EXHIBIT 5.1

                           LOEFFLER JONAS & TUGGEY LLP
                          755 EAST MULBERRY, SUITE 200
                            SAN ANTONIO, TEXAS 78212

                                November 13, 2002

Billserv, Inc.
211 North Loop 1604, Ste. 100
San Antonio, TX  78232

Re:      Registration Statement on Form S-3
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Gentlemen:

     We have been advised that on or about November 13, 2002, Billserv, Inc., a
Nevada corporation (the "Company"), expects to file under the Securities Act of
1933, as amended (the "Act") with the Securities and Exchange Commission (the
"Commission"), a Registration Statement on Form S-3 (the "Registration
Statement"). Such Registration Statement relates to the offering (the
"Offering") of up to 3,846,154 shares of the Company's stock, $.001 par value
(such class of stock being hereafter called the "Common Stock") and a Warrant to
purchase 300,000 additional shares of the Company's Common Stock (the "Warrant
Shares"). The Common Stock and the Warrant Shares are collectively referred to
herein as the "Offered Securities." This firm has acted as counsel to you in
connection with the preparation and filing of the Registration Statement and you
have requested our opinion with respect to certain legal aspects of the Offering
of the Offered Securities.

     In rendering our opinion, we have participated in the preparation of the
Registration Statement and have examined and relied upon the original or copies,
certified to our satisfaction, of such documents and instruments of the Company
as we have deemed necessary and have made such other investigations as we have
deemed appropriate in order to express the opinions set forth herein. In our
examinations, we have assumed the genuineness of all signatures and the
authenticity of all documents submitted to us as originals, and the conformity
to original documents of all documents submitted to us as certified or
reproduction copies. In addition, we have assumed and have not verified the
accuracy of factual matters of each document we have reviewed.

     As to certain questions of fact material to this opinion, we have relied,
to the extent we deem reasonably appropriate, upon the representations or
certificates of officers or directors of the company.

     Based upon the following examination and subject to the comments and
assumptions as noted below, we are of the opinion as follows:

     1)   The sale of the Common Stock and the Warrant Shares has been duly
          authorized;

     2)   The Common Stock has been duly authorized and are validly issued,
          fully paid and nonassessable; and

     3)   The Warrant Shares have been duly authorized and when issued upon such
          exercise in accordance with the terms of the Warrant Agreement at the
          price therein provided, will be validly issued and fully paid and
          nonassessable.


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     Insofar as the foregoing opinions relate to the legality, validity, binding
effect or enforceability of any agreement or obligations of the Company, (i) we
have assumed that each party to such agreement or obligation has satisfied those
legal requirements that are applicable to it to the extent necessary to make
such agreement or obligation enforceable against it; (ii) such opinions are
subject to applicable bankruptcy, insolvency, reorganization, liquidation,
receivership, fraudulent conveyance or similar laws, now or hereafter in effect,
relating to creditors' rights generally, and (iii) such opinions are subject to
the general principals of equity, including, without limitation, concepts of
materiality, reasonableness, good faith and fair dealing (regardless of whether
considered in a proceeding at law or in equity).

     We bring to your attention the fact that this legal opinion is an
expression of professional judgment and not a guaranty of results. This opinion
is given as of the date hereof, and we assume no obligation to update or
supplement such opinion to reflect any facts or circumstances that may hereafter
come to our attention or any changes in laws or judicial decisions that may
hereafter occur.

         We hereby  consent to the  filing of this  opinion as an exhibit to the
Registration  Statement.  In giving such  consent,  we do not admit that we have
come within the category of persons  whose  consent is required by the Section 7
of the Act or the rules and regulations of the Commission thereunder.

                                        Respectfully submitted,


                                        LOEFFLER, JONAS & TUGGEY, LLP

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