Friday, June 4, 2010

Gary Coleman: Another reason to get an estate plan

As is so often the case with celebrity mortality, intense media attention is paid to the "will" as a source of potential post-mortem drama. What often is overlooked (as in the case of Michael Jackson) is that most celebrity wills are part of a trust-based estate plan, and are little more than "pourover" wills directing the executor to distribute the estate to the trustee of the trust. Gary Coleman may be different, though.

Coleman was divorced at the time of his death (despite statements to the contrary by his ex-spouse). He had no living children at the time of his death. No one has been able to find a will, trust, or other testamentary document (although Todd Bridges, the sole surviving child star from Diff'rent Strokes claims Coleman had a "secret will" that disinherited Coleman's parents).

Coleman was estranged from his parents. If no estate plan is found, then under intestacy his parents would inherit his estate. Judging by the claim of estrangement, I would venture that this was not Mr. Coleman's intent.

I've written previously on my old blog about people who die relatively young wihout a will but with intestate heirs to whom they would never want their estate to go. The only way to avoid this is with an estate plan that clearly sets our your wishes.

It's not about money. It's about control.

Thanks to Gary Beyer of Wills, Trusts & Estates Prof Blog, who has been monitoring these events closely.