Late last night, Congress passed a compromise tax bill that will, among other things, cap the estate tax at 35% (with a $5 million exemption). If not for this compromise, the estate tax would have returned in 2011, at rates as high as 55 percent (with a $1 million exemption).
Hallelujah. Anytime you can save wealthy dead people millions of dollars during a time of crushing federal deficits, that’s something you just have to do. Way to go, Obama. When I voted for you in 2008, really I was just trying to vote for four more years of Bush’s ruinous fiscal policies.
Obama isn’t just saving money for all the dauphins eager to get their hands on their inheritances; he could be saving lives. Duke Law professor Richard Schmalbeck apparently thinks that rich old people might have killed themselves in droves over the next two weeks. Schmalbeck suggests that after spending a lifetime working hard and earning money, hundreds “or even a few thousand” of the aging rich might have committed suicide in the waning days of 2010, in order to pass on as much of their money to their children as they can before the estate tax returns in 2011.
I shudder to think that somebody would commodify their own life in such a way. But then again, I’m not rich. Maybe you only get rich in this country by being the kind of person who would gladly kill yourself if the price is right…
Pure lunacy is on display today in the Dear Prudence column on Slate. A prospective law student is set to take the December administration of the LSAT. But his or her grandmother — for ease of reference, I’ll use the male pronoun throughout this post — recently lost a battle with Alzheimer’s. Hence this question to Prudence (from questioner “Funerals and Such”):
I lost my grandmother yesterday, and I am devastated as we were very close. She had Alzheimer’s for years, and I made my peace with this some time ago. My family has planned the funeral for Saturday.
Here is the problem: My LSAT is Saturday, and I have waited for years for an opportunity to pursue law school. (I am near 30.) I told my mom that I couldn’t make the funeral because I cannot reschedule the LSAT, and she was furious! I have been on the phone with the LSAT people all morning, pleading to reschedule. No luck. Mom has informed me that she and my family are really disappointed with me, and I need to be at the funeral in order to pay my respects.
I don’t want to disappoint my family, but I have waited my entire life for this chance at law school, and I don’t want to give it up now. Additionally, if I don’t take the LSAT on Saturday, I will miss the opportunity to take it again in February (possible surgery), and I can kiss law school for next fall goodbye!
Yeah, this fellow is trying to decide between taking the LSAT or honoring his dead grandmother, and it’s apparently an open question. He’s going to make an excellent Biglaw attorney someday.
In the meantime, Prudence and I disagree about the appropriate response….
I don’t remember the moment I first learned how to wipe my ass without hurting myself. I don’t think I received a special present or accolade for that momentous life event. But perhaps my parents did take notice in this way:
MOM: Our little boy just successfully wiped himself without incident!
DAD: Good. Maybe you were right when you prevented me from taking him out back and shooting him.
The point is that successfully using toilet paper is a basic skill in civilized society. If you have an accident while administering toilet paper to yourself, it’s the kind of thing you really want to keep to yourself.
Unless, of course, you think you can get money out of the mishap. America baby, the only place where hurting yourself while performing basic hygienic practices can lead to a tort payday.
A Michigan woman broke her hand while trying to get toilet paper out of a dispenser in a restaurant bathroom. And now the Michigan Supreme Court has ruled that her case can be presented to a jury….
Here’s a fun one. Lawyer owes $72.5 million. Lawyer claims he has $50,000. Lawyer conveniently forgets the $8.9 million in assets he has, and the nearly $1 million he has stuffed in his closet.
That’s the story of Harry Pavilack, a lawyer who is well known in South Carolina thanks to his television ads. The ABA Journal reports that Pavilack produced $994,000 from the closet of his Myrtle Beach office when a bankruptcy investigator impressed upon him the importance of full disclosure.
Why does he have that much cash sitting around? I was hoping it was because Pavilack is old (he’s 70) and doesn’t trust these gosh-darned electronic transactions. But sadly it appears far more likely that Pavilack was just trying to frustrate his creditors…
I already mentioned this in Morning Docket, but the issue deserves a full post. A little girl of 4-years-old barreled her bike into an old lady on a Manhattan sidewalk.
The 87-year-old woman broke her hip, and subsequently died.
Despite being just four-years-old at the time of the accident, State Supreme Court judge Paul Wooten ruled that a negligence suit could go forward against the child. Apparently, children under four are presumed to be incapable of negligence, but if you are over four you are capable of being an idiot.
So we’ve got a 4-year-old, an 87-year-old, a bike with training wheels, and the sidewalks of New York. Where do your sympathies lie?
What’s the judge wearing underneath his robe? In the case of Judge Wesley E. Brown of the District of Kansas, the oldest living federal judge, the smart money is on these.
Judge Brown, the subject of a front-page profile in the New York Times (the news cycle is a little slow right now), is a whopping 103 years old. He was born on June 22, 1907. The president at the time was Roosevelt — Teddy, not Franklin. Judge Brown was appointed to the district court by President John F. Kennedy, and he’s one of just four JFK appointments still on the bench.
