San Antonio, TX Estate Planning

Lawmakers Debate Issue of Digital Privacy after Death

Does a person's right to privacy extend past death? In this digital age, yes, according to legislation passed by the 2015 General Assembly — the first of its kind in the country. The Privacy Expectation Afterlife and Choices Act aims to assure that a person's electronic footprint remains off-limits after death — even to his or her close kin — except under very strictly controlled circumstances.

Have you ever wondered what will happen to your digital accounts after you die? Will anyone have access to your email or Facebook page?

One the biggest problems estate administrators face today is gaining access to a deceased person's online accounts. Digital accounts such as email, online payment sites and even social media accounts can contain valuable information and clues about the deceased's business and financial dealings. Not having access to that information can hamper administering the estate.

Nevertheless, most technology firms have taken the stance that digital accounts remain private after death and consequently they make gaining access difficult.

In Virginia, legislation is awaiting executive branch action that would allow executors access to digital accounts, if certain conditions were satisfied.

Legislation initially proposed was supported by estate attorneys, but fiercely opposed by technology industry lobbyists. A counter bill was proposed that would keep digital accounts private after death.

The two sides reached a compromise that would allow executors access to information for the 18 months preceding a person's death. However, to actually access the information, prior consent of the deceased would be needed.

Thus, for an example, an executor could see who sent the deceased emails, but could not read the contents of the emails themselves without prior consent.

As reported by The News Tribune in an article titled "Va. legislation seeks to protect digital privacy after death," the proposal has passed the legislature and awaits the signature or veto of the governor.

Reference: The News Tribune (March 7, 2015) "Va. legislation seeks to protect digital privacy after death"

Will Millennials Invest Inheritances Wisely? Wall Street Has Concerns

Source: BloombergBusiness

It seems that the millennials are going to inherit a lot more from their baby boomer parents than just some tie-dyes, Steely Dan LPs, and Fabulous Furry Freak Brothers comic books. To the tune of $30 trillion, according to Federated. But will millennials invest that wealth? Wall Street is worried, so they are taking action by creating cartoon-like ads to draw millennials in.

Millennials. What a bunch of new-age hippies, am I right? Well, maybe we shouldn’t categorize them so quickly. Much has been written about the millennial generation, those people born between 1980 and 2000. But besides their work ethic, it’s wise to consider how their thought process could impact the market.

One thing that some believe is different about millennials is that they do not just get financial advice from professionals. They also get advice from friends, social media and online gurus.

This is seen as a problem for Wall Street firms who are in the business of selling financial advice and getting people to use their services to invest. Since estimates speculate that millennials will inherit $30 Trillion from their parents and grandparents, it is paramount for Wall Street to attract the attention of these young heirs.

As Bloomberg reports in an article titled "Wall Street Has Its Eyes on Millennials $30 Trillion Inheritance," Wall Street has taken an unusual strategy to attract the attention of millennials, using animation and cartoon like graphics.

Click over to read the original article and see some examples of the cartoon graphics Wall Street firms are using.

One takeaway: if you are planning on leaving a millennial a large inheritance, it might be a good idea to have an estate plan that takes the choice of investing away from them and giving it to a professional.

A trust, for example, could be used instead of leaving the inheritance outright with a professional trustee to help protect the inheritance from and for your millennial loved ones.

If Wall Street is concerned that millennials will not invest their inheritance prudently, perhaps it would be wise for you to be concerned as well.

Reference: Bloomberg (March 3, 2015) "Wall Street Has Its Eyes on Millennials $30 Trillion Inheritance"

Proposed Pro Se Estate Planning Forms in Texas Supreme Court

If passed the bill would direct the Texas Supreme Court to create various forms to aid individuals in creating wills and navigating probate pro se.

One argument against estate planning are the fees involved in creating an estate plan. Many people cannot afford lawyers or they do not believe they need lawyers for their legal needs. This has spawned an industry that sells standardized legal forms for people to fill out and file with the courts. These forms are often cheaper than hiring an attorney on the front-end.

