Wednesday, November 2, 2011

Yes, You Can Create a Trust for Your Pets

Recently, one of our estate planning clients wanted us to set aside a significant portion of her estate to care for her beloved pets; all four of them.  So we arranged for a trust to be set up for the specific purpose of caring for her pampered pets.

This arrangement, more common than you think, is the subject of a new book titled, "Fat Cats & Lucky Dogs", co-authored by Grand Haven, Michigan native Gerry Beyer; now a law professor at Texas Tech School of Law.

We would emphasize the sub-title on Professor Beyer's book: "How to Leave (Some of) Your Estate to Your Pet".

In Michigan, decedents can also leave a portion of their estate to pets in a will.  This concept was challenged by the family members of a decedent who left $9 million to her cat.  The case originated in the Wayne County Probate Court; the probate judge assigned to the case upheld the decedent's wishes.  His decision was affirmed on appeal.

Beyer's book walks you through the establishment of a trust with the assistance of an attorney; contains sample trust and will provisions; surveys state pet trust statutes (there are none in Michigan); references "after-death" pet services; and animal retirement homes.

If you are this kind of person, hit the web link to the author's book above for more information.

www.waterfordlegal.com

info@waterfordlegal.com

Tuesday, November 1, 2011

Estate Planning Does Not Have to Cause Anxiety

As noted in a recent WSJ article, "estate planning" seems to cause anxiety in many elderly people.  It does not need to be so.

Many people are put off by the time it takes to gather the information necessary to putting together a good estate plan; it is akin to gathering information to complete a refinance transaction on your house.  Also, there is the expense of the estate planning lawyer.

In general, people do not like to contemplate things like the death of a loved one; or incapacity, or mental illness.  Also, estate planning often involves awkward conversations with family members; some may be selected, or nominated to serve in a fiduciary capacity while others are not.

These factors should not discourage you, however, from putting together some plan.  When you make an estate plan of any kind, even one from a document package you find on the Internet, you are at least retaining some control over the process.

Just about anything is better than no plan at all.  Dying intestate places your estate directly into the probate process, with your assets devolving to your "heirs at law" or worse, escheating to the state if you have no heirs.

It is never too early, or too late to seek out advice for the development of your estate plan.  Call us for a free legal consultation.

www.clarkstonlegal.com

info@clarkstonlegal.com


Friday, January 21, 2011

SCOTUS Reprise: Stripper's Estate Gets Second Oral Argument


Money isn't everything, right.  Yet here is SCOTUS, taking a close second look at the money.

A case involving a Texas Billionaire's massive estate and a washed-up model turned stripper is on the SCOTUS docket for oral argument today, for the second time.  You recall this case.

The estate of former Guess Jeans model whose, er, "married" name was Vickie Lynn Marshall, and who worked under the name Anna Nicole Smith, has carried on the lawsuit she filed shortly after J. Howard's death in 1995 at age 90.

Plenty of eyebrows were raised and family feathers ruffled in 1994 when Mr. Marshall took Smith as his third wife.  Then he died and the lawsuits began.

And these lawsuits have just not stopped, despite (and perhaps because of) the fact that all the litigants have died.  Anna Nicole Smith died in a drug overdose in 2007, shortly after the U.S. Supreme Court reversed an unfavorable decision for Smith issued by the U.S. Court of Appeals for the Ninth Circuit.

The case involves the scope of federal jurisdiction, eventually engulfing three separate court systems. At his death, Marshall had long established a trust estate plan leaving everything to his son, E. Pierce Marshall, who was also named trustee of the trusts.  Smith contested the trust plan, asserting that Marshall told her he would leave a portion of his estate to Smith.

What would have been a simple, although large, Texas county probate tussle went federal when Ms. Smith was hit with a default-judgment for, of all things, sexual harassment.  She filed for bankruptcy in California and her deceased husband's trustee-son claimed non-dischargability along with libel for statements Smith allegedly made against the decedent.  Smith counter claimed in the bankruptcy court for interference with her husband's estate plan.

Now hang with me on this....

The federal bankruptcy court not only dismissed the trustee's claim, it awarded Smith nearly half a billion dollars on her counter claim, finding that Marshall's son did interfere with his father's testamentary wishes.  This ruling was taken to the U.S. District Court where Smith's award was reduced to a paltry $88 million.

In the meantime, in an entirely separate proceeding, a Texas probate jury found that the decedent's estate plan was valid, ruling against Smith.  These decisions were then considered by the Ninth Circuit who invalidated the federal district court's award to Smith, holding that the Texas probate court had exclusive jurisdiction over such matters.

SCOTUS disagreed back in 2006, reversing the Ninth Circuit and holding that some issues tainted by state probate court could legitimately find their way into federal court via a properly raised bankruptcy-related issue; i.e. Smith's counterclaim.  The High Court then remanded the case back to the Ninth Circuit for a determination on the merits of that claim.

