O.J. Simpson, the controversial figure in the infamous murder case, passed away on Thursday without fulfilling his financial obligation. Despite a California civil jury awarding a massive $33.5 million judgment to the families of his ex-wife Nicole Brown Simpson and her friend Ron Goldman, Simpson never fully paid the substantial sum.
Jurors in a 1997 wrongful death lawsuit found Simpson liable, even though he was acquitted at a criminal trial.
The public will now have the opportunity to gain a more in-depth understanding of Simpson’s financial situation, and the families involved will have a higher chance of receiving compensation, provided there are assets available to collect.
According to David Cook, an attorney who has been pursuing the civil judgment for Goldman’s family since 2008, Simpson passed away without ever facing the consequences of his actions. The whereabouts of his assets and who has control over them remain unknown. However, Cook remains determined to continue the pursuit of justice for the Goldman family.
How the next few months may play out
Simpson’s assets will most likely need to go through the probate process in court, regardless of whether or not he left behind a will and the contents of that document. This is necessary before his four children or any other intended heirs can receive their share of his assets.
Different states have their own unique probate laws. In general, the probate case is filed in the state where the deceased person resided at the time of their death. In the case of Simpson, who lived in Nevada, the probate case would likely be filed there. However, if there are substantial assets located in California or Florida, where Simpson also lived at different times, separate probate cases could potentially arise in those states.
According to Nevada law, if the assets of an estate exceed $20,000 or if there is any real estate involved, it is necessary for the estate to go through the court system. This must be done within 30 days of the individual’s death. Failure to file the required documents can lead to creditors initiating the legal process themselves.
Once the case reaches the courtroom, creditors claiming owed money can proceed to pursue a share of the assets. The Goldman and Brown families will have an equal footing with other creditors and may even have a stronger claim.
Creditors who hold a judgment lien, like the plaintiffs in the wrongful death case, are considered as having secured debt under California law. They now have a higher priority compared to creditors with unsecured debt, and are in a more favorable position to receive payment following the defendant’s death.
Experts weigh in
According to Arash Sadat, a Los Angeles attorney who specializes in property disputes, having the debtor be deceased and their money in probate is “100%” advantageous for the claimant.
According to him, his firm experienced a jury trial in which their clients were granted a $9 million jury award. However, the debtor appealed the decision, causing significant delays.
According to Sadat, the individual in question made every effort to evade settling the debt. However, a few years later, the person passed away. Surprisingly, the estate promptly issued a check for $12 million, which covered the original $9 million debt along with the accumulated interest over the years.
The person in charge of managing the estate, whether it be the executor or administrator, has a stronger motivation to settle any outstanding debts compared to the individual who is still alive. This explains the occurrence of such situations, as explained by Sadat.
However, it is important to note that this does not guarantee that payment will be received.
Attorney Christopher Melcher expressed his belief that collecting the money from O.J. Simpson would pose a significant challenge. He emphasized the uncertainty surrounding Simpson’s earnings over the years, making it difficult to determine the amount that could potentially be collected.
Sadat and Melcher have no involvement with the Simpson estate or the court case.
Contents of Simpson’s estate
Simpson revealed that he relied solely on his NFL and private pensions to sustain himself. As a result of the jury’s decision, numerous valuable belongings were confiscated, and Simpson was compelled to auction off his Heisman Trophy, which fetched an impressive $230,000.
“In a statement released on Thursday, Fred Goldman, the lead plaintiff and father of Goldman, expressed that the primary concern was never the monetary compensation, but rather the desire to hold Simpson accountable for his actions. With Simpson’s passing, he laments that the hope for genuine accountability has now come to an end.”
One can ensure that their chosen heirs receive their assets after death by utilizing trusts established during their lifetime and other effective means. An irrevocable trust, in particular, can provide a robust solution for this purpose.
Transferring assets to avoid creditors can be considered fraudulent, resulting in potential legal action from claimants like the Goldman and Brown families. These civil lawsuits can bring the disputed assets into question.
