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Estate Battle for Hendrix Family Almost as Legendary as His Music

A telling conversation between a reporter and Jimi Hendrix’s father twenty years ago as they stood by the graveside, gives insight into why the family feud has been going on for so long: it’s about the money.

Jimi Hendrix died in 1970 at the tender age of 27, but death has not stopped his earnings power. Hendrix, who would be 75 if he was still alive, earned more than $6.6 million last year. A recent article in The Express, “Jimi Hendrix: Family feud over guitar legend’s £130million estate,” reports that his estate, worth $175 million, has been embroiled in a feud with his brother Leon, who has three court cases currently awaiting trial.

Jimi’s estate is run by his adopted stepsister Janie.

Leon saw his brother’s formative years. Jimi’s first instrument was a ukulele from a garage sale.

He’s has felt plagued by conspiracies, since being cut out of his father’s will, which he’s contested.

Jimi died with no will and his then $66 million estate was inherited by his father Al. He drafted his own will, dividing the estate between his children and grandchildren. Leon claims that his dad was going to leave him $25 million in a trust fund, but in his final years Leon said his dad signed papers to cut him out of the will. When Al died in 2002, he left one gold record to Leon, while control of the Hendrix estate and its fortune went to Janie.

Leon sued to have his father’s original will reinstated, claiming that Janie had exerted undue influence on him.  However, she argued that Leon had been stripped of his inheritance because of his problems with drink, drugs, and crime. A court judge upheld Janie’s control of the estate in 2004, but three years later, Leon won a lawsuit giving him rights to Jimi’s likeness and image. When Leon produced Hendrix vodka, liquor, T-shirts and hi-fi speakers, she sued to stop him.

Despite the court’s decision, his sister is suing him for using the Hendrix name on cannabis, electronic goods and alcohol products. She’s even suing him to stop him from including a song on his new album that sounds like Foxy Lady, one of Jimi’s signature songs.

Reference: The Express (November 25, 2017) “Jimi Hendrix: Family feud over guitar legend’s £130million estate”

“Battle of the Band” Now an Estate Battle: Becker’s Estate v. Fagen

The battle over who owns Steely Dan casts a dark shadow over a legendary band.

The response from the estate of Walter Becker to a lawsuit brought by Donald Fagen is not flattering, but neither are the facts of the estate battle. A representative from Becker’s estate told Rolling Stone that the lawsuit, filed after Becker’s death on September 3, is full of “half-truths and omissions.”

Rolling Stone’s recent article, “Walter Becker's Estate Responds to Donald Fagen's Steely Dan Lawsuit,” reports that in the lawsuit, Fagen accuses Becker's estate of reneging on a Buy/Sell Agreement that he and Becker agreed to in 1972. Under that agreement, one member of the duo would buy all shares of Steely Dan, if the other member quit or died.

"We believe the agreement to which Mr. Fagen refers in his suit—drafted 45 years ago—was not in effect at the time of Walter's death," a representative for Becker's estate said in a statement to Rolling Stone.

"Mr. Fagen's lawsuit, riddled with half-truths and omissions, misleadingly fails to state that the day after Walter died, Mr. Fagen had his lawyer send a demand letter to Walter's estate, thus beginning a legal campaign against Walter's family immediately after his death."

The lawsuit also sued the band's former business managers and tour accounting company over "secretive behaviors." Fagen said he received a letter from Becker's widow stating that, as director or officer of Steely Dan, she is entitled to 50% ownership of the band. He also accused the Becker estate of not giving up control of the Steely Dan website. But a spokesperson for the Becker estate remarked that "the misrepresentation that his widow, [Delia Becker] initiated any litigious action is simply untrue." The estate claimed that they twice have neared a compromise with Fagen's legal team, only for Fagen to fire both lawyers. A third lawyer for Fagen filed the lawsuit, they allege, without first reaching out to the Becker estate.

The attorney representing Fagen released a statement to Rolling Stone after the article appeared. He says that Fagen only began proceedings because of actions taken by Becker’s estate, and maintains that the Buy/Sell agreement is as valid now as it was on the date it was signed. Expect litigation and more articles in Rolling Stone.

