Billy and Gertrude Delp sued Benjamin A. Douglas and Douglas, Kressler & Wuester, P.C., (collectively DKW) for legal malpractice arising out of representation in a business dispute. When Billy later filed for bankruptcy, the malpractice claims were included as an asset in the bankruptcy estate. The bankruptcy trustee sold the claims to a representative of DKWs malpractice carrier, who then successfully moved the trial court for an agreed dismissal of Billy’s claims. The trial court eventually directed a verdict for DKW on all of Gertrude’s legal malpractice and Deceptive Trade Practices Act (DTPA) claims. The court of appeals held that the trial court erred by approving the agreed dismissal of Billy’s claims and granting a directed verdict on Gertrude’s malpractice claim and two of her three DTPA claims.
In the mid-1950s, Billy and Gertrude Delp, along with their partner John Harvison and his wife, formed Nu-Way Oil Company. They eventually created several Nu-Way companies (collectively Nu-Way) and acquired others, including Economy Oil and Dynamic Industries. In the 1980s, they formed Nu-Way, Inc., which held the stock to these other companies. Billy owned half of the stock in Nu-Way and Economy and one-third of the stock in Dynamic; the Har-vison family owned the remaining stock in these companies. Billy, Gertrude, and Har-vison served as the companies’ directors.
In 1987, the directors of Nu-Way, Inc., voted to go public. In order to do so, Billy, Gertrude, and Harvison formed FFP Partners, L.P. In exchange for becoming limited partners, Dynamic, Economy, and Nu-Way each contributed their assets to FFP Partners. These companies then formed FFP Operating, which was a subsidiary of, and managed, FFP Partners. They also formed *881 FFP Management, which became a general partner of both FFP Partners and FFP Operating. Billy, Harvison, and six others were the directors of FFP Management. Billy was FFP Management’s chief executive officer. Gertrude was neither an officer nor a director of FFP Management.
Soon after going public, Billy contends that Harvison began attempting to buy businesses outside of the companies’ core business activities. Fearing that such a move would hinder the partners from meeting expansion commitments they had made to investors, Billy met with attorneys from DKW to discuss whether Gertrude and he could take legal action to thwart Harvison’s attempts. DKW advised Billy and Gertrude that they were legally entitled to modify the FFP Management board because companies that Billy and Gertrude controlled, Economy and Nu-Way, owned fifty percent of FFP Management’s voting rights. Thereafter, in an attempt to make the board smaller and less susceptible to Harvison’s influence, Billy authorized notice of a special meeting to be sent to FFP Management shareholders.
In response to the special meeting notice, Harvison called for a separate shareholders’ meeting, at which Billy was terminated as FFP Management’s chief executive officer. At subsequent Nu-Way and Economy meetings, Harvison was removed as an officer of those companies. Billy was given authority to vote all of Nu-Way’s and Economy’s stock in FFP Management, thereby giving Billy control of the outcome of FFP Management shareholders’ meetings.
Harvison responded by suing Billy and Gertrude, who were represented by DKW. Two days into a temporary injunction hearing, at which Gertrude was the primary witness, the two sides began settlement negotiations. Eventually they reached an agreement, which Harvison’s attorneys finalized in a compromise settlement agreement. After meeting with DKW for approximately thirty minutes to an hour, Billy and Gertrude signed the agreement. Part of the agreement required Gertrude to resign from the boards of Nu-Way and Economy, which resulted in their boards being deadlocked, with only Billy and Harvison as directors.
Nu-Way began experiencing financial difficulties shortly thereafter. Sunbelt Savings eventually sued Nu-Way, Billy, and Harvison on notes Nu-way executed, which Billy and Harvison personally guaranteed. Sunbelt settled with Harvison, but obtained a $1.2 million judgment against Nu-Way and Billy. Billy was unable to force Nu-Way to liquidate its assets, allegedly due to the director deadlock. In the settlement with Harvison, Sunbelt sold the $1.2 million judgment to Harvison. Harvison then assigned the judgment to a company his children owned, which foreclosed on the Nu-Way assets. As a result, the Delps lost all the assets they held through Nu-Way.
