The Probate Lawyer Blog

Muhammad Ali was never one to shy away from battles.  From heavyweight champions in the boxing ring, to the United States Government, and to the ravaging effects of Parkinson's disease, Ali continued to fight.  Now there are growing fears that the fight will follow him into the grave, with mounting reports of trouble on the horizon for his estate and his legacy. 

The circumstances are ripe for an estate battle.  Muhammad Ali fathered nine recognized children (including his adopted son from his most recent marriage) over the course of four different marriages.  Estate disputes between the surviving spouse and children from prior marriages are the most common source of trouble in probate courts across our country.  Add in the reality of Ali's long-standing struggles with Parkinson's disease -- which can have not only physical effects, but mental as well -- and there is a strong possibility that unhappy heirs may file challenges in court.

And, of course, there is the reality that so much money is on the line.  Initial reports are that Muhammad Ali's fortune ranged between $50 million and $80 million.  But that could just be the start.  As Entertainment Tonight reported, the value of the champ's fortune could increase dramatically now that he is gone, just as happened with Elvis Presley, Whitney Houston, and Michael Jackson.

As owner of the New Orleans Saints and Pelicans, Tom Benson, is used to being in control. He worked his way up from humble beginnings, starting as a used-car salesman, to owner of multiple car dealerships, banks, real estate, and a television station. Of course, Benson is most well-known for owning the NFL’s Saints franchise, which he purchased in 1985. Since then, he has successfully managed the Saints through the lows of Hurricane Katrina to the highs of winning the Superbowl. In 2012, Tom Benson added the NBA’s Hornets (now named the Pelicans) to his stable of businesses. Forbes estimates his net worth to be just shy of $1.9 billion.  

For a man with that much success and business acumen, there can be no doubt that one of the things he would enjoy least is someone suggesting he’d lost his wits. Especially when that someone is his hand-picked protégée and granddaughter, along with his daughter and grandson. And even more so when he is brought into court through a legal proceeding about whether he is competent enough to make even basic decisions about his person or property. Add in the media scrutiny that follows for a man of his stature and it is not surprising that Tom Benson is very unhappy.

Yes, Tom Benson has a great deal more money and power than most of us.  How much?  Try $1.9 billion, according to the annual Forbes rankings.  Indeed, there are only 350 richer people in the whole country.  The successful owner of the NFL’s New Orleans Saints and NBA’s New Orleans Pelicans, Benson built a wide-ranging empire of car dealerships, banks, various real estate holdings, and a television station.  He still actively participates in running his businesses — most of all his beloved Saints. 

But for all of his wealth, prestige, and status, Tom Benson is in the midst of the same type of probate-related court battle that entangles many elderly individuals in our country.  Some of Benson’s heirs do not believe the 87-year-old is mentally competent to make his own decisions any more.  They are seeking to have him declared legally incompetent and protect him from what they claim is undue influence.

Widely beloved throughout the world of baseball, especially in Chicago, Ernie Banks -- a/k/a Mr. Cub -- rose from humble beginnings.  He began his career earning seven dollars a day in the Negro Leagues, before crossing the color barrier and becoming the Chicago Cubs’ most popular player ever. 

After his playing career, Banks has been widely respected as a positive role model in baseball and beyond.  He continued to break new ground, becoming the first African-American Ford Motor Company dealer ever and being actively involved in charity work throughout his life after baseball.  In 2013, President Obama awarded Banks the National Congressional Medal of Honor.

Ernie Banks died on January 23rd at age 83 from a heart condition.  Interestingly, his death certificate listed dementia as a "significant condition contributing" to his death.  Why is this important?

Bill Davidson, the late owner of the Detroit Pistons, Tampa Bay Lightning, and Guardian Industries — one of the country’s largest private companies — had a reputation for being aggressive.  The Pistons aggressively built two championship teams under his watch and was inducted into the NBA’s Hall of Fame in 2008.  His businesses thrived through his management.  But the IRS now says Bill Davidson was too aggressive in his tax-reducing estate planning techniques. 

The IRS recently filed a petition in US Tax Court in Washington, D.C., claiming that Bill Davidson Estate owes up to two billion dollars in taxes.  Yes, that’s two Billion — with a capital “B”.  How could any individual rack up such a large tax bill?

Davidson, like many wealthy people who worry about estate taxes, gave away assets through gifts, trusts, and other transfers to his wife and other family members.  The IRS says that he undervalued the worth of these assets.  They feel his reported net worth of around $3 billion was really much higher — perhaps in the neighborhood of the $5.5 billion figure that Forbes reported his new worth to be in 2008.

Kobe Bryant, long-time Los Angeles Laker and future Hall-of-Famer, is in a bitter feud with his own mother over ownership of memorabilia potentially worth more than one million dollars.  He’s locked in a he-said, she-said dispute about whether he gave the items to his mother or not.  

Family members are split down the middle about who is telling the truth and who is lying. 

Kobe’s mother, Pamela Bryant, signed a Consignment Agreement with Goldin Auctions, in New Jersey.  In doing so, Pamela gave permission to sell more than 100 items from Kobe’s childhood, including his high school game-worn uniforms, NBA championship rings, and high school Varsity letters.  Goldin Auctions, a noted sports memorabilia auctioneer, advanced $450,000 to Pamela, which she used to purchase a house.

The big problem, of course, is that Kobe Bryant says he never gave the items to his mother and that he certainly never authorized the auction.  He sued the auction house in California to stop the sale, just days after the auction house sued him in New Jersey to permit the auction to go forward.

While Kobe is not suing his mother, and she has not sued him, the heart of the lawsuit boils down to a simple point — did Kobe give the items to his mother or not?  She signed a statement under oath, testifying to the fact that he said she could have the items years ago and that he no longer wanted them.