On Behalf of Zigray Law Office, LLC | Aug 7, 2015 | Probate Litigation

Estate planning professionals generally agree that developing the plan — writing the will, signing the trust documents, drafting a healthcare power of attorney — is the first step, not the only step, toward ensuring your wishes are followed when you die or if you become incapacitated. Every person should have some kind of plan, and every person should review his or her plan annually.

The review is important for a few reasons. First, life happens. You may have a falling out with your brother that convinces you he is not the right person to raise your children if something happens to you. Your mother may pass away, so you will need to name a new personal representative. You might have a child, so you might want to buy more life insurance.

Of all the items that should be reviewed, perhaps the most often overlooked items are beneficiary designations. Life insurance policy payouts, for example, bypass probate and go straight to the beneficiary. If you don’t name a beneficiary, or if your named beneficiary has died, the payout could roll into your estate — your taxable estate that is available to creditors.

The policy itself may designate your surviving spouse as your default beneficiary, of course, but no one should count on that being the case. The same applies to 401(k) and IRA accounts: The contract may include some contingency distribution plan if no beneficiary is named, but the money could still end up taxable, available to creditors or both. The objective of these accounts is to maximize your assets for your heirs. Not naming a beneficiary is a sure way to mess that up.

We’ll continue this in our next post.

Posted in Uncategorized | No Comments »

On Behalf of Zigray Law Office, LLC | Jul 20, 2015 | Probate Litigation

The short answer is no. You have no legal obligation to include your children in any bequests or to name them as beneficiaries. There is, however, a catch.

If you do not have a will or a trust or any kind of estate plan in place when you die, the state of Ohio will distribute the entirety or a portion of your assets to your children. How much each will inherit depends on whether you have a surviving spouse and whether your spouse is also the parent of the children, but they may very well inherit.

Please note: In this context, Ohio defines “property” as both real property (real estate) and personal property (belongings). As a result, it is possible that your four children, together, will inherit your house, your car and your art collection.

The state will award your entire estate to your surviving spouse if you both are the parents of your children. Should your spouse predecease you, the estate would go to your children or their descendants in equal shares. Any children your spouse had that were not yours by birth or adoption would not inherit.

On the other hand, if your spouse survives you and you have a child that is not your spouse’s, the formula changes. The spouse receives the first $20,000 of the estate and half of the balance; the remainder goes to the child.

That formula applies only if there is one child. If there are more, the division of the estate depends on whether the spouse is the parent of none or of one or more of the children. If the spouse is the parent of at least one of the children, he or she will take the first $60,000 and one-third of the estate. The remainder will be distributed among all of the children and their descendants. Now, if the spouse is not the parent of any of the children, the first $20,000 and one-third of the estate will pass to him or her, and the children will inherit the remainder in equal shares.

What this boils down to, then, is that the best way to control who will inherit your property when you die is to execute a will or create an estate plan. You need to make your wishes known.

Source: Baldwin’s Ohio Revised Code Annotated, Chapter 2105: Descent and Distribution and Chapter 2106. Rights of Surviving Spouses, via WestlawNext

Posted in Uncategorized | No Comments »

On Behalf of Zigray Law Office, LLC | Jul 3, 2015 | Probate Litigation

As Bobbi Kristina Brown’s condition continues to decline, her estate is becoming embroiled in a couple of lawsuits and a criminal investigation. The 22-year-old daughter of Bobby Brown and the late Whitney Houston has been in a coma for the past five months. She was the sole heir of her mother’s estate — roughly $20 million — in spite of Houston’s unusual relationship with “secret son” Nick Gordon.

Gordon’s relationship with Bobbi Kristina has been a source of discussion, if not contention, since Houston’s death. At various times he was the young woman’s brother, then her boyfriend and, finally, her husband. (There is no record of a marriage.) According to a lawsuit filed by the court-appointed conservator of Bobbi Kristina’s estate, Gordon’s role in her life became more important as she received larger portions of her inheritance.

The lawsuit accuses Gordon of manipulating Bobbi Kristina and her money. Since well before the accident, the complaint says, he has regularly transferred money from her account to his, as much as $11,000 while she has been hospitalized.