Reference: Rolling Stone (November 27, 2017) “Walter Becker's Estate Responds to Donald Fagen's Steely Dan Lawsuit”

Proceeds from Auction of Famed Playwright’s Collection to Benefit His Foundation

One of America’s legendary playwrights was also an avid art collector, who amassed an extraordinary art collection. Unlike many collectors, he lived with his art, and it filled his downtown New York City loft.

The Edward Albee Foundation will be the beneficiary of proceeds from the sale of playwright Edward Albee’s museum-quality art collection, which is estimated to be worth $9 million. As reported in The New York Times, Albee created the foundation to provide a residence to writers and visual artists who would benefit from the time and space to focus on their creativity.

Broadway World says in its recent article, “Sale of Edward Albee's Estate Will Benefit His Foundation,” that the Chairman of Sotheby's fine arts division, Amy Cappellazzo, said: "Edward lived with the collection in a very special way. He lived with it deeply. Everything was placed in an open loft environment, and how they were hung was interesting and specific to him, so we're going to try to do justice to those ideas."

Albee’s estate will sell his art collection to raise money for his foundation in Montauk, N.Y. Sotheby’s is planning to auction more than 100 works from the playwright’s collection, which it anticipates will sell for more than $9 million. The work is mostly 20th Century fine art, such as Jean Arp, Milton Avery, Wassily Kandinsky and Lee Krasner, but it also includes some African and pre-Columbian pieces.

“He really loved objects, and he really loved painting,” said Cappellazzo. She noted that Albee amassed the collection over many years and across many genres. Some works were acquired based on his relationships with the artists, some were connected to devotional practices that interested him and some simply caught his eye.

“That eclectic taste is a mark of his curiosity,” she said. “He had tremendous reverence for the process of artmaking of all kinds, and the collection is definitely that of a collector who was interested in the minds of artists.”

Cappellazzo said Albee’s popularity is expected to increase sales.

Edward Albee, who died in his sleep at age 88 on September 16, 2016, was a celebrated figure of the American theater and recipient of three Pulitzer Prizes. In recognition of his contributions, in 2005 he was presented with a Lifetime Achievement Tony Award. Albee was also presented with the Kennedy Center Honors and the National Medal of Arts in 1996.

Reference: Broadway World (June 25, 2017) “Sale of Edward Albee's Estate Will Benefit His Foundation”

When Intellectual Property is an Estate Asset

Intellectual property assets require protection as much as any other asset, but whether or not they can be passed down to heirs and how to accomplish this is different than other assets.

Intellectual Property, or IP, rights are protected in a variety of ways—through federal laws that protect copyrights, patents and trademarks. These are used by authors, artists and inventors to protect everything from published and unpublished literary and musical works to inventions and visual art. If you are the owner of a business, your IP assets might include the logos and slogans that are part of your business’ brand.

The Sabetha (KS) Herald’s article, “Estate planning for intellectual property,” suggests that, initially, it is important to determine whether the intellectual property can be passed down to your heirs. Some types of intellectual property may have renewal or termination rights, which can create questions as to when intellectual property right owners elect a second executor to handle intellectual property issues in their estates. In addition, the valuation of intellectual property is a challenge for estate planning.

Estate tax impacts those with substantial assets, regardless of the type of property included in the estate. Similar to an executor being forced to sell a family vacation home to pay the estates taxes, a well-known author may worry that future publication rights to unpublished works will need to be sold in the same manner after his or her death.

Proper estate planning is critical to make certain that the decedent’s wishes are carried out. One idea is a life insurance policy purchased and owned by an Irrevocable Life Insurance Trust (ILIT). If structured and administered correctly, an ILIT can provide cash at death to help satisfy obligations like estate taxes. It can give some flexibility to an estate with only a small amount of liquid assets.

Where IP law meets estate planning is a complex area of the law. To ensure that your IP assets are as well protected as other assets, you will want to work with an estate planning attorney with knowledge of these two areas of the law.

Reference: Sabetha (KS) Herald (August 24, 2016) “Estate planning for intellectual property”