Camp Bankruptcy Moves Deaths to Federal Court, Relegating Families to End of Payment Line

Camp Mystic filed for Chapter 11 bankruptcy a year after floods killed 27 people. The move transfers wrongful-death claims from state courts to federal proceedings, where families become unsecured creditors—meaning they're far back in line if assets exist. Texas regulators had flagged the camp lacked written emergency plans and had successfully removed buildings from federal flood maps.