Despite rumors and numerous alleged sightings,
Elvis Presley, the King of Rock N Roll, died
in 1977.
At the time of his death, Elvis’ only daughter,
Lisa Marie, was only 9 years old, but she
became the heir to his estate, worth in 1977
a relatively modest $5 million.
It would have been much more but for Elvis’
penchant for bad business deals and a life
of excess.
According to Elvis’ will, Lisa Marie’s
inheritance was kept in a Trust, known as
the Promenade Trust, which through his ex-wife
Priscilla’s stewardship grew to an estimated
$100+ million when Lisa Marie gained control.
In the ensuing 12 years, the Promenade Trust
owned Graceland as well as the royalty stream
of Elvis Presley Enterprises.
By then, Lisa Marie had been married and divorced
three times, including two short-lived marriages
to Michael Jackson and Nicolas Cage.
Like her father, she was also known to be
a free-spender, reportedly incurring debts
in excess of $20 million.
In order to eliminate her debt, Lisa Marie’s
business manager at the time, Barry Siegel,
sold 85% of her share in Elvis Presley Enterprises.
That transaction reportedly netted her $40
million, even after all her debts were eliminated.
What became of the money?
Apparently, her manager invested at least
part of it in Core Entertainment, the company
behind American Idol, which filed for Chapter
11 bankruptcy in 2016.
As a result of some questionable business
decisions, by 2018 the value of Lisa Marie’s
inheritance reportedly dwindled to $14,000
in cash and $500,000 in credit card debt.
At that point, she fired her manager and sued
him for breach of trust, negligence and constructive
fraud, for mismanaging and squandering her
$100 million fortune.
That lawsuit, filed in 2018, remains in litigation
and may take years to resolve.
Siegel, for his part, has counter-sued Presley
for $800,000 for non-payment.
Whether the inheritance from Elvis Presley
has now been spent or squandered, and whether
Lisa Marie is destitute or not, are questions
that have recently taken on a slightly different
significance thanks to the disintegration
of Lisa Marie’s fourth marriage to musician
Michael Lockwood in 2016.
The two married in 2006, and Lockwood signed
a post-nuptial agreement in 2007.
Because a court ruled that Lisa Marie was
not required to pay for spousal support, as
a result of that agreement, that could have
been the end of the issue.
But Lockwood’s attorneys have argued that
Lisa Marie has “not disclosed her assets
or their values” in their divorce proceedings.
Although Lockwood is not entitled to support,
he apparently hopes to lay claim to some of
his ex-wife’s assets.
Are those assets now worthless or are they
worth millions?
It seems likely that courts and judges will
eventually have to sort those issues out.
The takeaway from the continuing legal battles
over the Elvis Presley estate is clear: just
like a share of stock, the value of inheritance
can go up and down over the years.
Considering he was a profligate rock star,
Elvis provided quite well for his family,
and thanks to prudent decision-making, the
value of his inheritance increased dramatically
over the years since his death.
The key to maintaining the value of an inheritance
is both in good management but also especially
in establishing a system whereby heirs don’t
become their own worst enemies through reckless
spending or ill-advised investments.
To do that requires some sophisticated, professional,
and forward-thinking estate planning, which
is something I always recommend to Hackard
Law’s clients.
Before you go, please let me know if you’d
like to receive a free copy of my first book,
The Wolf at the Door, or my new book, Alzheimer’s,
Widowed Stepmothers & Estate Crimes.
Just send your address in an email to me at
hackard@hackardlaw.com, and I’ll be glad
to put one in the mail.
I’m Mike Hackard from Hackard Law.
Thanks for watching.
