All too often, celebrities and otherwise wealthy people create problems for their families by failing to take the opportunity to plan their estates. Anyone who fails to provide for their loved ones creates problems, but these problems become magnified for celebrities because of the publicity and wealth. Two recent very public deaths underscore the value of proper estate planning.
Although there will probably be litigation over Michael Jackson’s estate if for no reason other than its size, “The King of Pop” appears to have done all that he could to discourage such challenges. Michael’s will “pours” his assets into a trust. He probably did this to limit public access to his affairs since while one’s entire will is public information, the specific details of a trust are not. Michael’s will and trust specifically name his three children as his beneficiaries. His trust names certain of his siblings’ children as contingent beneficiaries. This is important for two reasons. First of all, there would be no incentive for someone else to claim they are a child of Michael Jackson. Secondly, it takes the intestacy laws of the State of California out of the picture.
Michael’s will attempts to limit the inevitable legal battle over his children by naming a guardian for the children (his Mother) and even a contingent guardian (Diana Ross). His will also contains language to the effect that he is intentionally omitting to provide for his former wife, Deborah Jean Rowe Jackson. These clauses can be important in any future litigation.
The heirs of former star quarterback Steve McNair will not be as fortunate as Michael Jackson’s heirs. McNair, killed in a recent murder-suicide apparently died without a will. NFL insiders are incredulous at this apparent oversight since pro football agents typically refer their clients to estate planning attorneys as a matter of course. If McNair died without a will, the state of his residence and not McNair will decide who gets his assets. The former All-Pro left a wife and their two minor sons. Reportedly, he had two other sons not with his wife One can expect a lengthy legal battle over the paternity of these children and the resulting disposition of the estate. If McNair left no will, he may also have failed to take advantage of some fairly simple estate tax saving opportunities, thus requiring his estate to pay the maximum amount of taxes.
No one should die without a will. The relative complexity of settling the estates of these two recently deceased celebrities will highlight the consequences of failing to do so
Although there will probably be litigation over Michael Jackson’s estate if for no reason other than its size, “The King of Pop” appears to have done all that he could to discourage such challenges. Michael’s will “pours” his assets into a trust. He probably did this to limit public access to his affairs since while one’s entire will is public information, the specific details of a trust are not. Michael’s will and trust specifically name his three children as his beneficiaries. His trust names certain of his siblings’ children as contingent beneficiaries. This is important for two reasons. First of all, there would be no incentive for someone else to claim they are a child of Michael Jackson. Secondly, it takes the intestacy laws of the State of California out of the picture.
Michael’s will attempts to limit the inevitable legal battle over his children by naming a guardian for the children (his Mother) and even a contingent guardian (Diana Ross). His will also contains language to the effect that he is intentionally omitting to provide for his former wife, Deborah Jean Rowe Jackson. These clauses can be important in any future litigation.
The heirs of former star quarterback Steve McNair will not be as fortunate as Michael Jackson’s heirs. McNair, killed in a recent murder-suicide apparently died without a will. NFL insiders are incredulous at this apparent oversight since pro football agents typically refer their clients to estate planning attorneys as a matter of course. If McNair died without a will, the state of his residence and not McNair will decide who gets his assets. The former All-Pro left a wife and their two minor sons. Reportedly, he had two other sons not with his wife One can expect a lengthy legal battle over the paternity of these children and the resulting disposition of the estate. If McNair left no will, he may also have failed to take advantage of some fairly simple estate tax saving opportunities, thus requiring his estate to pay the maximum amount of taxes.
No one should die without a will. The relative complexity of settling the estates of these two recently deceased celebrities will highlight the consequences of failing to do so
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