A dispute over Texas’ new school choice program has escalated into a public and legal rift between Attorney General Ken Paxton and Acting Comptroller Kelly Hancock, culminating in Paxton withdrawing his office from representing the comptroller in ongoing federal litigation.
The conflict stems from lawsuits challenging the state’s administration of the Texas Education Freedom Account (TEFA) program, particularly decisions to exclude certain Islamic schools over alleged ties to terrorist organizations. A federal judge recently extended the program’s application deadline while allowing those schools to apply as the case proceeds.
Hancock sent a letter to Paxton earlier this week urging additional legal action, including presenting new evidence to the court, revoking corporate charters of certain schools, and taking broader steps against entities he said may be linked to terrorist organizations.
Two days later, Paxton responded by formally withdrawing the Office of the Attorney General from representing the comptroller’s office in the cases.
In a March 26 letter, Paxton said Hancock’s actions had made continued representation “impossible,” citing what he described as a breakdown in the attorney-client relationship.
“You have single-handedly destroyed my ability to defend the Comptroller’s office in these cases,” Paxton wrote.
Paxton added that Hancock had “withheld basic information necessary to defend these cases” and “chosen to communicate with our lawyers through press releases rather than private conversations.”
He also wrote that Hancock’s actions “recklessly risked waiving attorney-client privilege” and “made brand-new and incendiary claims without providing any confidence that diligent investigation supported them.”
In the letter, Paxton said the dispute had led to “an irreparable breakdown in the attorney-client relationship,” making continued representation “impossible,” while noting his office would continue representing the other defendants in the case.
Hancock, in his earlier letter, pointed to Houston Quran Academy and argued the federal court may not have had full information when issuing its recent order.
“The court cannot protect against threats it does not know exist,” Hancock wrote.
In a press release, Paxton reiterated that Hancock’s actions had “destroyed the attorney-client relationship” and affected the state’s legal defense in the cases. He also disputed Hancock’s claims regarding enforcement of state laws related to foreign adversaries and terrorist organizations.
The dispute has unfolded very publicly. Earlier this week, Paxton criticized Hancock in a post on X and called on Gov. Greg Abbott to replace him with Don Huffines, the Republican nominee for comptroller who defeated Hancock earlier this month.
Hancock is currently serving as acting comptroller following the departure of former Comptroller Glenn Hegar.
The TEFA program has drawn significant interest statewide, with more than 229,000 students applying—more than double initial projections. Participation is determined by lottery rather than application timing.
Hancock did not respond to a request for comment prior to publication.