On the other hand, if the forms are inaccurate or filled out incorrectly, then hiring attorneys to fix any problems can get expensive. Not good!

One response from state courts is to create their own official forms and offer them for free. This is especially common in family law.

The Wills, Trust & Estates Prof Blog reports on a current debate in the Texas Senate to require the Supreme Court to create standardized forms in estate and probate law. The article is titled "Texas Senate Bill Proposes Pro Se Estate Planning Forms."

One potential downside to this proposal is that it might encourage even more people to think all they need to do estate planning is to fill out a form instead of hiring an attorney. The truth, however, is that the more complex your assets and your family situation is, the more you need an attorney.

Contact an experienced estate planning attorney because, when it comes to protecting your loved ones and your assets, do-it-yourself planning puts everything at risk.  Click here to read more about what is involved with setting up your estate plan.

Reference: Wills, Trusts & Estates Prof Blog (March 9, 2015) "Texas Senate Bill Proposes Pro Se Estate Planning Forms"

Ernie Banks' Estate Administration under Fire for Unpaid Funeral Expenses

The funeral home that handled services for Chicago Cubs great Ernie Banks has jumped into the legal battle over the estate of the Hall of Famer with a claim for more than $35,000 it says it has not been paid.

Unfortunately, the drama continues for the estate of Ernie Banks. First, there are the accusations that his longtime caregiver, Regina Rice, arranged a secret will that left the entire estate to her and disinherited his family for unknown reasons. Rice says that the will is legitimate, and her attorney recently claimed that the estate has assets of only $16,000. The court has ordered a full accounting as the family believes there should be much more.

Now, the funeral home where services were held for Banks has filed a lawsuit against the estate for $35,000 it says it has not been paid. The Star Tribune has more on the story in an article titled "Funeral home jumps into legal battle over Ernie Banks estate with demand for $35,000."

One issue should be obvious here. If Rice is correct about the value of the estate, then the funeral home is owed more money than the estate has.

The other issue is a failure of estate administration.

Normally, one of the first things an executor should do is to ensure payment of the deceased's funeral expenses. The failure to do so allows fees and interest to accrue. If the estate could not pay for the funeral, then a less expensive funeral should have been arranged.

If you need guidance and help administrating an estate, contact us to experience relief and support during this time.

Reference: Star Tribune (March 6, 2015) "Funeral home jumps into legal battle over Ernie Banks estate with demand for $35,000"

Scandal, Disinheritance and One Son’s Quest to Find Hidden Millions from Father’s Estate

Sidney Kronenberg, who owned an East Williamsburg hardware business called Brown Industries Inc., died in 2010 with about $8 million that has been accounted for, according to court records. But his son, S. Harris Kronenberg, says there is much more money out there hidden in offshore accounts and under aliases — and he bases his belief on his dad’s criminal past.

Does the name Kronenberg ring a bell? The late Sidney Kronenberg is perhaps most famous for being a part of a New York bribery and kickback scandal that Rudy Giuliani prosecuted in the 1980s. Kronenberg was convicted in the scandal but never received prison time.

When the hardware store owner passed away, it was discovered that his will disinherited his daughter and left his son a small portion of the total value of the estate. The son and daughter took the unusual step of hiring an expert to diagnose their father's mental condition after he was already dead.

This unusual step proved successful. The son and daughter were able to settle with the estate and received a large share of it.

As reported by DNAinfo in an article titled "Owner of Brooklyn Hardware Store Hid Tens of Millions of Dollars, son says," the son petitioned the court two years ago to take over administration of the estate. The son believes his father hid money all over the world using false names and social security numbers.

However, two years of searching has not produced any results.

This particular family struggle with an estate might have been unavoidable since it appears that Kronenberg did not get along with his children. Normally, the key to avoiding a family feud over an estate is open communication and that may not have been possible here.

It is smart to engage the services of an experienced estate planning attorney early in the planning process. We can help you navigate these treacherous waters.

Reference: DNAinfo (March 5, 2015) "Owner of Brooklyn Hardware Store Hid Tens of Millions of Dollars, son says"