New York Estate Planning Lawyer Blog

May 24, 2013

Family Claims Women Looking to “Fleece” Estate After Man’s Murder

Earlier this month we discussed the unique estate issues connected to the murder of a wealthy investor named Raveesh Kumra. Mr. Kumra was murdered during a robbery late last year. It has since been learned that the suspects include several men with connections to alleged prostitutes with whom Kumra apparently was connected. It is a tragic situations all the way around, and the man’s family was understandably blindsided by the situation.

Making matters worse, a significant battle over Kumra’s estate has been waged by various parties since the death. It is an example of the unique court challenges that often result when comprehensive estate planning is not conducted and all possible issues are not analyzed as part of that plan.

Out-of-Wedlock Children

May 22, 2013

May is “Leave a Legacy” Month

by Ettinger Law Firm

Virtually every month now has multiple awareness labels attached to them as advocates for various causes seek to raise public support for different causes. For example, this month is known in some international circles as “Leave a Legacy” month. Considering that many New Yorkers continue to delay estate planning and otherwise put off getting long-term affairs in order, this is certainly an awareness campaign that we can get behind.

In fact, some advocates are using a New York example as a reminder. We discussed the case last week of a man who apparently left his $40 million estate to no one, meaning that the funds will be end up in the state coffers. While most do not leave behind estates of that size, failing to create a will or designate how to allocate assets is far too common.

Estate Planning is About Your Legacy

May 20, 2013

Discriminatory Old University Trust May Be Modified

by Ettinger Law Firm

Upon visiting an estate planning lawyer for the first time and learning about available options, many are surprised at the flexibility of different legal tools involved in the transfer of property. Far from simply doling out assets to specific friends and family members, one has immense control in deciding how those assets are used, when they are received, and what can trigger the loss of those assets. In this way, unique plans can be crafty which account for any number of family dynamics–multiple marriages, concerns about ex-spouses, children with special needs, relatives with poor money management skills, and more.

Similarly, the same flexibility often exists with gifts to charity. Many New Yorkers decide to share part of their assets with favorite non-profit causes. Those gifts can be one-time transfers or they may involve the creation of trusts for use in specific ways. For example, one of the most common charitable trusts involves setting up a scholarship fund to an alma mater to benefit future students. The trust may be funded with various assets, growing over the years and helping countless students.

Those creating these trusts can set many different terms on the gifts. Perhaps you’d like the funds to be used solely for those interested in pursuing nursing or for those who came from a certain disadvantaged background. In most cases, an attorney can help craft the legal arrangement so that your exact wishes are carried out.

May 16, 2013

National Enquirer Inheritance Fortune Feud: Adult Son Arrested

by Ettinger Law Firm

The New York Daily News reported this weekend on more developments in an estate feud case that we have previously touched on. It is yet another testament to the lengths that some are willing to go when significant sums of money are involved. It is also a reminder of how even the closest family bonds can be destroyed by fights over an inheritance.

Mother & Son At Odds Generoso Pope was a highly successful publisher, creating the well-known tabloid still seen in many grocery store check out lines: The National Enquirer. Generoso Pope died many years ago, and the publishing business was sold for several hundred millions dollars. This represents a huge estate that was divided between Generoso’s surviving wife and son. Per the terms of the inheritance plan, the man’s wife, Louis Pope, received $200 million. The son, Paul Pope, received $20 million. Other siblings also received sizeable inheritances.

For most families, that amount of money would seems sufficient to live off for a lifetime. However, as so often happens with large estates, feuding came immediately, with accusations being hurled on both sides about wasteful spending and withholding of funds.

May 14, 2013

Siblings Inheritance Feud Turns Criminal

by Ettinger Law Firm

Estate planning attorneys frequently urge residents to be careful about creating long-term plans to avoid family feuding. Careful consideration of inheritances, open communication between families, and prudent use of tools like trusts are usually the best way to ensure that families are not torn apart after a passing.

Some seniors appreciate certain inherent conflicts within the family and work to counter those risks. However, many others assume that such feuding only affects “others” and their family members would never fall into arguments and ruin relationships over property or other end-of-life matters. The reality is that no one knows for sure how things might play out. Reactions to the loss of a relative often spur deep psychological impulses with emotions askew. That can spur problems for even the most stable families.

