Celebrity Estate Planning Disasters
Don’t have a will? Well, don’t feel bad. You’re in good company. Many celebrities have died without an estate plan. Here are just a few with interesting twists.
Prince Rogers Nelson (Prince)
Prince died on April 21, 2016 and apparently had no will. While the value of Prince’s estate is the subject of speculation, it appears to be at least 200 million dollars. More than 45 people came forward claiming to be potential heirs, many of them claiming to be a wife, child, sibling, or other relative. In April of 2017, a judge ruled that Prince’s sister and 5 half-siblings were the rightful heirs. Those denied heir status apparently have a year to appeal the decision. Until that time, the estate cannot be distributed. Even then, I suspect it will be years before the estate is settled.
Jimi Hendrix
Jimi Hendrix died on September 18, 1970 at the young age of 27. For about 2 decades, his estate was administered by an attorney until Jimi’s father, Al Hendrix, gained control in about 1995. Internet articles indicate that the estate was still open in 2015.
Al Hendrix administered the estate until his death in 2002. Al, learning from his son, died with a will. However, that will was contested. A court upheld Al’s will in 2007. According to Al’s will, Jimi’s half-sister, Janie Hendrix, took over control of Jimi Hendrix’s estate. Various other legal battles have raged since then some as recent as 2015. In 2002, it was reported that Jimi’s estate was worth 80 million dollars.
Bob Marley
Bob Marley died on May 11, 1981 after an extended battle with cancer. He was 36 years old. You would think that, knowing he was going to die, Bob Marley would get his affairs in order. After all, he was quite astute in business matters. Yet, he died without a will. Some speculate that this was because the Rastafarian faith does not believe in death.
Bob Marley died married to Rita Marley. As far as the number of kids, there are various numbers floating out there in cyberspace. Best I can tell, Bob Marley had 14 children: two of Rita’s that he adopted, four born to Rita, and the remaining eight with separate women. He lived as a devout Rastafarian, eating fruits and vegetables, smoking marijuana, and sharing his fortune with those in need. His estate has been plagued by litigation for decades.
Salvatore Phillip “Sonny” Bono
Sonny Bono died on January 5, 1998 in a tragic skiing accident. His estate was apparently around 2 million dollars. Sonny was a sitting Congressman, had four children, and was on his fourth marriage. A sitting Congressman would have a will, right? He died without a will. Maybe that should be a debate question, and if no will, don’t vote for them.
His wife at the time, Mary Bono, acquired his seat in Congress and eventually became the administrator of his estate. Sonny had two children with Mary Bono, one with his former wife Cher (Chaz Bono), and one with his first wife, Donna Rankin. The estate was going rather smoothly until Cher filed a claim for unpaid child support and alimony. Then, a supposed love child claimed to be his son. The love child ultimately dropped the claim after a DNA test.
Philip Seymour Hoffman
Philip Seymour Hoffman died on February 2, 2014 from an apparent drug overdose. He was 46. He left behind three children born to Marianne O’Donnell, his friend and companion although not his spouse. Mr. Hoffman executed a will in 2004 shortly after his first child, Cooper Hoffman, was born.
His estate was estimated to be 35 million dollars. I found a copy of his will online. I tend to agree with critics that it is not well drafted. Perhaps Mr. Hoffman was not very enthused about the process, and the attorney did the best possible under the circumstances.
The will leaves everything to Marianne O’Donnell, and if she is deceased, in trust for his son, Cooper Hoffman. However, there is no provision for the additional children born after 2004. Since Ms. O’Donnell was not married to Philip Seymour Hoffman, I estimate 10+ million dollars in estate tax will be paid, and the remainder will be taxed again when she dies. If they were married, the unlimited marital deduction would kick in and no federal estate tax would be paid, now. With just a little planning, estate tax could have been avoided. Others have criticized both Mr. Hoffman and his lawyer over this will. From my perspective, at least he had a will, and all the money went to the mother of all his children. While tragic and wasteful, this estate hopefully will not follow the long litigation path of the others mentioned above.