Perhaps the most disturbing allegation is that Gordon regularly abused Bobbi Kristina, both physically and emotionally. When she was found in her bathtub, in fact, there was evidence of physical abuse. The incident is under investigation by the Fulton County (Georgia) prosecutor.

The second lawsuit was filed against Bobbi Kristina’s estate by a man who claims to have been injured in a car accident just a few days before she was found unconscious. This lawsuit claims that Bobbi Kristina’s negligence caused the head-on crash with the plaintiff’s vehicle. The police report blames a tire blowout. This suit also names her guardians as defendants.

Her father and her aunt were appointed as guardians of her person in May. Their role is to oversee her medical care. The court appointed an attorney as conservator of Bobbi Kristina’s estate. The conservator is responsible for legal matters involving both her estate and her legal rights.

No matter how you look at this situation, it is a tragedy. From the legal perspective, though, it shows how probate laws work to protect the interests of vulnerable adults. Bobbi Kristina cannot act on her own behalf, but someone has to.

Sources:

Courthouse News, “Lawsuit Accuses Brown ‘Husband’ of Abuse,” Dan Mccue, June 29, 2015

Daily Mail, “Man files $730,000 lawsuit against Bobbi Kristina over car accident that happened three days before she was found unconscious in bathtub,” July 2, 2015

Posted in Uncategorized | No Comments »

On Behalf of Zigray Law Office, LLC | Jun 17, 2015 | Probate Litigation

In this blog, we frequently discuss the many and varied probate issues that may arise in the wake of a loved one’s death. Estate planning tools like wills and trusts are intended to serve as a decedent’s voice and express his or her wishes with regard to the distribution of assets and property. At times, however, surviving family members may have concerns and questions about the contents and validity of these types of legal documents.

Ohio families who fear that a loved one was the victim of undue influence or fraud prior to passing may choose to seek legal advice and assistance. Likewise, disputes related to the inheritance of property or assets may arise in cases where a loved one failed to establish a will or to explicitly account for certain property or possessions in a will.

For family members who are grieving and reeling from the loss of a loved one, coming to terms with the possibility that his or her true wishes may not be carried out is often extremely emotional and difficult. Thankfully, families who are faced with this reality have options and can turn to a legal professional who handles probate litigation matters.

For roughly two decades, attorney Daniel F. Zigray has been helping Ohio residents who are dealing with probate issues. An attorney who handles probate litigation matters can assist individuals who wish to contest a will, remove a trustee or dispute an inheritance matter. Additionally, an attorney can assist in cases involving the guardianships of both minor-aged children and mentally or physically incapacitated adults.

Posted in Uncategorized | No Comments »

On Behalf of Zigray Law Office, LLC | Jun 1, 2015 | Probate Litigation

Will disputes make regular appearances in the news. When heirs to a wealthy estate dislike the contents and direction of a will, they may choose to contest it, arguing that is not correct. However, contesting a will just because you do not like what it says is not usually enough to initiate litigation. So, what is?

Although there are several reasons to contest a will, today we will focus on three: undue influence, testamentary capacity and a second will.

Undue influence occurs when the testator — or the person who wrote the will — was wrongfully coerced or manipulated into changing his or her will. Typically committed by someone close to the testator, undue influence can render a will invalid because it presumes the testator did not have the mental capacity to understand that he or she was being manipulated.

Along these lines, a will may also be challenged on the basis of testamentary capacity. In this situation, you must show that the testator lacked the mental capacity to understand the terms that he or she was creating and their consequences. If a testator had dementia, another illness or was under the influence of a substance that impaired his or her mental capacity, the will may be challenged.

Finally, a will can be challenged if a more recent will is discovered. The courts strive to follow the last version of a will in probate. While testators are encouraged to make it clear when they have decided to void one version of a will, it is possible that the wrong will can go through probate. In this case, the court may accept the more recent will if it is valid and legal.

While these are not the only reasons to challenge a will, they are among the most common. If you suspect that your loved one’s will is inaccurate — or that he or she was manipulated into changing his or her will — it is important to speak with an attorney who handles probate litigation.

