Wondering if you use beneficiary forms? If not how would you handle the situation.
If you do, could you share. We have had our club 20plus years and have used
a form but we need something more.
Thanks
Judy Chagnon
Peter Dunkelberger on
I agree with Laurie in that it is not the club partnership's responsibility to distribute partnership interest to anyone but the partner, unless directed to do so by law. I would even be concerned about paying the partnership interest to the estate unless your partnership agreement authorizes you to do so and you have adequate documentation that the payee is indeed the legally authorized estate. I am not an attorney, but your partnership agreement probably says direct the payment to the partner or the partner's estate. Doing anything else would not be consistent with the partnership agreement.
Wondering if you use beneficiary forms? If not how would you handle the situation.
If you do, could you share. We have had our club 20plus years and have used
a form but we need something more.
Thanks
Judy Chagnon
Judy on
Thank You. So how would I handle the death of a member? I do not k now there families,
or if the have a will? I do need something to know what to do with their money.
Judy Chagnon
-----Original Message-----
From: Peter Dunkelberger via bivio.com <user*26984900001@bivio.com>
To: club_cafe <club_cafe@bivio.com>
Sent: Mon, Mar 26, 2018 4:31 pm
Subject: Re: [club_cafe] Beneficiary forms
I agree with Laurie in that it is not the club partnership's responsibility to distribute partnership interest to anyone but the partner, unless directed to do so by law. I would even be concerned about paying the partnership interest to the estate unless your partnership agreement authorizes you to do so and you have adequate documentation that the payee is indeed the legally authorized estate. I am not an attorney, but your partnership agreement probably says direct the payment to the partner or the partner's estate. Doing anything else would not be consistent with the partnership agreement.
Wondering if you use beneficiary forms? If not how would you handle the situation.
If you do, could you share. We have had our club 20plus years and have used
a form but we need something more.
Thanks
Judy Chagnon
Peter Dunkelberger on
Write a check payable to the partner per your partnership agreement and mail it. When they get the check it will be simple for them to deposit it or come back to you with a request to reissue the check in the name of the estate. But I doubt that will happen.
My next question is how do you know the partner died? If you know that then you should be able to find the other information if you feel you need something in addition to the partner's name and address.
Thank You. So how would I handle the death of a member? I do not k now there families,
or if the have a will? I do need something to know what to do with their money.
Judy Chagnon
-----Original Message-----
From: Peter Dunkelberger via bivio.com <user*26984900001@bivio.com>
To: club_cafe <club_cafe@bivio.com>
Sent: Mon, Mar 26, 2018 4:31 pm
Subject: Re: [club_cafe] Beneficiary forms
I agree with Laurie in that it is not the club partnership's responsibility to distribute partnership interest to anyone but the partner, unless directed to do so by law. I would even be concerned about paying the partnership interest to the estate unless your partnership agreement authorizes you to do so and you have adequate documentation that the payee is indeed the legally authorized estate. I am not an attorney, but your partnership agreement probably says direct the payment to the partner or the partner's estate. Doing anything else would not be consistent with the partnership agreement.
Wondering if you use beneficiary forms? If not how would you handle the situation.
If you do, could you share. We have had our club 20plus years and have used
a form but we need something more.
Thanks
Judy Chagnon
Laurie Frederiksen on
Hi,
Peter is right. Your clubs obligation if there is a death is to process a withdrawal according to the terms in your partnership agreement and to get a check made out "To the estate of ____" to the last known address of the member.
You should make sure you have up to date mailing addresses for all your members.
It is not your clubs obligation to determine what then happens to the payout money.
Laurie Frederiksen Invest with your friends! www.bivio.com
Write a check payable to the partner per your partnership agreement and mail it. When they get the check it will be simple for them to deposit it or come back to you with a request to reissue the check in the name of the estate. But I doubt that will happen.
My next question is how do you know the partner died? If you know that then you should be able to find the other information if you feel you need something in addition to the partner's name and address.
Thank You. So how would I handle the death of a member? I do not k now there families,
or if the have a will? I do need something to know what to do with their money.