Estate Planning Murder Plot

May 9, 2013

Children-Out-of-Wedlock and Inheritance Feuding

by Ettinger Law Firm

The more complex a family arrangement, the more tailored estate plan is likely needed. For local residents this often takes the form of second or third marriages, with children and different step-relatives. The “default” rules may not be good at accounting for these various relationships and balancing the unique needs of wishes of each family member. Yet, even in the most extreme cases, an estate planning attorney is able to craft the best possible arrangements, provided participants are open and honest about their situation.

But, things can get particularly sticky when there are secret relationships or other family dynamics that are not incorporated into a plan.

Mistress & Children Fight for Inheritance

May 7, 2013

NYT on the “Moving Target” of Estate Planning Today

by Ettinger Law Firm

The New York Times published a story last week that reminds residents of the complexity of many estate planning matters. The story reiterates two key principles when it comes to long-term financial and inheritance planning: (1) It is a critical task for families of all income levels; (2) It requires frequent pruning and updating.

Not a Problem for the Wealthy

There remains a misconception that estate planning is a concern only for the wealthy. If one does not have assets over the $5.25 million federal estate tax exemption level, then there is no need to worry about visiting an attorney or otherwise handling this inheritance details, right? As we often point out: this is a huge misconception. The truth is that estate planning deals with a wide-range of issues beyond the estate tax. From ensuring proper designation of life insurance policies and retirement accounts to using trusts to avoid probate and save on expenses, properly planning for transfer of assets is necessary for families of all income levels.

May 1, 2013

Die Without a Will? Inheritance May Go to Government

by Ettinger Law Firm

Forbes recently reported on a unique case that illustrates what happens when one fails to conduct any NY estate planning and does not have close heirs to take an inheritance via default intestacy rules.

The article explained how a man named Roman Blum died in January of this year. A former real estate developer, Mr. Blum was worth about $40 million at the time of his passing. He was 97. Remarkably, for one with such wealth, Blum did not have any estate planning conducted–no use of trusts or even a will to designate final wishes and property distribution.

When one dies without a will special rules apply which include a ranking list of possible inheritors. In New York, for example, an estate is usually split between a spouse and children (with a special $50,000 addition to the spouse). If there are no children, then everything goes to the spouse. If there is no surviving spouse, then everything goes to the children. If one has no spouse or children, then everything goes to parents, and absent living parents, siblings.

April 29, 2013

Developments in Anthony Marshall Case – Brooke Astor Estate Fiasco

by Ettinger Law Firm

Celebrity estate planning complications and feuds are often used to illustrate basic planning principles or common problems. Perhaps none of those examples are as well-known, especially for New Yorkers, as the sad case of the estate of Brooke Astor. The legendary socialite and philanthropist died several years ago. Since her passing, a wide-range of claims were made regarding the distribution of her assets and criminal activity on the part of those responsible for her care and affairs in the later years of her life.

Astor reportedly suffered from Alzheimer’s at the end of her life–an affliction that similarly affects many New York seniors. Unfortunately, also like many others, it seems that her condition was abused by the very people who were supposed to look-out for her.

Astor’s son, Brooke Marshall, was criminally charged with exploiting his mother to funnel more money to himself. Marshall was ultimately convicted, along with a co-defendant, of illegally giving himself a $2 million “raise” to administer the estate. Claims also suggested that an amendment to Astor’s will in 2004 included a forged signature.

April 26, 2013

The DuPont Case, Mental Illness, and Wills

by Ettinger Law Firm

Residents are often warned to complete their estate planning–wills and trusts–before it is “too late.” Most assume that the planning is only “too late” if they die before getting it done. But that is a mistake. In many cases “too late” actually refers to losing the competency to create the legal documents. As a practical matter, it may even mean before one even has the appearance of mental health issues, because even a hint of problems may open the door to legal challenge from others.

Estate planning is about ensuring one’s wishes are carried out and maximizing the preservation of assets without controversy. Limiting that controversy includes completing the planning early and efficiently, minimizing the risk of problems down the road. Thought of in that way, “too late” is far earlier than simply “before you die.”

John duPont Estate