Wills, Trusts & Estates Prof Blog

Editor: Gerry W. Beyer
Texas Tech Univ. School of Law

Wednesday, December 16, 2020

Sorting Out Tony Hsieh’s Estate, From LLCs to Thousands of Sticky Notes

HsiehTony Hsieh, who recently passed away due to complications from smoke inhalation following a house fire, died intestate which has left his family scrambling. 

Apparently, inside Hsieh's mansion was found thousands of color-coded sticky notes plastered on the walls/ Some of them represented financial commitments that Hsieh had made to employees, friends, and local businesses. 

It appears that Hsieh wrote these notes himself in the months leading to his death and may function as informal contracts. This adds a complicating piece of the puzzle to his estate which was already complex and difficult due to the lack of a will. The estate is said to be worth hundreds of millions of dollars. 

Within the estate plan is about $70 million worth of real estate he recently purchased, which are spread across about a dozen LLCs; some of Hsieh's friends continue to live in these houses and condos. Another asset is a $30 million "angel" fund planned for tech startups and other businesses in Park City.

According to Hsieh's friends and others that were close to him, Hsieh was struggling with alcohol and drug abuse in the months prior to his death, which only adds more complexity to handling the estate. With the many sticky notes and writings left around Hsieh's home. it is unclear whether or not he was of sound mind when he recorded these writings or when he made recent investment decisions or employment agreements. 

See Kristen Grind & Katherine Sayre, Sorting Out Tony Hsieh’s Estate, From LLCs to Thousands of Sticky Notes, Wall Street Journal, December 11, 2020. 

Special thanks to Joel C. Dobris (Professor of Law, UC Davis School of Law) for bringing this article to my attention.

https://lawprofessors.typepad.com/trusts_estates_prof/2020/12/sorting-out-tony-hsiehs-estate-from-llcs-to-thousands-of-sticky-notes.html

Current Events, Estate Administration, Estate Planning - Generally, Intestate Succession, Technology, Web/Tech | Permalink

Comments

Post a comment