Judy Chagnon
-----Original Message-----
From: Peter Dunkelberger via bivio.com <user*26984900001@bivio.com>
To: club_cafe <club_cafe@bivio.com>
Sent: Mon, Mar 26, 2018 4:31 pm
Subject: Re: [club_cafe] Beneficiary forms
I agree with Laurie in that it is not the club partnership's responsibility to distribute partnership interest to anyone but the partner, unless directed to do so by law. I would even be concerned about paying the partnership interest to the estate unless your partnership agreement authorizes you to do so and you have adequate documentation that the payee is indeed the legally authorized estate. I am not an attorney, but your partnership agreement probably says direct the payment to the partner or the partner's estate. Doing anything else would not be consistent with the partnership agreement.
Wondering if you use beneficiary forms? If not how would you handle the situation.
If you do, could you share. We have had our club 20plus years and have used
a form but we need something more.
Thanks
Judy Chagnon
Bob Mann on
And, if for some reason the check is not cashed in 6-9 months (not certain of the exact time frame), the funds are turned over to the state. They are not distributed to the other club members and are not kept by the club.
regards,
Bob Mann
On March 27, 2018 at 6:24 PM Laurie Frederiksen <laurie@bivio.biz> wrote:
Hi,
Peter is right. Your clubs obligation if there is a death is to process a withdrawal according to the terms in your partnership agreement and to get a check made out "To the estate of ____" to the last known address of the member.
You should make sure you have up to date mailing addresses for all your members.
It is not your clubs obligation to determine what then happens to the payout money.
Laurie Frederiksen Invest with your friends! www.bivio.com
Write a check payable to the partner per your partnership agreement and mail it. When they get the check it will be simple for them to deposit it or come back to you with a request to reissue the check in the name of the estate. But I doubt that will happen.
My next question is how do you know the partner died? If you know that then you should be able to find the other information if you feel you need something in addition to the partner’s name and address.
Thank You. So how would I handle the death of a member? I do not k now there families,
or if the have a will? I do need something to know what to do with their money.
Judy Chagnon
-----Original Message----- From: Peter Dunkelberger via bivio.com <user*26984900001@bivio.com> To: club_cafe <club_cafe@bivio.com> Sent: Mon, Mar 26, 2018 4:31 pm Subject: Re: [club_cafe] Beneficiary forms
I agree with Laurie in that it is not the club partnership's responsibility to distribute partnership interest to anyone but the partner, unless directed to do so by law. I would even be concerned about paying the partnership interest to the estate unless your partnership agreement authorizes you to do so and you have adequate documentation that the payee is indeed the legally authorized estate. I am not an attorney, but your partnership agreement probably says direct the payment to the partner or the partner's estate. Doing anything else would not be consistent with the partnership agreement.
Wondering if you use beneficiary forms? If not how would you handle the situation.
If you do, could you share. We have had our club 20plus years and have used
a form but we need something more.
Thanks
Judy Chagnon
Dave & Betsy Rowekamp on
What is done if the Club pays out the deceased partner in appreciated stock? To whom does the brokerage firm transfer the stocks?
Dave Rowekamp
Roundtable Investment Club
Winona, MN
Sent from my iPhone
On Mar 27, 2018, at 17:24, Laurie Frederiksen <laurie@bivio.biz> wrote:
Hi,
Peter is right. Your clubs obligation if there is a death is to process a withdrawal according to the terms in your partnership agreement and to get a check made out "To the estate of ____" to the last known address of the member.
You should make sure you have up to date mailing addresses for all your members.
It is not your clubs obligation to determine what then happens to the payout money.
Laurie Frederiksen Invest with your friends! www.bivio.com
Write a check payable to the partner per your partnership agreement and mail it. When they get the check it will be simple for them to deposit it or come back to you with a request to reissue the check in the name of the estate. But I doubt that will happen.
My next question is how do you know the partner died? If you know that then you should be able to find the other information if you feel you need something in addition to the partner's name and address.
Thank You. So how would I handle the death of a member? I do not k now there families,
or if the have a will? I do need something to know what to do with their money.