Posted in Uncategorized | No Comments »

On Behalf of Zigray Law Office, LLC | Jun 1, 2015 | Probate Litigation

As we age, it’s common to experience some degree of diminishing physical and mental capacity. According to the Alzheimer’s Association, an estimated 11 percent of U.S. adults age 65 and older has the disease. What’s more, in the coming years, the number of individuals diagnosed with Alzheimer’s is expected to increase as baby boomers continue to age.

In cases where an individual lacks the mental capacity to make sound decisions, steps may be taken by a family member to establish a guardianship. When a guardian is named for an individual, he or she is legally granted the power to make decisions for the individual related to basic everyday necessities, medical care and the management of financial accounts.

In cases where the courts appoint a guardianship, certain limits may be established to help maintain an individual’s sense of control and dignity. In general the courts view a guardian as being an individual who helps “facilitate the independence and self-reliance,” of an incapacitated individual.

Unfortunately, there are cases where appointed guardians fail to act in the best interests of those they are entrusted to help and protect. In cases where other family members are concerned about the level of care being provided to or amount of control over an individual by a guardian, a petition to remove a guardianship may be filed with the court.

Common reasons cited in guardianship removal petitions include neglect, mismanagement of assets, abuse and violation of court orders. An attorney who handles probate litigation matters can assist family members in helping protect and provide for the best possible care of a loved one.

Source: FindLaw.com, “Guardianship Overview,” June 1, 2015

Posted in Uncategorized | No Comments »

On Behalf of Zigray Law Office, LLC | May 8, 2015 | Probate Litigation

Nearly every family experiences times when family members argue or disagree about certain issues. In cases where there is a family-owned business, arguments about the future of a business can harm relationships and also have significant financial repercussions.

The city of New Orleans has become the scene of a major inheritance dispute pitting the family members of Tom Benson, the 87-year-old owner of the city’s professional football and basketball teams, against one another. The dispute began brewing roughly a decade ago, when Benson married his third wife who is nearly 20 years his junior.

Prior to Benson’s third marriage, his daughter Renee and her two children, Rita and Ryan, were considered the heirs apparent to the Benson fortune which is estimated to be worth approximately $1.9 billion. However, the 87 year old shocked fans and family members alike when recently announced that he was leaving ownership of the professional sports teams to his current wife.

In response, Benson’s daughter and grandchildren filed a lawsuit in which they assert that the senor Benson is mentally unfit. Benson’s daughter has also requested she be appointed her father’s legal guardian to protect his “property and person.”

Prior to Benson’s announcement, his granddaughter held a leadership position within the Saints organization. However, in 2012, it’s reported that her grandfather forced her to “take a sabbatical…because of mistreatment of co-workers and her work ethic.”

While many, including Benson and his current wife, dispute claims of the octogenarian’s failing mental fitness; he was recently evaluated by three different doctors. Much hinges on the results of these evaluations which will not only significantly impact the futures and finances of individual family members, but also potentially the city of New Orleans.

Ohio business owners who plan to leave a family business to surviving heirs would be wise to take steps to carefully plan the succession of a business. In cases where family members disagree about business ownership, legal action may be taken.

Source: The New York Times, “His Heirs’ Expectations: Tom Benson and His Family Are Locked in Inheritance Dispute Over Saints and Pelicans,” Ken Belson, March 6, 2015 

The New Orleans Advocate, “Filings in lawsuit on Tom Benson’s mental health will be withheld from public,” Ramon Antonio Vargas, April 26, 2015

Posted in Uncategorized | No Comments »

On Behalf of Zigray Law Office, LLC | Apr 24, 2015 | Probate Litigation

There are many benefits afforded to those individuals who choose to establish a trust for the benefit of surviving family members. In addition to avoiding a lengthy and costly probate process, individuals who set up a trust can also establish corresponding provisions that must be followed with regard to the distribution of trust assets.

Upon establishing a trust, an individual must also appoint a trustee to manage and ensure that any provisions related to the trust and its assets are followed. A trustee may be a single individual in whom the trust’s grantor has faith or may be a bank or other third-party institution.

A trustee is considered a fiduciary, meaning that the individual or institution must always act and carry out activities that are in the best interest of the trust. For a beneficiary of a trust, the relationship with a trustee can become strained. In some cases, a beneficiary may take legal steps to remove a trustee.