In May 1991, Billy and Gertrude sued DKW for legal malpractice over its handling of the settlement agreement and for failing to adequately prepare Gertrude for her testimony in the temporary injunction hearing. In November 1991, Billy filed for chapter 11 bankruptcy, claiming that he was forced to do so because of the Sunbelt foreclosure and his inability to sell any Nu-Way assets. Billy listed the malpractice claims against DKW as an asset. Gertrude was not a party to the bankruptcy, and her legal malpractice claims were not listed as an asset. The bankruptcy court, over Billy’s objection, confirmed a reorganization plan. On Billy’s appeal, the bankruptcy court’s order was affirmed by the federal district court and the Fifth Circuit.
See In re Delp,
Gertrude proceeded to trial on her legal malpractice and DTPA claims against DKW. Her expert, George Berry, testified that Billy and Gertrude had suffered $9.1 million in damages because of DKW’s malpractice. Berry reached this figure by calculating: (1) the decline in the Delps’ net worth caused by *882 the loss of their holdings in the Nu-Way companies, (2) Billy’s lost earning capacity, and (3) Billy’s lost credit reputation. Berry testified that Gertrude’s damages constituted one-half of this figure, or $4.55 million. Gertrude also claimed damages for mental anguish, explaining that she suffered stress and depression that forced her to see a doctor, and caused physical ailments including hair loss and esophageal reflux.
At the close of Gertrude’s case, the trial court granted a directed verdict for DKW. Gertrude and Billy appealed the directed verdict and the dismissal of Billy’s claims. The court of appeals reversed and remanded as to both Gertrude’s and Billy’s interest in the malpractice claims and part of Gertrude’s DTPA claims.
DKW complains that Billy lacks standing to challenge the dismissal of his legal malpractice claims. Reasoning that Texas law prohibits assigning legal malpractice claims, the court of appeals concluded that the dismissal of the claims following the assignment to Treacy was error.
Under section 541 of the Bankruptcy Code, filing a petition for bankruptcy creates a bankruptcy estate.
See
11 U.S.C. § 541(a);
Louisiana World Exposition v. Federal Ins. Co.,
When Billy filed his bankruptcy petition, his legal malpractice claims became part of the bankruptcy estate. Once the claims became part of the estate, only the bankruptcy trustee had standing to pursue them. By filing his bankruptcy petition, Billy relinquished to the trustee any standing to prosecute or dispose of the claims. At no time did standing revest in Billy. When the reorganization plan was confirmed by the bankruptcy court, and subsequently affirmed on appeal, it included the legal malpractice claims as an asset. Billy was afforded a full opportunity to object to the handling of any part of the bankruptcy estate, including the trustee’s assignment of the malpractice claims, during the bankruptcy proceeding.
Standing is a component of subject matter jurisdiction.
See Texas Ass’n of Bus. v. Texas Air Control Bd.,
DKW also challenges Gertrude’s standing to maintain her claims. DKW complains that the court of appeals improperly reversed the trial court’s directed verdict on Gertrude’s claims for negligence, breach of fiduciary duty, and two of three alleged violations of the DTPA. In what is essentially a legal malpractice claim, Gertrude alleged that DKW was negligent and breached its fiduciary duty by failing to adequately review the compromise settlement agreement and by failing to adequately prepare her for the *883 temporary injunction hearing. Gertrude sought damages for the marital community’s economic losses and her own mental anguish. For the reasons we explain below, we conclude that Gertrude may not pursue any of the claims at issue.
As standing is a threshold issue, we first determine whether any of Gertrude’s claims became part of Billy’s bankruptcy estate. Under section 541 of the Bankruptcy Code, a bankruptcy estate consists of, among other property, “[a]ll interests of the debtor and the debtor’s spouse in community property as of the commencement of the case that is ... under the sole, equal, or joint management and control of the debtor.” 11 U.S.C. § 541(a)(2);
see Ragan v. C.I.R.,
With limited exceptions, community property under Texas law consists of all property either spouse acquired during the marriage “other than separate property.”
See
Tex. Fam.Code § 3.002;
Free v. Bland,
Gertrude seeks damages for: (1) the decline in the Delps’ net worth based on the loss of their interests in the Nu-Way companies, (2) Billy’s lost earning capacity, (3) Billy’s credit reputation, and (4) mental anguish. As Billy and Gertrude obtained the Nu-Way companies during the marriage and managed them together, any economic loss attributable to the loss of their interests in those companies was an injury to jointly-managed community assets.