Judy Chagnon
-----Original Message-----
From: Peter Dunkelberger via bivio.com <user*26984900001@bivio.com>
To: club_cafe <club_cafe@bivio.com>
Sent: Mon, Mar 26, 2018 4:31 pm
Subject: Re: [club_cafe] Beneficiary forms
I agree with Laurie in that it is not the club partnership's responsibility to distribute partnership interest to anyone but the partner, unless directed to do so by law. I would even be concerned about paying the partnership interest to the estate unless your partnership agreement authorizes you to do so and you have adequate documentation that the payee is indeed the legally authorized estate. I am not an attorney, but your partnership agreement probably says direct the payment to the partner or the partner's estate. Doing anything else would not be consistent with the partnership agreement.
What is done if the Club pays out the deceased partner in appreciated stock? To whom does the brokerage firm transfer the stocks?
Dave Rowekamp
Roundtable Investment Club
Winona, MN
Sent from my iPhone
On Mar 27, 2018, at 17:24, Laurie Frederiksen <laurie@bivio.biz> wrote:
Hi,
Peter is right. Your clubs obligation if there is a death is to process a withdrawal according to the terms in your partnership agreement and to get a check made out "To the estate of ____" to the last known address of the member.
You should make sure you have up to date mailing addresses for all your members.
It is not your clubs obligation to determine what then happens to the payout money.
Laurie Frederiksen Invest with your friends! www.bivio.com
Write a check payable to the partner per your partnership agreement and mail it. When they get the check it will be simple for them to deposit it or come back to you with a request to reissue the check in the name of the estate. But I doubt that will happen.
My next question is how do you know the partner died? If you know that then you should be able to find the other information if you feel you need something in addition to the partner's name and address.
Thank You. So how would I handle the death of a member? I do not k now there families,
or if the have a will? I do need something to know what to do with their money.
Judy Chagnon
-----Original Message-----
From: Peter Dunkelberger via bivio.com <user*26984900001@bivio.com>
To: club_cafe <club_cafe@bivio.com>
Sent: Mon, Mar 26, 2018 4:31 pm
Subject: Re: [club_cafe] Beneficiary forms
I agree with Laurie in that it is not the club partnership's responsibility to distribute partnership interest to anyone but the partner, unless directed to do so by law. I would even be concerned about paying the partnership interest to the estate unless your partnership agreement authorizes you to do so and you have adequate documentation that the payee is indeed the legally authorized estate. I am not an attorney, but your partnership agreement probably says direct the payment to the partner or the partner's estate. Doing anything else would not be consistent with the partnership agreement.
Wondering if you use beneficiary forms? If not how would you handle the situation.
If you do, could you share. We have had our club 20plus years and have used
a form but we need something more.
Thanks
Judy Chagnon
Laurie Frederiksen on
If you want to pay out a deceased member with appreciated stock, you will need to work with the estate to set up a brokerage account to transfer the stock to.
From experience with other clubs that have tried to do this I can tell you that this can lead to many delays and complications so it is a decision a club should consider very carefully.
Laurie Frederiksen Invest with your friends! www.bivio.com
What is done if the Club pays out the deceased partner in appreciated stock? To whom does the brokerage firm transfer the stocks?
Dave Rowekamp
Roundtable Investment Club
Winona, MN
Sent from my iPhone
On Mar 27, 2018, at 17:24, Laurie Frederiksen <laurie@bivio.biz> wrote:
Hi,
Peter is right. Your clubs obligation if there is a death is to process a withdrawal according to the terms in your partnership agreement and to get a check made out "To the estate of ____" to the last known address of the member.
You should make sure you have up to date mailing addresses for all your members.
It is not your clubs obligation to determine what then happens to the payout money.
Laurie Frederiksen Invest with your friends! www.bivio.com
Write a check payable to the partner per your partnership agreement and mail it. When they get the check it will be simple for them to deposit it or come back to you with a request to reissue the check in the name of the estate. But I doubt that will happen.
My next question is how do you know the partner died? If you know that then you should be able to find the other information if you feel you need something in addition to the partner's name and address.
Thank You. So how would I handle the death of a member? I do not k now there families,
or if the have a will? I do need something to know what to do with their money.
