Dolly Parton estate drama shows limits of even careful planning
“The trust agreement will often give the trustee the power to delegate certain responsibilities to other parties or to hire professionals to assist with administration of the trust,” he said. That can be an effective structure, but the documents should clearly define the scope of any delegated authority.”
Planning for fiduciaries who walk away
The Parton dispute has also tested the estate’s bench. Illustrating the kind of acrimony that seems par for course for celebrity fortunes, the lawsuit filed by She’s Alive said Seaver’s messages prompted Parton’s trusts-and-estates attorney to leave and some employees to resign.
“As estate planning attorneys, we’re always drafting for the worst-case scenario,” Pence said. “And in order to plan for a key advisor or fiduciary stepping down, it’s always best to have a successor named in your document that can step in and take over as soon as possible.”
That successor can be a trusted family member, a professional such as a financial advisor or attorney, or a corporate trustee such as a trust company, she said, adding that co-trustee arrangements can help bridge the gap. Among other common-sense recommendations, Pence encourages keeping key documents in one central location so an incoming trustee can get up to speed quickly, as well as reviewing the plan every year.
Houghton argues that requiring a corporate fiduciary in the picture would be best practice in many cases. Aside from providing continuity, professional administration, and impartiality, corporate trustees do not age out or become unavailable in the same way an individual might.
