I have mentioned a number of times that having an outdated will can sometimes be worse than having no will at all. And dying without a will (called intestate) means the state steps in, and well, that’s never good. I thought it would help if I provided some real-life examples of the consequences of having an outdated will.
John Singleton was an American director, producer, and screenwriter who died in 2019. At his death, his estate was estimated to be worth $38 million. His will was dated 1993 and never updated. That will left everything to his first child. And just that first child. He failed to update the will after having six more children, leaving all six unintentionally (one presumes) disinherited. A massive (and expensive) legal battle ensued.
Larry King wrote a handwritten note (aka a holographic will) two years before his death. At that time, he intended to divide his assets among his children. His outdated (and informal) document conflicted with earlier plans, which led to an extensive fight between his wife at the time and his children. If you seriously want to protect your loved ones, you need to do more than just handwrite your will.
Aretha Franklin died in 2018, but her estate wasn’t settled until 2024 because her “couch cushion will” (found in a spiral notebook under the cushions, drafted in 2014) posed a dilemma over whether it was valid over a 2010 version. Eventually, her children received an equal share of whatever was left over after legal fees and IRS tax debts. I’m sure they would have wanted to have access to their inheritances sooner.
There are two other scenarios, not specific to any celebrity, that you should know about.
The Ex-Spouse Gets the Money: In this case, an individual fails to update their beneficiary designation on life insurance policies or savings bonds after remarrying. The ex will receive the funds while the new spouse stands by, possibly left financially high and dry.
Mirror Image Wills: Often, couples will have wills drawn up, leaving everything to each other and then to their joint children. In more than one case, after a spouse dies, the surviving spouse can update their will to only include biological children, leaving any stepchildren out in the cold. This is a great example of how an estate planning attorney can help guide couples through possible scenarios to prevent this sort of action from being taken.
So the lesson here is to first have a will to protect your hard-earned assets and loved ones, and to keep it up to date. Life changes such as marriage, divorce, new additions to the family, death, significant inheritance, and more can have a major impact on your overall situation. I know the consequences of outdated estate plans – that’s why I offer all my clients a complimentary estate plan review every three years to ensure we address such changes. If your will is out of date, or you don’t have one, let’s meet. It’s easier than you think, and you’ll enjoy peace of mind knowing you’re not leaving your family members to figure it out for themselves. Please call me at 513-399-7526 or visit my website, www.davidlefton.com, for more information.