it is structured matters. Not every account labeled a "retirement account" qualifies for protection — the analysis is fact-specific.
What is a turnover order's relationship to exempt property?
A turnover order only applies to non-exempt property. However, there is an important nuance: a judgment owned by the debtor — meaning money someone owes the debtor — is listed among the exempt categories, but Texas law specifically notes that a motion for turnover is an effective remedy to reach it. This is one of several areas where the exemption rules have exceptions worth knowing.
Can a debtor transfer property to a spouse or family member to put it out of reach?
Potentially — but not freely. Transfers made to hinder, delay, or defraud creditors can be challenged as fraudulent transfers under Texas law. Timing is critical: transfers made after a debt arises, or shortly before a lawsuit, are particularly vulnerable to challenge. We evaluate the history of asset transfers as part of our enforcement strategy.