Camp Mystic has filed for Chapter 11 bankruptcy relief, according to court records.
The case was filed in U.S. Bankruptcy Court in the Southern District of Texas on Wednesday by an attorney on behalf of Camp Mystic.
The move follows multiple lawsuits by families alleging that the camp failed to protect campers and counselors. Twenty-five campers, two counselors, and Dick Eastland, camp owner and executive director, died when the Guadalupe River flooded nearly a year ago.
Chapter 11 bankruptcy typically allows businesses to continue operating while they reorganize their finances under court supervision. According to court records, Camp Mystic's managers authorized the company to pursue either a reorganization plan or, if necessary, a liquidation of its assets.
The filing itself doesn't address ongoing litigation against the camp. However, Chapter 11 generally triggers an automatic stay that can temporarily pause lawsuits and other actions against a debtor while the bankruptcy case moves forward. A bankruptcy judge can modify or lift that stay under certain circumstances.
Court documents for Camp Mystic, LLC, and affiliated organizations show that their total debt exceeds $10 million. A filing for the LLC shows there are 1,000 to 5,000 estimated creditors and $1 million to $10 million in estimated assets.
Camp Mystic decided to remain closed this summer following outcry from families and concerns over many Texas camps' emergency plans. Camp Mystic has been under investigation by the Texas Legislature and state health officials over its role in the flooding deaths.
More than 130 people died across the Hill Country during the natural disaster.
KUT News has reached out to Camp Mystic and its attorney listed on the case but has not heard back yet.
This is a developing story.
Neena Satija and Kailey Hunt contributed to this story.
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