See
Tex. Fam. Code §§ 3.002, 3.102(c). Therefore, any claim for those losses was swept into Billy’s bankruptcy estate, and Gertrude has no standing to pursue such losses in this lawsuit.
See
11 U.S.C. § 541(a)(2). Billy’s loss of earning capacity during the marriage constitutes his sole-management community property.
See
Tex. Fam.Code §§ 3.001, 3.102(a);
Perez v. Perez,
Gertrude further claims a right to relief for her own mental anguish. Any mental anguish damages recovered are part of the injured spouse’s separate property.
See Moreno v. Alejandro,
This Court has not yet addressed whether mental anguish damages are recoverable for legal malpractice, although without analyzing the issue we allowed an award of mental anguish damages arising out of attorney negligence to stand in
Cosgrove v. Grimes,
Some courts have allowed mental anguish claims to proceed when the client’s direct injury is not exclusively economic, but is more personal in nature, for example, loss of child custody or loss of liberty.
1
These courts recognize that economic recovery alone would not make the plaintiff whole because of the very personal nature of the injury.
See Wagenmann v. Adams,
Some of the same courts following the general rule that mental anguish is not a compensable element of damages in legal malpractice cases would permit such damages when an attorney has acted with heightened culpability.
See, e.g., Boros,
In
City of Tyler v. Likes,
Gertrude relies on
Likes
as establishing the principle that breach of a fiduciary relationship may give rise to a claim for mental anguish damages. In
Likes
we did point out that recovery of mental anguish damages has been permitted as the foreseeable result of breach of duties arising from “certain special relationships,” including that of physician-patient.
Likes,
Finally, Gertrude alleged that DKW, by advising the Delps to sign the compromise settlement agreement, misrepresented that the agreement was adequate to protect the Delps’ interests and thereby violated sections 17.46(b)(5), (7), and (12) of the DTPA. The trial court granted a directed verdict for DKW on all three sections, but the court of appeals concluded that the jury could have inferred a misrepresentation, and reversed on sections (b)(5) and (12).
Texas Business and Commerce Code § 17.46(b) provides in pertinent part that the following deceptive trade practices are unlawful:
(5) representing that goods or services have sponsorship, approval, characteristics, ingredients, uses, benefits, or quantities which they do not have or that a person has a sponsorship approval, status, affiliation, or connection which he does not;
[[Image here]]
(12) representing that an agreement confers or involves rights, remedies, or obligations which it does not have or involve, or which are prohibited by law[.]
*886
Tex. Bus. & Com.Code § 17.46(b). These subsections are intended to protect consumers against misrepresentations of material fact; statements of opinion alone are generally insufficient to rise to the level of actionable misrepresentations under the DTPA.
See Pennington v. Singleton,
Gertrude identified no particular statements by DKW about the settlement agreement’s “characteristics” or “benefits,” or about any “rights, remedies, or obligations” conferred by the agreement. She testified that while she did not recall specifically anything DKW explained to her about the agreement, DKW advised her to sign it and she did in fact sign it on DKW’s advice. Based on this testimony, the court of appeals concluded that a jury could infer “that DKW had represented to [the Delps] that the [agreement] protected their interests.”
Assuming that a representation, as that term is used in the DTPA, could be inferred from DKW’s advice to sign the agreement, a general representation that the agreement would protect the Delps’ interests is too vague under the facts of this case to support DTPA liability.
See State Farm County Mut. Ins. Co. v. Moran,
Accordingly, we reverse that part of the court of appeals’ judgment remanding Gertrude’s mental anguish and DTPA claims, and render judgment that she take nothing on those claims. We vacate the judgment of the court of appeals on the Delps’ remaining claims, and dismiss those claims for lack of jurisdiction.
Notes
. We note that under Texas law, plaintiffs convicted of a crime may maintain legal malpractice claims in connection with that conviction "only if they have been exonerated on direct appeal, through post-conviction relief, or otherwise.”
Peeler v. Hughes & Luce,
