Saturday, February 16, 2008

Outrageous Guardianship Fees

In the first six months after real estate mogul Max Farash was declared mentally incapacitated, legal fees and expenses incurred by his guardian, James Gocker, exceeded $800,000.

Gocker spent about 690 hours on Farash business for the period between May 1 and Oct. 31, with his hourly rate at $350, for a total of $241,500.

In addition to Gocker's hourly rate, he billed for expenses such as consultants and abstract searches. Gocker also employed law firm Harter Secrest & Emery to represent him for a total of $455,359 for the six months, which is part of the total bill. Gocker declined to specify why an attorney would need additional attorneys.
Source: Farash guardian incurs more than $800,000 in fees

"Money was a huge factor in this case," said Michael Kutzin, the family's attorney. "There were tremendous fees to be earned here."

Orshansky's amassed an estate worth $2 million. From roots in a poor neighborhood, she became a ranking official of the Johnson administration, where she created the concept of a poverty line. Orshansky - who's helped so many in public service -- had planned that if she couldn't help herself, she wanted to be with relatives in New York, her family says.

Last winter, a Washington judge ordered the senior citizen be brought back to the capital. Now, a Court of Appeals has issued a tough-talking order of its own that puts the judge on the defense. For months, Washington Judge Kaye K. Christian has ordered that she be Brought back there. The judge appointed attorney, Harry Jordan -- who's so far billed Orshansky $42,000 in fees -- to get police if necessary to return the octogenarian to Washington.

Now, she won't have to. A Washington Court of Appeals decision finds "critical errors " in the case. In addition, a second court-appointed attorney, Tanya Castro, failed to even speak with Orshansky, and a valid health care proxy giving Orshansky's niece control was cancelled. Evidence and Orshasky's wishes were ignored. The Court of Appeals says it adds up to "abuse of discretion" by Judge Christian.
Source: Elderly Woman's Wishes Finally Fulfilled After Court Battle


Glasser grabbed national attention, as much for her wealth and the fierce passions of those arguing over who should control it as for the Byzantine legal issues the case raised.

In addition to competing courts in Texas and New Jersey, it featured a $25 million fortune, bitter rivalry between her two children, Mark Glasser and Suzanne Mathews, and dozens of high-dollar lawyers who quickly ran up millions in fees.

"Glasser made the headlines because of the money and because it's sort of a 'Dynasty' kind of thing, but the truth is, this happens in many cases where people have a lot less money," said Shirley Whitenack, a New Jersey lawyer involved in the case.
Source: Guardianship case lets loose calls for reform


Even if someone is acting in good faith, you never know if it's in the proposed Ward's best interest. Guardianship is usually always about money.

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