LUBBOCK, Texas (KCBD) – Thunder Sun Incorporated has filed for Chapter 11 bankruptcy a second time. <\/p>\n
Thunder Sun first filed for bankruptcy in October 2025, but United States Bankruptcy Judge Brad Odell dismissed the case partly because the company did not provide proof of insurance for dozens of properties. <\/p>\n
The company filed for Chapter 11 bankruptcy again in December, but Lisa Lambert, the United States Trustee for Region 6, argued in court filings that this case should also be dismissed, citing inadequate insurance coverage and ongoing utility problems at one of the company\u2019s mobile home properties.<\/p>\n
Insurance coverage concerns<\/p>\n
The U.S. Trustee filed a court document Monday, December 8 requesting an expedited hearing on her motion to dismiss the case. The document states the company \u201cfailed to provide sufficient proof of insurance for its real properties occupied by tenants with non-functioning utilities.\u201d<\/p>\n
In the court filing, the trustee stated she had only received adequate proof of property and liability insurance for five of Thunder Sun\u2019s 48 properties. The document states Thunder Sun forwarded insurance-related documents but they don\u2019t meet the standards set forth in her guidelines.<\/p>\n
Utility and sanitation issues<\/p>\n
In her motion to dismiss the case filed Friday, the trustee stated she \u201chas information and belief that the debtor has not addressed the utility and sanitation issues at the mobile home park located at 302 E. Purdue.\u201d<\/p>\n
On Monday, December 8, the City of Lubbock\u2019s Environmental Health Department confirmed it shut off water to a portion of the mobile home park due to a sewage leak.<\/p>\n
This is not the first time the property has gone without water.<\/p>\n
In October, Thunder Sun\u2019s owner Austin Hughes appeared at the Lubbock County Courthouse where a Justice of the Peace threatened to have him arrested if he did not fix a similar issue that left tenants without water for more than 20 days. Hughes fixed the issue by the deadline and avoided jail, but problems remained.<\/p>\n
On November 7, a truck hauled off the park\u2019s dumpster. The driver said it was for non-payment.<\/p>\n
Thunder Sun\u2019s response<\/p>\n
On Monday, December 8, Hughes\u2019 attorney filed an objection to the trustee\u2019s motion for an expedited hearing, stating \u201cThe Debtor has been working around the clock with counsel to furnish all the required documents to the U.S. Trustee and as of filing has provided proof of insurance for thirty-eight out of forty-eight properties. The Debtor will provide the remaining insurance policies by December 12, 2025.\u201d<\/p>\n
The court documents goes on to state while the trustee has identified issues such as policies being in the principal\u2019s name rather than the debtor\u2019s name, \u201cthe fact remains that the properties are insured.\u201d<\/p>\n
Thunder Sun\u2019s attorney also addressed the utility concerns in the filing, stating \u201cThere is electricity at the Purdue Property and the water and sewer systems are both operational. Further, a dumpster is expected to arrive December 8, 2025 which will resolve any waste concerns.\u201d<\/p>\n
Hughes filed a declaration with the court, which state in part,” On December 7, 2025, Thunder Sun Inc. engaged a plumbing contractor who had begun repairs on December 1, 2025. All updates regarding the work were communicated through Tiffany Grantz, who served as the on-site coordinator and contractor. The repairs included clearing blockages, replacing damaged PVC sections above and below ground, repairing cracked pipes in the northwest corner of the lot, locating underground leaks marked by the City\u2019s blue flag, and performing necessary excavation and cleanup of surfacing sewage. Code enforcement was present and, upon completion of initial repairs, restored water service to the property. Additional issues identified on the same day are currently being addressed, with code enforcement permitting continued water service during remediation. stating he hired a plumbing contractor on December 1 who has worked to make multiple repairs. Hughes said the City of Lubbock\u2019s code enforcement is permitting continued water service during remediation.”<\/p>\n
Stay with KCBD as we continue to learn more on this developing story. <\/p>\n
Copyright 2025 KCBD. All rights reserved.<\/p>\n","protected":false},"excerpt":{"rendered":"LUBBOCK, Texas (KCBD) – Thunder Sun Incorporated has filed for Chapter 11 bankruptcy a second time. Thunder Sun…\n","protected":false},"author":2,"featured_media":82202,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16],"tags":[39776,39775,168,170,169,39774,39773,39772],"class_list":["post-82201","post","type-post","status-publish","format-standard","has-post-thumbnail","category-lubbock","tag-austin-hughes-court-case","tag-chapter-11-dismissal-motion","tag-lubbock","tag-lubbock-headlines","tag-lubbock-news","tag-lubbock-property-insurance","tag-mobile-home-park-utilities","tag-thunder-sun-incorporated-bankruptcy"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts\/82201","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/comments?post=82201"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts\/82201\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/media\/82202"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/media?parent=82201"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/categories?post=82201"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/tags?post=82201"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}