On those said merits, the Ninth Circuit again ruled against the stripper.  Again, the stripper, this time through her estate because she had died, appealed to SCOTUS who once again granted certiorari.  Responding to her claims is the estate of E. Pierce Marshall, who died shortly after Smith.

And now, viola, oral argument, chapter two is here today.  Stay tuned for the result.

This time, the issue concerns the very nature of federal jurisdiction; delving even deeper into that subject than the first go around.

Regardless of how the High Court rules, the lesson we take away from this suit is that money drives the bulk of all litigation.  Sometimes justice is just roadkill along side the road.

www.clarkstonlegal.com

info@clarkstonlegal.com

Saturday, November 13, 2010

Wayne County Probate Judge Milton Mack Receives National Award

Wayne County Probate Judge Milton Mack received the 2010 Treat Award for Excellence from the National College of Probate Judges.

In a press release, the Michigan Probate Judges Association made the following statement regarding the award:

Wayne County Probate Court Chief Judge Milton L. Mack, Jr. is the 2010 recipient of the National College of Probate Judges’ Treat Award for Excellence. The award was presented today at the National College of Probate Judges’ annual meeting. Mack is the first Michiganian to receive the award.
Judge Susan L. Dobrich, Chief Judge of Cass County Probate Court, and Hon. Patrick J. McGraw, Chief Judge of Saginaw County Probate Court, took the lead in nominating Mack for the Treat Award. They were supported by numerous probate judges and others who praised Mack for his efforts to reform Michigan’s mental health system.
“Judge Mack has made countless contributions to the improvement of the administration of justice,” Dobrich and McGraw wrote. “Judge Mack has been unyielding in finding humane and alternative solutions for the mentally ill.” Dobrich is president of the Michigan Probate Judges Association; McGraw is chair of the MPJA’s Governance Committee.
Mack, who has served as a probate judge for 20 years, has advocated changing the standard for courts to order involuntary treatment of mental illness, in order to promote early treatment and reduce crime related to mental illness. He has proposed changes to the Michigan Mental Health Code to improve access to services for the mentally ill. In April 2010, Chief Justice Marilyn Kelly of the Michigan Supreme Court highlighted Mack’s efforts in her “State of the Judiciary” address before the Legislature.
Established in 1978, the Treat Award is presented annually to one who has made “a significant contribution to the improvement of the law or judicial administration in probate or related fields.” The award is named in honor of Judge William W. Treat, founder and President Emeritus of the National College of Probate Judges. Previous recipients include U.S. Supreme Court Justice Sandra Day O’Connor, Professor James Casner of Harvard Law School, and other prominent legal scholars.
From time to time, lawyers at Clarkston Legal have had the opportunity to appear before Judge Mack.  He is very deserving of this award.  It is very nice to have someone from our practice area receive such a distinction and honor.

info@clarkstonlegal.com

www.clarkstonlegal.com


Sunday, October 17, 2010

Needed: Legal Assistant for Robust Probate Practice


If you have experience in a law firm or court and are seeking an interesting position as a legal assistant or associate attorney in the Clarkston-area, then read on.  If you know someone interested in this type of employment, please send them the link to this post.

Clarkston-area attorney and court-appointed fiduciary seeks full-time assistant with social-work or legal experience for a dynamic and challenging position involving the administration and maintenance of guardianships, conservatorships, trusts, and estates.

Self-direction, strong management and organization skills, coupled with a desire to help others less-fortunate, are valuable traits for this position. 

Working knowledge of computers, including on-line computer research skills, data base management, and familiarity with Quick Books or similar billing program is essential.  Experience with the Social Security Administration, Oakland County’s Department of Human Services (formerly FIA), Medicare, Medicaid, and local mental-health organizations is a plus. 

Specific duties include: responding to telephone queries from wards, their family members and care-providers, filing, document preparation, computer work, maintaining and organizing a computerized contact data-base and organized work area; reviewing incoming paperwork related to the wards; researching and investigating appropriate residential placements for wards; applying for and maintaining services and benefits provided by Social Security, Department of Human Services, Medicare, Medicaid, medical insurance providers, and mental health organizations; preparation and filing of probate court forms; assisting attorney at court; conducting regular ward-visits (must have own transportation); maintaining attorney’s probate calendar for hearings and appointments; and recording services provided to wards in a billing program. 

This position pays hourly during a probationary training phase.  Salary and benefits are possible, depending on the employee’s job performance, work-ethic and ability.  Qualified candidates that demonstrate how this opportunity fits into their long-term professional formation and career development will be given the most serious consideration.  

Please respond via email to:


Saturday, September 25, 2010

Katherine Jackson brings wrongful death lawsuit against AEG


This is a recent post from The Probate Lawyer Blog of Oakland County Attorney Andrew W. Mayoras, and is his original content.

