Who says an estate plan can’t be funny? Certainly not this guy …

Charles Vance Miller was a prominent Canadian attorney who practiced law from 1881 until his death in 1926. Miller, who died a childless bachelor at age seventy three, made some smart investments and built a considerable estate for himself.

Aside from being an accomplished attorney and investor, Miller also fancied himself a prankster and practical joker. His humor often poked fun at the greedy. It was said he believed everyone had a price. The trick was finding what it was.

One of Miller’s favorite pranks was leaving one dollar bills on the sidewalk then watching people’s expressions as they scooped them up.

Miller himself died on Halloween day, 1926. But even death wasn’t obstacle enough for his wit.
Charles Vance Miller was survived by an iron clad Will forged in the fire of the man’s unusual sense of humor.

In the Will, Miller bequeathed valuable shares of an Ontario Jockey Club to three men. (Two of which were outspokenly opposed to racetrack gambling).

Another provision bequeathed the use of a Jamaican time share to be shared amongst three attorneys who greatly despised one another.

Yet another provision, bequeathed one share of the Kenilworth Jockey Club to every practicing minister in three nearby towns. The shares were agonized over … and ended up being worth half a cent each.

But those pranks failed in comparison to one …

In his Will, Miller requested that all remaining possessions be sold and converted into money within nine years of his death, so that in the tenth year, the money could be used to pay one Toronto mother who within that ten years, conceived the most children.

The event would come to be named “The Great Toronto Stork Derby.”

Having died during the roaring twenties, it was very doubtful that Miller had any idea the nineteen-thirties would usher in a great depression.

If the desperation caused by the depression was the fuel, then Miller’s generous offering was the fire. The press ate it up. People were proverbially glued to their seats to see who would win.

In the end, four families split the reward. The mothers had nine children apiece for a payout of one hundred twenty thousand dollars each.

By all accounts, the money was put to good use. Instead of frivolous spending, the money reportedly went towards purchasing homes, automobiles, and educations for the children. And the rest as they say … is history.

Oh man, estate plans are expensive! … Yes, you read that correctly. More so, I will repeat it. Estate plans are expensive.

Are we supposed to write that?

Why not? The truth is most people think it. We think any unexpected cost is too much.

If it’s been a while since you’ve paid for a repair, been on a date, or have gone clothes shopping, there is a good chance you might flinch when presented with the bill for a new set of tires, movie tickets, clothing, or even a cup of coffee.

But at one time or another, you’ve purchased all or most of these items because of their value. Regardless of whether that value contributed to your safety, enjoyment, self esteem, success, or just warmed you up on a chilly night.

So what is the value of an estate plan?

A great deal if you are a home owner. – Especially in southern California.

In the interest of keeping things simple, let’s say you own a house free and clear worth five hundred thousand dollars. On top of that, we are going to pretend taxes do not exist, you don’t own any other monies or assets, and not to worry – you don’t need them either. Even more fantastic to believe, you have no family save one perfect adult child who is to inherit your home, and a guaranteed promise from the universe that yours will be a perfect California probate proceeding.

Every state has its own costs for probate. Some estimate as much as five percent of the estate. California on the other hand is a little more complicated.

In California, we expect to pay four percent of your estate’s first one hundred thousand dollars. – Three percent of the next one hundred thousand. – Two percent of the next eight hundred thousand – one percent of the next nine hundred thousand – and a half percent of the next fifteen million, plus some other costs.

So, what does that mean for our five hundred thousand dollar home?

It means without a Trust, you should expect to pay fifteen thousand dollars. If the house is sold during the process, the cost is closer to fifty two thousand. – Keeping in mind this is our perfect world (uncontested, non litigation, no tax) scenario.

Now, providing your estate planning needs are as simple as those depicted in the fore mentioned scenario, you could pay a fraction of the cost and still have money left over. Money which could be used for purchasing an additional plan (not that you’d need it), updating, a reasonable set of tires, movie tickets, a pair of pants, the biggest low fat chai latte the place has to offer, peace of mind, perspective, and a probate free transition of property from you to your perfect heir, providing you keep the plan updated and accessible. … So, maybe estate plans aren’t so expensive after all?

We’ve decided to close out October with another scary story about estate planning. In our last installment, we included a creepy probate tale. This time however, we have chosen a story in which probate would have been the happier alternative…

Edgar Allan Poe was a master of gothic horror. – An author and poet whose most famous works include, “The Pit and the Pendulum,” “The Tell-Tale Heart,” and “The raven.”

But in spite of having what would become three volumes of unpublished works, Poe died without having protected any of his stories with a Will or Trust. This would prove to be unfortunate.

Poe’s lack of estate planning was evidenced after his death when long time rival and editor, Rufus Wilmot Griswold succeeded in becoming Poe’s literary executor. Griswold claimed Poe assigned him the task; a fact never refuted but commonly believed to have been false.

Griswold claimed to have secured power of attorney over his work from Poe’s aunt, Maria Clemm. Regardless of the fact the rightful heir and closest living relative to Poe was his sister, Rosalie. Meaning the power of attorney should have been worthless.

Griswold would eventually publish Poe’s works without sharing a cent of the profits. Worse yet, he wrote a “biographical sketch” which wildly attacked Poe’s character.

Although Poe’s friends were quick to defend the author’s reputation, Griswold made out like a bandit and profited off the back of Poe’s work.

Now for the truly horrific part:

One would think Poe’s sister would have had a great chance of reclaiming the rights to Poe’s work had she had the money and desire to challenge Griswold. She would have had to do so in probate, and there is no telling how long the proceedings would have lasted. A better alternative would have been If Poe had a Trust and his work secured. Or even a Will which would have aided his family tremendously in probate proceedings. Either option would have found Griswold thwarted and Poe’s family vindicated.

However …
There wasn’t a Will
and there wasn’t a Trust.
Hope as you might,
Search as you must
… nevermore.

Bad probates often begin with good intentions.

Here is a scenario. A man walks into his estate planning attorney’s office. He is divorced and single with two adult sons. He owns a house, a car, and has a modest amount of money. He is hoping when he dies, to have all of his possessions split equally between his two surviving sons.

A Will is drafted on his behalf. The man names his two sons as co-executors.

The problem is that the sons have never seen eye to eye. Both are nice, respectable and responsible adults. Both love one another. Yet, they simply have never gotten along. Regardless, dad convinces himself his sons will work well together as co-executors. He feels that his passing will force them to work out their differences.

Inevitably, the man dies. His youngest son who lived closest takes possession of the Will, but fails to deliver it to the court. The older brother becomes anxious to begin probate proceedings. He tries pushing his younger brother into delivering the Will or handing it over so he can. The younger brother is non-responsive. After a couple of months, the older brother hires an attorney. His belief is that his younger brother cannot handle his end, and he hopes to be named sole executor.

Months pass, half a year, maybe a full year. The house and car get sold. The attorneys get paid. A good portion of the money dad intended for his sons has gone towards legal costs instead. The relationship between the children has worsened.

What is the point?

Family is family. Blood is thicker than water. But dealing with loss causes emotions to run high. Whether related or not, different people grieve differently. Anger which is a bi product of grief only intensifies among people who already share animosity. All we ask is to please consider this when choosing your executor, co-executor, agent, or even beneficiaries.

At the end of the day, the goal of an estate plan is to remove unnecessary stress for the living.