Celebrity Estates

Whether it’s your spouse, your kids, or your beloved pet, there are many important reasons to get your estate plan in place and keep it up to date.  In this issue’s celebrity estates section we bring you examples of one person you know who went to great lengths to be sure their planning was thought out and well-documented and another who’s heirs found it hard to keep on  “Truckin’” in the family business after he passed away.

The last issue of this newsletter discussed the relatively new availability of pet trusts in Georgia.  Leona Helmsley was a great example of what a person can do to care for her furry friends even after the person has left this Earth.  Ms. Helmsley famously left 12 million dollars in trust for the care of her dog Trouble.  Even after a judge cut down that bequest substantially (the final sum set aside to see to Trouble’e every needs was a paltry 2 million dollars), Trouble was still known as the wealthiest dog in America.

Leona’s plan, despite the judge’s tempering of her wishes, worked out as she’d hoped.  Trouble passed away just last year at age 12, far from having outlived her money, and was pampered to the very end.  She lived out her days in Sarasota, FL where her caretaker, Carl Lekic, spent $100,000 on her care each year including $8,000 for grooming alone.

Beloved and legendary musician Jerry Garcia’s estate was not as neatly bundled for those he left behind.  His estate turned into a mess of litigation surrounding Cherry Garcia ice cream, customized guitars, and other Grateful Dead memorabilia.  Though Jerry’s music, and the highly-devoted following it engendered, was many people’s idea of the ultimate in entertainment -- it was also the family business.  A business that lacked a successful succession plan.

Most of us will never create a business as famous as Jerry’s.  However, everyone who runs a business should give careful thought to what will happen to that business when they pass away.  Will a surviving spouse or kids be left to try and run the business with a partner who doesn’t really know or want to work with them?  Do they have the tools or desire to continue the business successfully?  Our newspapers and gossip columns are filled with news of what happens when celebrities (and other business owners) don’t give this issue careful consideration before it’s too late.  A good estate plan, including business succession planning (or what some call a “business will”), will make things far easier for those you leave behind.