The information in this blog has been gleaned from an article in Fortune Magazine dated Saturday, September 13th. We have not read the underlying document; however, it is clear from the article that there is much to learn and share with regard to estate planning.
1. He left nothing to chance. Armani’s will is extremely detailed with regard to many things that we find important in an estate plan. For example, he clearly named fiduciaries and beneficiaries and - importantly - gave clear direction to the fiduciaries while still giving them latitude to make decisions that are in the best interest of the estate.
2. There are several new billionaires in the world. His estate valued at nearly $10 billion is being spread among several friends and family members, at least five of whom will now be billionaires.
3. Real estate. In addition to the value of his fashion business, his estate also includes valuable real estate. His residential properties around the world include a building in central Milan, a villa on the Mediterranean island of Pantelleria, a countryside mansion in Broni (South of Milan), a 7,500 square foot home with swimming pool in France, and a cliffside estate in Antigua. This real estate is being specifically distributed to certain family members but also includes rights for other friends and family to access the properties.
4. Beneficiaries were not just family members. In addition to his family, Armani also left millions of dollars to certain executives within his companies.
We share this with our friends and clients, not only because it is related to estate planning, but also because his estate plan is directly in line with what we recommend to our clients. There is sufficient clarity and direction, while also providing fiduciaries enough latitude to ensure the estate accomplishes three of the main objectives we recommend: show gratitude to family/friends/charities; asset protection; tax planning. As we have stated before, without proper planning, only the lawyers benefit; according, we feel strongly that spending money and time now to engage in proper estate planning will save your loved ones a significant amount of stress, money and time down the road.
If you have questions about business or estate planning legal matters, contact Fournier Legal Services to learn more.