There are several reasons why a beneficiary may choose to take action to remove a trustee. For example, say that the terms of a trust call for monthly cash distributions once a beneficiary turns age 18. In cases where a trustee fails to comply with these terms, it can be argued that the trustee should be removed.

Additionally, grounds for trustee removal also include cases where a beneficiary believes that a trustee failed to act in a fiduciary capacity. Say for example that a trustee is accused of mismanaging trust assets or using trust assets for personal gain. In either case, it’s appropriate to take legal action to remove the trustee.

When it comes to a trustee’s relationship with beneficiaries, there can be tension. In cases where personalities clash or where tensions and disputes mount, it’s wise to consult with an attorney who handles estate planning litigation matters.

Source: FindLaw.com, “5 Reasons to Remove a Trustee From Your Trust,” Brett Snider, Oct. 29, 2013

Posted in Uncategorized | No Comments »

On Behalf of Zigray Law Office, LLC | Mar 27, 2015 | Probate Litigation

In a recent blog post, we discussed the importance of taking steps to protect against potential inheritance disputes in the event of marriage or divorce. Too many families are torn apart by inheritance and estate disputes and it’s important to take steps to protect against such issues.

Legal actions like marriage and divorce often complicate matters as spouses, ex-spouses and children may become involved. A recent lawsuit in Australia involving the illegitimate daughter of the late mining billionaire Peter Wright provides another example of a complicated inheritance dispute.

The lawsuit was filed by Wright’s third child who is now age 19. During the course of his life the billionaire, who made his fortune in the mining industry, was married and divorced three times and, while married, fathered two children. Wright also fathered a third child with a woman to whom he was never married.

At the time of the 74-year-old’s death, Wright’s net worth was estimated to be $1.5 billion of which his two oldest daughters received $400 million each. Wright’s third and “secret” daughter, however, received far less as she was named the beneficiary of a $3 million trust to which many stipulations applied.

In response, Wright’s third daughter filed a lawsuit in which she contested her late father’s will and disputed the amount of her inheritance. In late February, a court ruled in the 19 year old’s favor, awarding her $25 million. That amount, however, is now being disputed by other members of the Wright family, including the late billionaire’s two other daughters.

This case provides an example of why an inheritance dispute may arise. Today’s family compositions are more complex than ever. When heirs disagree about the contents of a will and the amount of an inheritance, it’s wise to seek legal advice and assistance.

Source: Daily Mail, “Sisters at war,” Emily Crane, March 22, 2015

Posted in Uncategorized | No Comments »

On Behalf of Zigray Law Office, LLC | Mar 9, 2015 | Probate Litigation

Ohio residents of all ages are likely familiar with the singer Glen Campbell. A country music legend, the song Rhinestone Cowboy is perhaps the singer’s best-known among his 21 songs that graced the Top 40 hits list. Campbell, who was inducted into the Country Music Hall of Fame in 2005, has won five Grammy Awards; the most recent of which he won just last month. 

While in recent years, the 78-year-old musical legend has been active on the music scene; going on tour and recording two albums, he’s also been battling Alzheimer’s disease. Campbell’s two eldest children recently filed a legal petition in which they voiced concerns about their father’s current living situation and the level of care which his current and fourth wife is providing. 

The 78-year-old singer was diagnosed with the progressive and degenerative brain disorder in 2011. Since that time, his health has declined to the point where his fourth wife of 32 years, Debby Campbell-Cloyd, made the decision to move her husband to a residential long-term care facility.

Concerned for their father’s wellbeing, Campbell’s two eldest children recently filed the petition requesting that a judge appoint a guardian and conservators to help oversee their father’s finances and ensure he is recieiving the highest level of care possible. Among the allegations cited in the petition are claims that Campbell-Cloyd has failed to provide her husband with personal items and to visit him on a regular basis. Additionally, the petition raises concerns of Campbell-Cloyd’s possible mishandling of her husband’s finances.

This case provides an example of legal action that may be taken when family members have concerns about a loved one’s care and wellbeing.  

Source: AP, “Glen Campbell children fighting wife’s control of affairs,” Travis Loller, March 4, 2015

Glencampbellmusic.com, “About,” March 9, 2015

Posted in Uncategorized | No Comments »