Jury rules to honor Houston oilman's estate wishes

A Houston jury took less than 40 minutes to return a verdict upholding the last will of philanthropist and oilman Alfred Glassell Jr.  The verdict was the result of a lawsuit filed by Curry Glassell in which she alleged that Vinson & Elkins attorneys used undue influence to pressure her father into changing his will to favor the Museum of Fine Arts, Houston, a charitable institution which is also a client of the law firm.  Glassell was alone in this pursuit with her opposition including not only the museum, but also her father's widow, her younger brother Alfred Glassell III and the Glassell Family Foundation. 

The elder Glassell's last will, signed in 2003, is described as providing individual gifts, a life estate for his widow and then directing the bulk of estate assets to go to the MFAH and the Glassell Family Foundation.  Here's how opponents described Curry Glassell's position:

“She’s grasping at slender reeds,” said Joe Jamail, one of the museum’s lawyers. He said Vinson & Elkins does the museum work pro bono and had nothing to gain. A spokesman for the law firm said its lawyers may testify in this ongoing litigation and therefore have no comment.

“Contrary to what Curry Glassell’s attorneys at law claim, she was not disinherited by Mr. Glassell, who provided adequately for her during his lifetime and provided for her and her two children in his will,” Jamail said.
    
This case serves as a good example of the complications that can surround estates today as legal gamesmanship tactics increasingly trump inheritance or other property rights.  Attorney blogs and other columnists will pontificate on what the elder Glassell should have done to avoid this dispute.  Here, however, is the reality that they won't address. 

Estates have become a tool for Involuntary Redistribution of Assets (IRA) acts in which probate venues and/or probate instruments such as wills, trusts, guardianships and powers of attorneys are used to loot assets of the dead, disabled or incapacitated.  IRA acts can be perpetrated individually or through some combination of disgruntled family members, wannabe heirs or greedy attorneys. 

These cases manifest themselves in a number of ways.  Sometimes, the IRA perpetrators have control of an estate and elect to "reconfigure" the decedent's wishes in a manner that diverts assets from intended heirs or beneficiaries.  Leona Helmsley's estate increasingly seems to be such an example. 

In other instances, estates may be challenged by individuals without designated beneficial status as a means of entering into litigation that may be won via legal maneuvers including venue shopping or may become lucrative via a "settlement" extraction from rightful heirs or administrators seeking to avoid estate funds being consumed in fighting a frivolous lawsuit.  While sometimes referred to as an inheritance litigation tax, extortion is another applicable term.  Marshall v. Marshall, Anna Nicole Smith's pursuit of her late husband's fortune comes to mind.  Joe Jackson may be on the same path with regard to son Michael's estate.   

The use of undue influence, as alleged by Curry Glassell, absolutely occurs and can draw legitimate heirs into major battles to prevent an estate hijacking and to ensure that final wishes are honored.  It was the basis for the recent Brooke Astor estate looting trial in Manhattan.  Anthony Marshall, Astor's 85-year-old son, and estate planning attorney Frank Morrissey were convicted on charges that could result in jail time for both men.  Sentencing is scheduled for Dec. 8. 

Undue influence allegations with regard to estate plans will only increase what with our aging population, our country's collective growing sense of entitlement and a legal industry that aids, abets or ignores such acts.   

The Glassell verdict seems like the right call.  Although perhaps not enough for some, Alfred Glassell Jr. did provide for his family and his commitment to the MFAH was well known. 

While the details and dollars involved with high profile cases make for a sensational story, the public should understand the growing threat as similar actions increasingly occur with estates of far more modest values.  An estate of $500,000 to $1 million or so can be an appealing target as it's enough money to be worth pursuing, but not so much that it can be cost effectively litigated. 

Depending upon specific circumstances, IRA targets can be left with a choice of using an inheritance to fight a dispute, self-fund the dispute or avoid conflict by allowing the estate to be hijacked.  Sadly, the time and expense of litigation can cause a "win" to still be a losing proposition.  

Ways to avoid or cost effectively fight and obtain a remedy from estate abuse are currently in short supply.  Attorney opinions, on the other hand, are plentiful and the solutions offered usually involve purchasing estate planning documents.  A disregard or challenging of legitimate documents, though, cannot be controlled (that's why it's called abuse) and absolutely can derail the best-laid of plans. 

While having these documents is always encouraged, the pitfalls and potential for abuse must be recognized.  A column entitled Probate and Switch addresses this point. 

The use of probate venues and/or instruments to perpetrate Involuntary Redistribution of Assets (IRA) acts is gaining stature in public policy circles.  As a bi-partisan issue, it affects people from all points on the economic, political, educational and social spectrums.  While policy reforms are required at the state level, a strengthening of inheritance and other property rights will require localized community participation.    Additional IRA news, analysis and commentary is available at EstateofDenial.com.             

Meanwhile, forewarned is forearmed.

For more info:

Late philanthropist’s daughter challenges 9th will (Oct. 29, 2009)

Where There’s a Will, There’s a Relative (Nov. 2, 2009)

Oilman’s Heirs Fight Houston Art Museum Over Estate (Nov. 3, 2009)

Differing descriptions of oilman offered in estate fight (Nov. 4, 2009)

Glassell daughter’s tearful testimony (Nov. 5, 2009)

‘In terrorem’ clause is one way to cut heir out of will (Nov. 6, 2009)

Museum of Fine Arts Houston in Contested Glassell Will (Nov. 9, 2009)

Glassell estate trial seeks to overturn Houston oilman's last will  (Nov. 11, 2009)

Oilman’s heirs fight (Nov. 15, 2009) 

Jury gives Glassell fortune to charity, not daughter (Nov. 16, 2009)

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