Despite his (extremely) advanced age, Judge Brown still regularly takes the bench to hear cases. And, impressively, he does so with his eyes open….
'And then I told him I'd file a motion to compel his a**....'
It’s important to think about — and not just think about, but save for — your retirement. This is especially true now that Social Security is looking less than alluring. (When I see that money taken out of my paycheck, I just kiss it goodbye, forever.)
When it comes to providing for associates and other employees, most large law firms take a fairly straightforward approach: they offer 401(k) accounts, but no matching employer contributions. One of the few Biglaw firms that provided a match, K&L Gates, stopped that policy back in 2007.
With respect to retirement provisions for partners, there’s more variation from firm to firm. Some shops provide for retired partners in very generous fashion. For example, retired partners at Wachtell Lipton can receive annual seven-figure payouts for many years after leaving the firm (although sources at my former firm tell me some of this money represents a return of capital to the retired partners, and as such will vary from partner to partner).
A million-dollar retirement benefit is no doubt very pleasing. But at other firms, aging partners are less content with their arrangements….
I have to, it’s my job. I mean what would I do? I don’t know what I would do.
– Seventh Circuit Judge Richard Posner, when asked at trial how he could carry on after feeling threatened by radio host Hal Turner’s comment that Judge Posner and two of his colleagues “deserve to be killed.”
So perhaps it shouldn’t be surprising that a former Wachtell partner has gotten the best of his ex-wife in contentious divorce proceedings. Leigh Jones of the National Law Journal reports:
It may have been the result of some crafty legal maneuvering by a Wachtell, Lipton, Rosen & Katz partner, or it may have simply been part of his tempestuous marriage to a “European Playmate” nearly 30 years his junior. Whatever the reason, the now-retired partner has thwarted a second bid by his ex-wife to invalidate a prenuptial agreement and collect a share of the annual retirement payments that he receives from the firm.
The Appellate Court of Connecticut, in a decision released on Thursday, affirmed a divorce judgment between retired Wachtell partner Peter McKenna, now 72, and Roberta Delente, a one-time model from Brazil who was working for an agency called “European Playmates” when the couple met in 1997. She was 32 at the time.
The divorce judgment left Delente, from whom McKenna sought a divorce less than a year after their wedding in August 1999, with virtually nothing from the marriage.
Let’s cut to the question that everyone is curious about: How big is McKenna’s (retirement) package?
UPDATE: And how hot is Roberta Delente? We’ve added a photo — as well as a link to the appellate court’s opinion, but that’s less exciting — after the jump.
Ed. note: The Asia Chronicles column is authored by Kinney Recruiting. Kinney has made more placements of U.S. associates, counsels and partners in Asia than any other recruiting firm in each of the past seven years. You can reach them by email: email@example.com.
We at Kinney Asia have made a number of FCPA / White Collar US associate placements in Hong Kong / China thus far in 2014. Most of such placements have been commercial litigation associates from major US markets, fluent in Mandarin, switching to FCPA / White Collar litigation. Some have already had FCPA experience, but those are difficult candidates for firms to find (this will change in coming years as US firms are now promoting FCPA / White Collar to their 2L summers who are fluent in Mandarin and have an interest in transferring to China at some point).
Legal Week quoted Kinney’s Head of Asia, Evan Jowers, extensively in the following relevant article here.
There is a new trend in the market, though, where mid-level transactional US associates, fluent in spoken Mandarin and written Chinese, are interviewing for and in some cases landing junior FCPA / White Collar spots in Hong Kong / China at very top tier US firms.
Ms. JD is hosting their 2nd annual cocktail benefit to raise money for the Global Education Fund. The event will be held on August 21, 2014 at 111 Minna in San Francisco. Our goal is to raise $20,000 to fund the legal educations of four dedicated law students in Uganda who count on our support to continue their studies at Makerere University during the 2014-15 academic year.
The Global Education Fund enable womens in developing countries to pursue legal educations who otherwise would not have access to further education. According to the World Bank, investment in education for girls has one of the highest rates of return to promote development. In Uganda, more than 45% of women over the age of 25 have no schooling at all, and men are more than twice as likely as women to have access to higher education. Together, we can work to end educational inequality. For more information about the program, please visit http://ms-jd.org/programs/global-education-fund/
When the LexisNexis Cloud Technology Survey results were reported earlier this year, it showed that attorneys were starting to peer less skeptically into the future, and slowly but surely leaning more toward all the benefits the law cloud has to offer.
Because let’s face it, plenty of attorneys are perhaps a bit too comfortable with their “system” of practice management, which may or may not include neon highlighters, sticky notes, dog-eared file folders, and a word processing program that was last updated when the term “raise the roof” was still de rigueur.