Judy Chagnon
-----Original Message-----
From: Peter Dunkelberger via bivio.com <user*26984900001@bivio.com>
To: club_cafe <club_cafe@bivio.com>
Sent: Mon, Mar 26, 2018 4:31 pm
Subject: Re: [club_cafe] Beneficiary forms
I agree with Laurie in that it is not the club partnership's responsibility to distribute partnership interest to anyone but the partner, unless directed to do so by law. I would even be concerned about paying the partnership interest to the estate unless your partnership agreement authorizes you to do so and you have adequate documentation that the payee is indeed the legally authorized estate. I am not an attorney, but your partnership agreement probably says direct the payment to the partner or the partner's estate. Doing anything else would not be consistent with the partnership agreement.
Wondering if you use beneficiary forms? If not how would you handle the situation.
If you do, could you share. We have had our club 20plus years and have used
a form but we need something more.
Thanks
Judy Chagnon
Dave & Betsy Rowekamp on
If the deceased member had a brokerage account that is with the SAME broker that the CLUB has can the stock be expeditiously transferred to that deceased members account?
Dave Rowekamp
Sent from my iPhone
On Mar 28, 2018, at 09:45, Laurie Frederiksen <laurie@bivio.biz> wrote:
If you want to pay out a deceased member with appreciated stock, you will need to work with the estate to set up a brokerage account to transfer the stock to.
From experience with other clubs that have tried to do this I can tell you that this can lead to many delays and complications so it is a decision a club should consider very carefully.
Laurie Frederiksen Invest with your friends! www.bivio.com
What is done if the Club pays out the deceased partner in appreciated stock? To whom does the brokerage firm transfer the stocks?
Dave Rowekamp
Roundtable Investment Club
Winona, MN
Sent from my iPhone
On Mar 27, 2018, at 17:24, Laurie Frederiksen <laurie@bivio.biz> wrote:
Hi,
Peter is right. Your clubs obligation if there is a death is to process a withdrawal according to the terms in your partnership agreement and to get a check made out "To the estate of ____" to the last known address of the member.
You should make sure you have up to date mailing addresses for all your members.
It is not your clubs obligation to determine what then happens to the payout money.
Laurie Frederiksen Invest with your friends! www.bivio.com
Write a check payable to the partner per your partnership agreement and mail it. When they get the check it will be simple for them to deposit it or come back to you with a request to reissue the check in the name of the estate. But I doubt that will happen.
My next question is how do you know the partner died? If you know that then you should be able to find the other information if you feel you need something in addition to the partner's name and address.
Thank You. So how would I handle the death of a member? I do not k now there families,
or if the have a will? I do need something to know what to do with their money.
Judy Chagnon
-----Original Message-----
From: Peter Dunkelberger via bivio.com <user*26984900001@bivio.com>
To: club_cafe <club_cafe@bivio.com>
Sent: Mon, Mar 26, 2018 4:31 pm
Subject: Re: [club_cafe] Beneficiary forms
I agree with Laurie in that it is not the club partnership's responsibility to distribute partnership interest to anyone but the partner, unless directed to do so by law. I would even be concerned about paying the partnership interest to the estate unless your partnership agreement authorizes you to do so and you have adequate documentation that the payee is indeed the legally authorized estate. I am not an attorney, but your partnership agreement probably says direct the payment to the partner or the partner's estate. Doing anything else would not be consistent with the partnership agreement.
Wondering if you use beneficiary forms? If not how would you handle the situation.
If you do, could you share. We have had our club 20plus years and have used
a form but we need something more.
Thanks
Judy Chagnon
John Huff on
I settle an estate in Texas. The court provided me, as the executor of the estate with multiple copies of original Letter of Testamentary and death certificate. I had to mail an original copy of these to every company to get the funds distributed to the estate. I have discussed with my club requiring a copy of these documents prior to distributing funds to any members estate. I am not sure if the process is exactly the same in every state.
If the deceased member had a brokerage account that is with the SAME broker that the CLUB has can the stock be expeditiously transferred to that deceased members account?
Dave Rowekamp
Sent from my iPhone
On Mar 28, 2018, at 09:45, Laurie Frederiksen <laurie@bivio.biz> wrote:
If you want to pay out a deceased member with appreciated stock, you will need to work with the estate to set up a brokerage account to transfer the stock to.
From experience with other clubs that have tried to do this I can tell you that this can lead to many delays and complications so it is a decision a club should consider very carefully.
