Small estate debt exemptions ever apply?

What is the name of your state (only U.S. law)? Texas
Upon my brother's death, it was found he had a couple of paychecks that his employer readily reissued to his estate. He did die without any will. Upon checking around, it was found that a small estate affidavit could be filed in Texas. There is a problem with debts/liabilities.
The Harris County (Texas) Probate clerks office personnel (two different people) stated exemption for debts if the estate is under $50,000. What I have seen in the statutes is that there is the ability to file small estate affidavit if under $50,000, but nothing directly stating exemptions. The affidavit has been filed and final approval has been refused due to lack of listings for liabilities and debts. It was stated over the telephone that if not known it could be listed as "unknown". This was done. The filing fee is a non-refundable $157, which to our household is a vast amount. We are not sure if we were outright misinformed by the county clerks office and if indeed debts are held against even small estates in Texas. The most recent notice from the court insisted on our providing information which was listed in specific terms already on the notarized form. They are stating they wish for listing of debts, if known. It is feeling like a big jerk around at this point. If we were misinformed about small estate being exempt to debts up to $50,000 then we have lost a dearly needed $157. We can not afford to have the debts my brother had held against us. Letting the issue drop has us feeling stiffed because there was no misunderstanding on our part as to what we were told on the telephone. Does anyone know Texas small estate law or have any idea how we can find out without hiring an attorney (not an affordable option if even $157 is huge amount to us)?
We basically need to know if in Texas assets and liabilities are balanced with liabilities larger than assets charged to recipients of estate as claimed on small affidavit form. My brother was in process of bankruptcy, but died before getting to court and his paychecks are needed to pay for expenses and we have no idea if we can even use those now. We are getting a big runaround from the court in Harris county when it comes to them insisting on us filing information we already provided. What can we do at this point?
The money from the paychecks was needed, but given that can not be gained if actually going to creditors then why are we basically bamboozled out of $157? If innocent accident from office workers not knowing the law, then why should the price be ours (non-refundable)? If accurate, why are the courts being so insistent on information of debts when the estate total is under $7,000 (the paychecks are roughly $4,000)? Any information pertinent to either exemptions to debts or reclaiming the filing fee because we were misinformed and never would have filed having known that we could get nothing from is needed.
My brother spent almost his entire life in service of one form or another (school crossing guard, MDA camp volunteer, CAP, US Marine, Shriner who went to children's hospitals, teacher, etc) and we are not feeling like we can get any resolution in this matter which would be merited by his perpetual service to so many causes. At least two offices in the same county giving accurate information consistent with each other and with the law and acknowledging information already provided on notarized domentation without (such as father dead but court letter insisting on whereabouts of natural father) would be appreciated. Anyone who knows Texas law in this matter or anyone with other helpful input responding would be very much appreciated.
Thank you very much for any information

§ 137. Collection of Small Estates Upon Affidavit

(a) The distributees of the estate of a decedent who dies intestate shall be entitled thereto, to the extent that the assets, exclusive of homestead and exempt property, exceed the known liabilities of said estate, exclusive of liabilities secured by homestead and exempt property, without awaiting the appointment of a personal representative when:

(1) No petition for the appointment of a personal representative is pending or has been granted; and
(2) Thirty days have elapsed since the death of the decedent; and
(3) The value of the entire assets of the estate, not including homestead and exempt property, does not exceed $50,000; and
(4) There is filed with the clerk of the court having jurisdiction and venue an affidavit sworn to by two disinterested witnesses, by all such distributees that have legal capacity, and, if the facts warrant, by the natural guardian or next of kin of any minor or the guardian of any other incapacitated person who is also a distributee, which affidavit shall be examined by the judge of the court having jurisdiction and venue; and
(5) The affidavit shows the existence of the foregoing conditions and includes a list of all of the known assets and liabilities of the estate, the names and addresses of the distributees, and the relevant family history facts concerning heirship that show the distributees’ rights to receive the money or property of the estate or to have such evidences of money, property, or other rights of the estate as are found to exist transferred to them as heirs or assignees; and
(6) The judge, in the judge’s discretion, finds that the affidavit conforms to the terms of this section and approves the affidavit; and
(7) A copy of the affidavit, certified to by said clerk, is furnished by the distributees of the estate to the person or persons owing money to the estate, having custody or possession of property of the estate, or acting as registrar, fiduciary or transfer agent of or for evidences of interest, indebtedness, property, or other right belonging to the estate.

Click to expand...

sure sounds like you have to list, and pay, any debts against the state. Honestly, I could not see how the government could unilaterally invalidate a debt owed to another entity. That is kind of contrary to what the US Constitution allows.


as to being bamboozled out of money: clerks of the court are not allowed to provide legal information.

here is a checklist provided by Travis county (it's the same for the entire state). Some good explanation there: http://www.co.travis.tx.us/probate/pdfs/small_estate_affidavit_checklist.pdf

and here is the text of section 137 mentioned in that link: http://law.onecle.com/texas/probate/137.00.html

Thank you for the information.
With google it was tough getting the actual statute to read.
It does sound in part 7 like the debts need to be settled. Bamboozled would perhaps imply intent and the intent of the clerks was probably very good yet misinformed. This is the problem. We are paying for the misinformation. His dying intestate would leave the debts in limbo and the last two pay checks simply lost. At least no debts against surviving family would be incurred. When first hearing what the clerks said it was a "huh?" thinking the debts would have to be settled first. It was put in terms that at certain levels of estate being so small the family is granted estate and debtors dismissed for consideration and only after the estate is beyond that amount (50k) do debtors gain access. That we spent the $157 needed for his final expenses is where we take issue if debts are settled first. Certainly, the creditors will not care to pay any of the final expenses. At this point, legal aid may be contacted to see if they will help clarify any matters. If there is in truth no exemption to debt by estate amount, then the estate paying for final expenses (burial, cleaning out apartment and storage rooms, etc,) would seem a change to statute worthy of consideration (burial expense limited to reasonable amount so that family does not go into excess).
The death coming a few months later his bankruptcy would have been done and this would not be issue. Life guarantees good timing at no point. Nothing has been warm and fuzzy in this and the loss itself has followed by yet more nightmares.
We understand creditors do not care about his service to humanity. It is certainly not how the U.S. system operates. It is understood that creditors were not at fault for his debts and equal consideration under the law is granted regardless of if assets were gained without scruples or while in service. The health issues which ultimately led to his death simply caused too many expenses in his life and some will expect to be paid. Given all this though, certainly gives a notion briefly passes to move to Canada where the medical expense would not have been any issue and family would not have to worry about such matters. My personal commentary. This i will take as liberty without regret for so doing given family incurs grief while conditions here have it to where the last penny goes medical expense to prolong a life who spent his time in service. Life for profit. It is the system. It is not meritorious of warm and fuzzy. You need not worry for lack of warm and fuzzy as such.
Thank you for your response. It will help in our decision to seek legal aid (free agency if any will help) rather than without knowledge incurring thousands of dollars of debt which was not ours. If anything of this seems scathing about the definitions of the law, please know this is not aimed at you but at circumstance which is certainly having me question much. Your response is appreciated. It will help. Simply, the circumstance is not and some of my commentary may reflect this. And you are right, clerks should not be giving legal advice and certainly not the wrong legal advice. I could see it permissible to state the law without giving advice of what action to pursue. Them knowing the law would be an absolute need when doing such.