Katherine Jackson Wins

Thursday, September 24th, 2009

Associated Press reported that Katherine Jackson, the mother of Michael Jackson, can now challenge her son’s estate administrators without risking her inheritance share.  This is the ruling of Mitchell Beckloff, a Superior Court Judge, last Friday.  In the ruling, it states that Mrs. Jackson can remove the estate executors - John McClain (music executive) and John Branca (lawyer) - or challenge their authority without being disinherited.

Although there’s a family trust provision that calls for anyone challenging the will to lose their share in the trust, the judge ruled the complete opposite.  Previously, the lawyer of Mrs. Jackson raised concerns about a few deals that Mr. McClain and Mr. Branca have negotiated, including the involvement of Michael’s concert promoter, AEG Live.

According to Londell McMillan, Katherine’s lawyer, “We hope that this outstanding administration matter is resolved, without need for further costly obligation - this is for the best interests of Mrs. Jackson and Michael’s children, who are the true beneficiaries.”

The family trust gives 40% to Mrs. Jackson, 40% to Michael’s three children, and the remaining 20% will be given to charities.  Judge Beckloff also approved around $1 million annual allowance for the family - Mrs. Katherine Jackson, Michael’s daughter Paris, and his sons Prince Michael and Blanket.

Tags: administrators, AEG Live, Associated Press, Blanket, estate, Family Trust, inheritance, John Branca, John McClain, judge, Katherine Jackson, lawyer, Londell McMillan, Michael Jackson, Mitchell Beckloff, Paris, Prince Michael, trust
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Ridglea Theater Trust Deadline

Wednesday, August 12th, 2009

A bankruptcy judge from Fort Worth gave R.K. Maulsby Family Trust trustee until Nov. 4 in order to sell the historic Ridglea Theater located on the west side of the city even for just a pending deal.  Otherwise, they shall face foreclosure.  Doug King, the trustee, told Russell Nelms (the bankruptcy judge) that he has accepted a contract from the buyer putting down earnest money of $50,000 and then paying $1,075,000 for the property.

King said that selling the property would generate enough money to pay the creditors.  However, he declined to name the buyer after the hearing.  As the only asset of Maulby’s Trust, it filed for a Chapter 11 protection to prevent property foreclosure.  Dallas’ FixFunding posted the property for a possible foreclosure because it’s behind on its payments for a $1.1 million loan.  It also owes $260,000 to TaxEase.

Nelms said “Under that contract, I gave a chance for the debtor to perform.  However, it’s a short lease.  There will be dismissal of the bankruptcy case on Nov. 4 if the contract will fall through.”   Chad Berry, the attorney representing FixFunding and Elizabeth Zieglar, the trustee of federal bankruptcy court, asked Nelms to dismiss this bankruptcy case and argued that the family trust has no valid business purpose.

Tags: attorney, bankruptcy, Chad Berry, Doug King, Elizabeth Zieglar, Family Trust, FixFunding, foreclosure, Fort Worth, judge, Maulby's Trust, Ridglea Theater, Russell Nelms, trustee
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Can you Bequeath Major Assets without an Attorney?

Sunday, July 26th, 2009

For the first time, Illinois residents can name the person who will receive their car and be given a right to the title in case they die.  This amendment to Illinois Vehicle Code was mandated to designate a beneficiary when applications for the titles and certificate of title were made.

However, it’s difficult to quantify the number of consumers that took advantage of this designation.  Some area car dealers in Peoria didn’t even know of this change in law or whether this option needs to be included on applications for title on new vehicles purchased.

The idea to amend the code came from a resident of Missouri, where there’s a similar policy to designate the beneficiaries on car titles.  He consulted Rep. Jay Hoffman to promote this in Illinois.  Hoffman said, “It made sense.  This would be an easy and inexpensive way to transfer your property.”

However, Stuart Borden, 10^th Judicial Circuit chief judge said that it would not be prudent to name your beneficiary this way even if it’s less costly and more convenient compared to hiring an attorney.  “With less restriction and less formality, these beneficiaries may be subject to manipulation.”  Wills often involve third parties and require signatures of witnesses to oversee the interests of the person bequeathing properties while these forms require nothing more than a signature to designate or change the beneficiary.  

Tags: attorney, beneficiary, Illinois car, Illinois Vehicle Code, Jay Hoffman, judge, Missouri, Peoria, Stuart Borden, Wills
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Jackson’s Mother Asked to Administer His Estate

Sunday, June 28th, 2009

The mother of Michael Jackson, Katherine Jackson, asked a Superior Court judge in Los Angeles to name her as administrator of the estate belonging to his late son so that she can ensure that the beneficiaries would be his two children.

According to the court filing, Jackson’s parents think that he died without any valid will.  Joe Jackson, the late singer’s father, supported Katherine in her petition.  The court documents also state that Katherine Jackson “has intentions to marshal the assets of the descendant just for the three children’s exclusive use, after expenses of administration and payment of debts.”

Mitchell Beckloff, Superior Court Judge, granted the request for Katherine to assume temporary guardianship of the children; however, didn’t immediately accept her request to be the estate administrator.

So far, a will made by Michael Jackson to find out his wishes for the care of his estate and children has not surfaced yet.  Although Jackson’s funeral is still now in its planning stages, Joe, his father, said that his late son would not want to be buried at the Neverland Ranch, which is the sprawling playground that the entertainer built in Santa Barbara County’s rolling hills.

Tags: court, estate, estate administrator, Joe Jackson, judge, Katherine Jackson, Los Angeles, Michael Jackson, Neverland Ranch, Santa Barbara, singer, Superior Court
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