When Joe Jackson sued for the death of his son Michael Jackson, Katherine Jackson initially said she wanted nothing to do with it.  Now Michael's mother, who is also the guardian of his children, has started her own lawsuit against the concert promotion company that, she claims, pushed Michael to his death.

Katherine's lawsuit blames AEG for the King of Pop's death and seeks damages on behalf of Katherine and Michael's children.  You can download and read the lawsuit here courtesy of TMZ.com.

Among other reasons, it accuses AEG of negligently hiring, failing to supervise and controlling Dr. Conrad Murray, the doctor who has been criminally charged for causing the death by using Propofol (and other drugs) to help Michael sleep, when it was not medically appropriate.

Interestingly, the lawsuit does not name Dr. Murray as a defendant.  Rather, it targets AEG and various officers and employees with the company.
In the lawsuit, Katherine alleges that AEG and the other defendants interfered with the doctor-patient relationship and ordered Dr. Murray to do whatever was necessary to make sure Michael attended a rigorous rehearsal schedule.  She claims that AEG knew Michael was having adverse reactions to Dr. Murray's treatments (to the point he was shivering in a warm arena in the summer and was disoriented) yet still insisted on him keeping a grueling rehearsal schedule that he could not physically handle.

In doing so, the company required (and handsomely paid) Dr. Murray to do whatever was necessary to cause Michael to perform, instead of acting to protect him, the lawsuit states.

The legal filing also details how AEG allegedly controlled Michael's financial affairs so significantly that he had no choice but to accept its demands.  AEG paid him substantial advances and had the right to hold him responsible for all money it paid out for the concert promotion if he did not perform.  AEG had the right to attach his assets and even said it would end his career if he didn't comply, the suit claims.

In response to the allegations, AEG's lawyer calls the lawsuit "inaccurate, unsubstantiated and meritless".  He also claims that AEG did not choose, hire or supervise Dr. Murray, but instead, he was a longtime personal physician of Michael Jackson.

This lawsuit's focus on the financial control that AEG had on Michael's life, and the impact that it had on his death, is not surprising.  As The Probate Lawyer Blog discussed just after Michael died, a British Journalist who knew Michael wrote a fascinating article about how Michael's death was caused by the lengthy concert schedule, which Michael had no choice to do because he was in so much debt.  The article said that this journalist actually predicted Michael's death six months before it happened.

This lawsuit will be a very intriguing one to watch.  AEG's defense that it didn't choose or hire Dr. Murray won't matter much if it truly convinced him to push Michael to extraordinary lengths to perform, when it knew he couldn't physically handle it (as the lawsuit claims).  But, of course, AEG denies it did anything wrong.  As the lawsuit progresses, we'll see who is telling the truth.

info@clarkstonlegal.com

www.clarkstonlegal.com

Sunday, September 5, 2010

Huge Claims Resolved in Davidson Estate

When you die a billionaire, your estate is often going to be heavily litigated before a certificate of completion is filed with the probate court.  Particularly when your widow (and business partner) is not the mother of your children.

Another ingredient for guaranteed protracted probate litigation: last minute changes to your will.

Local billionaire Bill Davidson's estate had all of these characteristics.  After his death in March 2009, Davidson's estate was estimated at well-over a billion dollars.

Davidson parlayed his fortune from Guardian Industries, a glass company, into a sports empire that once included world-champions Detroit Pistons and Detroit Shock, as well as the Tampa Bay Lightning hockey team, and the Detroit Fury arena football team.

The estate and the $20 million claims filed against it, first denied but then eventually settled, are all on file with the Oakland County Probate Court.  The terms of the settlement, however, are not.

Apparently, the problem arose when Davidson made changes to his 19-page will during the last week of his life.  Those testamentary amendments broke-up Davidson's estate into three separate trusts and named his wife, a son and a daughter, all Bloomfield Hills residents, as the sole beneficiaries.

The probate litigants pitted Davidson's spouse and owner of the Detroit Pistons, Karen Davidson, against his son and daughter.   The dispute involved claims against the estate filed by Milestones Upgrading & Industries Co., an Israeli company, and Big Ben Investments; companies with which Mr. Davidson had a long business-relationship.

The claims filed by Milestones and Big Ben alleged that Mr. Davidson made up to $20 million in investment pledges to the companies.  Karen Davidson, listed as a manager for Big Ben, wanted her husband's estate to honor the pledges, saying they were consistent with Mr. Davidson's testamentary wishes.

In collateral "breach of contract" litigation assigned to Oakland Circuit Judge Nanci Grant, the corporate plaintiffs also privately settled the circuit court disputes via stipulated orders of dismissal in July.

While these large probate and circuit court disputes were being negotiated and resolved, you may recall rumors that Karen Davidson was shopping the Detroit Pistons.  Fortunately, the Davidson Estate has enough money to resolve the expensive claims made against it and to apparently keep the Pistons right where they are; in the suburbs of the "D".

info@clarkstonlegal.com

www.clarkstonlegal.com