Laurie Frederiksen Invest with your friends! www.bivio.com
What is done if the Club pays out the deceased partner in appreciated stock? To whom does the brokerage firm transfer the stocks?
Dave Rowekamp
Roundtable Investment Club
Winona, MN
Sent from my iPhone
On Mar 27, 2018, at 17:24, Laurie Frederiksen <laurie@bivio.biz> wrote:
Hi,
Peter is right. Your clubs obligation if there is a death is to process a withdrawal according to the terms in your partnership agreement and to get a check made out "To the estate of ____" to the last known address of the member.
You should make sure you have up to date mailing addresses for all your members.
It is not your clubs obligation to determine what then happens to the payout money.
Laurie Frederiksen Invest with your friends! www.bivio.com
Write a check payable to the partner per your partnership agreement and mail it. When they get the check it will be simple for them to deposit it or come back to you with a request to reissue the check in the name of the estate. But I doubt that will happen.
My next question is how do you know the partner died? If you know that then you should be able to find the other information if you feel you need something in addition to the partner's name and address.
Thank You. So how would I handle the death of a member? I do not k now there families,
or if the have a will? I do need something to know what to do with their money.
Judy Chagnon
-----Original Message-----
From: Peter Dunkelberger via bivio.com <user*26984900001@bivio.com>
To: club_cafe <club_cafe@bivio.com>
Sent: Mon, Mar 26, 2018 4:31 pm
Subject: Re: [club_cafe] Beneficiary forms
I agree with Laurie in that it is not the club partnership's responsibility to distribute partnership interest to anyone but the partner, unless directed to do so by law. I would even be concerned about paying the partnership interest to the estate unless your partnership agreement authorizes you to do so and you have adequate documentation that the payee is indeed the legally authorized estate. I am not an attorney, but your partnership agreement probably says direct the payment to the partner or the partner's estate. Doing anything else would not be consistent with the partnership agreement.
Wondering if you use beneficiary forms? If not how would you handle the situation.
If you do, could you share. We have had our club 20plus years and have used
a form but we need something more.
Thanks
Judy Chagnon
ira smilovitz on
John,
That is why the procedure in the model operating agreement is written the way it is. A check is made payable to the estate and sent to the last known address of the decedent. At that point, the assets are non-negotiable by anyone who can't demonstrate that they are legally appointed to act on behalf of the estate. I don't know of any bank these days that would cash or deposit a check made out to an estate unless it was going into an account "owned" by that estate or in the possession of someone with the necessary documentation to act on behalf of the estate.
Banks/brokers/insurance companies/etc. are also bound by numerous federal, state, and industry regulations designed to avoid fraudulent or illegal acts. That's why they won't act without every i dotted and t crossed, and even then, they often drag their heels.
I settle an estate in Texas. The court provided me, as the executor of the estate with multiple copies of original Letter of Testamentary and death certificate. I had to mail an original copy of these to every company to get the funds distributed to the estate. I have discussed with my club requiring a copy of these documents prior to distributing funds to any members estate. I am not sure if the process is exactly the same in every state.
If the deceased member had a brokerage account that is with the SAME broker that the CLUB has can the stock be expeditiously transferred to that deceased members account?
Dave Rowekamp
Sent from my iPhone
On Mar 28, 2018, at 09:45, Laurie Frederiksen <laurie@bivio.biz> wrote:
If you want to pay out a deceased member with appreciated stock, you will need to work with the estate to set up a brokerage account to transfer the stock to.
From experience with other clubs that have tried to do this I can tell you that this can lead to many delays and complications so it is a decision a club should consider very carefully.
Laurie Frederiksen Invest with your friends! www.bivio.com
What is done if the Club pays out the deceased partner in appreciated stock? To whom does the brokerage firm transfer the stocks?
Dave Rowekamp
Roundtable Investment Club
Winona, MN
Sent from my iPhone
On Mar 27, 2018, at 17:24, Laurie Frederiksen <laurie@bivio.biz> wrote:
Hi,
Peter is right. Your clubs obligation if there is a death is to process a withdrawal according to the terms in your partnership agreement and to get a check made out "To the estate of ____" to the last known address of the member.
