Determining who will be appointed as executor of an estate is a very important aspect of estate planning. The person who assumes this role is responsible for ensuring that payments are made from the estate according to plan. Failure to uphold this duty, in accord with a will or relevant Minnesota estate laws, can cause serious issues for beneficiaries.
According to reports, an estate-related dispute in another state shows the importance of not only establishing an estate plan, but also determining the best candidates to administer the estate as necessary. Johnny Thunders, who was the guitarist for the influential punk band New York Dolls, died without an estate plan or much money to his name, but his estate is going through a very serious dispute at this time.
When Thunders passed away, he had only $4,000 worth of assets. Yet his sister assumed the role of executor and she made very wise investments. Over time, the estate grew considerably in value. Thunders’ three children were eventual beneficiaries of the estate, receiving payments twice per year.
After Thunders’ sister passed away, his daughter was put in charge of administering this estate. Unable to afford a $75,000 bond, she was unable to assume control of the estate to disburse the rest of the assets. As a result, the two other children have been trying to strip her authority as executor in order to receive their shares of the estate.
Reports indicate that the financial urgency has only grown in recent years. Rolling Stone magazine named a New York Dolls track among the most influential songs in history. Since that time, the estate has been earning royalties, only increasing its value.
Naming a trustworthy executor is important. Not only that, but it might be helpful to have contingencies in place if a person passes away or is unable to perform the required duties. Ensuring delivery of assets in a timely and accurate manner is an important aspect of making sure a person’s estate is managed appropriately.
Source: The New York Post, “New York Dolls estate fight,” Julia Marsh, Dec. 9, 2013