Mar 8, 2019, 07:31am
When Luke Perry, whose full name was Coy
Luther Perry III, died on March 4, 2019, he was surrounded by family and loved
ones. Tragically, the actor -- who rose to fame playing a teenage
heart-throb on Beverly Hills 90210 -- died from a condition
that almost everyone thinks of as one that only strikes "old"
people. Fortunately, Perry's foresight to do the proper estate planning
meant that the tragedy was not made worse for his family.
At the young age of 52, Perry suffered a
serious stroke and was hospitalized under heavy sedation. Five days
later, his family made the decision to remove life support, after it was
apparent that he would not recover, following a reported second stroke. He
was surrounded by his children, 21-year-old Jack and 18-year-old Sophie, along
with his fiancé, ex-wife, mother, and siblings, among others.
The decision to allow Perry to die - when he
was healthy and vibrant less than a week earlier - must have been difficult.
The fact that the hospital allowed Perry's family to end life support means
that Luke Perry likely had executed the proper legal documents so that his
family could make the decision. Specifically, in California, those wishes
generally are made in writing, through an Advance Directive or a Power of
Attorney. Without a proper legal document, Luke Perry's family
may have needed an order from a probate court to terminate life support,
at least if family members disagreed. That would have been a public and
emotional process that would have prolonged his suffering and made it even
harder for his family.
In 2015, Perry reportedly created a will, leaving everything to his two
children. Starting that year, Perry became an outspoken advocate for screening for colorectal
cancer. He discovered he had precancerous growths following a colonoscopy
and began urging others to do the same testing. According to a family
friend, it was because of this scare that Perry created a will to protect his
children.
Given that Luke Perry had a reported (but
unverified) net worth of around $10 million, it is likely that he created a revocable
living trust in addition to a simple will. If he had only a will, then
his estate will have to pass through probate court. Instead, if Perry had
a trust -- which is far more likely -- and if his trust was properly funded
(meaning that he transferred his assets into his trust prior to death), then
his assets can pass onto his children without court intervention.
Hopefully, Perry had the same foresight for his assets as he apparently did
with his end-of-life documentation.
The one potential unresolved question is
whether Luke Perry would have wanted something to go to his fiancé, therapist
Wendy Madison Bauer. Since his reported will was done in 2015, Perry
likely did not include Bauer at the time. If the couple had gotten
married prior to his death, then Bauer would typically have received rights as a
"pretermitted spouse." These rights would not have
been automatic, but instead would have depended on the wording of his will
and/or trust, as well as whether or not the couple signed a prenuptial
agreement that addressed inheritance rights. But, if the documents did
not indicate an intent to exclude Bauer as a beneficiary, then she would have
been entitled to one-third of his estate under California law if they had been
married.
Because Perry died before marriage, Bauer is
not entitled to inherit anything through his will or trust. This is
assuming the report that his children are his only beneficiaries is accurate
and no later will, trust, or amendment is found that includes Bauer.
And it is still possible that Perry left money for Bauer in other ways,
such as through a joint bank account or life insurance.
Luke Perry's tragic death provides an
important lesson for everyone. No one should wait until they are
"old" to do their estate planning. Perry's cancer scare in 2015
sparked him to take action, which simplified the process for his family to
terminate life support and will likely make the process of dividing his estate
easier. Perry certainly did not expect to die at age 52, but -- at least
legally -- he was prepared for it.
And as Luke Perry's situation demonstrates,
it's not just cancer that people need to be worried about. With the
sudden and shocking nature of Perry's death, awareness is being raised about
the dangers of strokes in everyone, including those who are middle-aged instead
of elderly. The New York Timespublished two insightful articles about the dangers of strokes in those even younger than age
50. Surprisingly, ten percent of all stroke victims have not yet reached
their fifties. And while very few people around that age die immediately
from strokes, the length and quality of life after suffering a stroke is greatly impacted, even in those as young as Perry.
Hopefully Luke Perry's death can raise
awareness not only of stroke prevention and the importance of colorectal
screening, but also serve as a reminder that everyone should follow his lead
and not procrastinate when it comes to estate planning. Luke Perry
reminds us that tragedy can strike anyone and if that happens, we all want our
loved ones to be protected.
Danielle & Andy Mayoras are
husband-and-wife attorneys, TV Hosts, authors of Trial & Heirs:
Famous Fortune Fights!, on-camera media experts, and keynote speakers.
https://www.forbes.com/sites/trialandheirs/2019/03/08/luke-perry-estate-planning/?utm_source=FACEBOOK&utm_medium=social&utm_term=Valerie%2F#11ce6283d839
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