You should make sure you have up to date mailing addresses for all your members.
It is not your clubs obligation to determine what then happens to the payout money.
Laurie Frederiksen Invest with your friends! www.bivio.com
Write a check payable to the partner per your partnership agreement and mail it. When they get the check it will be simple for them to deposit it or come back to you with a request to reissue the check in the name of the estate. But I doubt that will happen.
My next question is how do you know the partner died? If you know that then you should be able to find the other information if you feel you need something in addition to the partner's name and address.
Thank You. So how would I handle the death of a member? I do not k now there families,
or if the have a will? I do need something to know what to do with their money.
Judy Chagnon
-----Original Message-----
From: Peter Dunkelberger via bivio.com <user*26984900001@bivio.com>
To: club_cafe <club_cafe@bivio.com>
Sent: Mon, Mar 26, 2018 4:31 pm
Subject: Re: [club_cafe] Beneficiary forms
I agree with Laurie in that it is not the club partnership's responsibility to distribute partnership interest to anyone but the partner, unless directed to do so by law. I would even be concerned about paying the partnership interest to the estate unless your partnership agreement authorizes you to do so and you have adequate documentation that the payee is indeed the legally authorized estate. I am not an attorney, but your partnership agreement probably says direct the payment to the partner or the partner's estate. Doing anything else would not be consistent with the partnership agreement.
That is why the procedure in the model operating agreement is written the way it is. A check is made payable to the estate and sent to the last known address of the decedent. At that point, the assets are non-negotiable by anyone who can't demonstrate that they are legally appointed to act on behalf of the estate. I don't know of any bank these days that would cash or deposit a check made out to an estate unless it was going into an account "owned" by that estate or in the possession of someone with the necessary documentation to act on behalf of the estate.
Banks/brokers/insurance companies/etc. are also bound by numerous federal, state, and industry regulations designed to avoid fraudulent or illegal acts. That's why they won't act without every i dotted and t crossed, and even then, they often drag their heels.
I settle an estate in Texas. The court provided me, as the executor of the estate with multiple copies of original Letter of Testamentary and death certificate. I had to mail an original copy of these to every company to get the funds distributed to the estate. I have discussed with my club requiring a copy of these documents prior to distributing funds to any members estate. I am not sure if the process is exactly the same in every state.
If the deceased member had a brokerage account that is with the SAME broker that the CLUB has can the stock be expeditiously transferred to that deceased members account?
Dave Rowekamp
Sent from my iPhone
On Mar 28, 2018, at 09:45, Laurie Frederiksen <laurie@bivio.biz> wrote:
If you want to pay out a deceased member with appreciated stock, you will need to work with the estate to set up a brokerage account to transfer the stock to.
From experience with other clubs that have tried to do this I can tell you that this can lead to many delays and complications so it is a decision a club should consider very carefully.
Laurie Frederiksen Invest with your friends! www.bivio.com
What is done if the Club pays out the deceased partner in appreciated stock? To whom does the brokerage firm transfer the stocks?
Dave Rowekamp
Roundtable Investment Club
Winona, MN
Sent from my iPhone
On Mar 27, 2018, at 17:24, Laurie Frederiksen <laurie@bivio.biz> wrote:
Hi,
Peter is right. Your clubs obligation if there is a death is to process a withdrawal according to the terms in your partnership agreement and to get a check made out "To the estate of ____" to the last known address of the member.
You should make sure you have up to date mailing addresses for all your members.
It is not your clubs obligation to determine what then happens to the payout money.
Laurie Frederiksen Invest with your friends! www.bivio.com
Write a check payable to the partner per your partnership agreement and mail it. When they get the check it will be simple for them to deposit it or come back to you with a request to reissue the check in the name of the estate. But I doubt that will happen.
My next question is how do you know the partner died? If you know that then you should be able to find the other information if you feel you need something in addition to the partner's name and address.
Thank You. So how would I handle the death of a member? I do not k now there families,
or if the have a will? I do need something to know what to do with their money.
Judy Chagnon
-----Original Message-----
From: Peter Dunkelberger via bivio.com <user*26984900001@bivio.com>
To: club_cafe <club_cafe@bivio.com>
Sent: Mon, Mar 26, 2018 4:31 pm
Subject: Re: [club_cafe] Beneficiary forms
I agree with Laurie in that it is not the club partnership's responsibility to distribute partnership interest to anyone but the partner, unless directed to do so by law. I would even be concerned about paying the partnership interest to the estate unless your partnership agreement authorizes you to do so and you have adequate documentation that the payee is indeed the legally authorized estate. I am not an attorney, but your partnership agreement probably says direct the payment to the partner or the partner's estate. Doing anything else would not be consistent with the partnership agreement.
Wondering if you use beneficiary forms? If not how would you handle the situation.
If you do, could you share. We have had our club 20plus years and have used
a form but we need something more.
Thanks
Judy Chagnon
ira smilovitz on
Mary Anne,
bivio's model agreement can be found at https://www.bivio.com/site-help/bp/Partnership_Agreement. BetterInvesting has a similar model partnership agreement, but apparently it is no accessible unless you are a member of BetterInvesting.
That is why the procedure in the model operating agreement is written the way it is. A check is made payable to the estate and sent to the last known address of the decedent. At that point, the assets are non-negotiable by anyone who can't demonstrate that they are legally appointed to act on behalf of the estate. I don't know of any bank these days that would cash or deposit a check made out to an estate unless it was going into an account "owned" by that estate or in the possession of someone with the necessary documentation to act on behalf of the estate.
Banks/brokers/insurance companies/etc. are also bound by numerous federal, state, and industry regulations designed to avoid fraudulent or illegal acts. That's why they won't act without every i dotted and t crossed, and even then, they often drag their heels.
I settle an estate in Texas. The court provided me, as the executor of the estate with multiple copies of original Letter of Testamentary and death certificate. I had to mail an original copy of these to every company to get the funds distributed to the estate. I have discussed with my club requiring a copy of these documents prior to distributing funds to any members estate. I am not sure if the process is exactly the same in every state.
If the deceased member had a brokerage account that is with the SAME broker that the CLUB has can the stock be expeditiously transferred to that deceased members account?
Dave Rowekamp
Sent from my iPhone
On Mar 28, 2018, at 09:45, Laurie Frederiksen <laurie@bivio.biz> wrote:
If you want to pay out a deceased member with appreciated stock, you will need to work with the estate to set up a brokerage account to transfer the stock to.
From experience with other clubs that have tried to do this I can tell you that this can lead to many delays and complications so it is a decision a club should consider very carefully.
Laurie Frederiksen Invest with your friends! www.bivio.com
What is done if the Club pays out the deceased partner in appreciated stock? To whom does the brokerage firm transfer the stocks?
Dave Rowekamp
Roundtable Investment Club
Winona, MN
Sent from my iPhone
On Mar 27, 2018, at 17:24, Laurie Frederiksen <laurie@bivio.biz> wrote:
Hi,
Peter is right. Your clubs obligation if there is a death is to process a withdrawal according to the terms in your partnership agreement and to get a check made out "To the estate of ____" to the last known address of the member.
You should make sure you have up to date mailing addresses for all your members.
It is not your clubs obligation to determine what then happens to the payout money.
Laurie Frederiksen Invest with your friends! www.bivio.com
Write a check payable to the partner per your partnership agreement and mail it. When they get the check it will be simple for them to deposit it or come back to you with a request to reissue the check in the name of the estate. But I doubt that will happen.
My next question is how do you know the partner died? If you know that then you should be able to find the other information if you feel you need something in addition to the partner's name and address.
Thank You. So how would I handle the death of a member? I do not k now there families,
or if the have a will? I do need something to know what to do with their money.
Judy Chagnon
-----Original Message-----
From: Peter Dunkelberger via bivio.com <user*26984900001@bivio.com>
To: club_cafe <club_cafe@bivio.com>
Sent: Mon, Mar 26, 2018 4:31 pm
Subject: Re: [club_cafe] Beneficiary forms
I agree with Laurie in that it is not the club partnership's responsibility to distribute partnership interest to anyone but the partner, unless directed to do so by law. I would even be concerned about paying the partnership interest to the estate unless your partnership agreement authorizes you to do so and you have adequate documentation that the payee is indeed the legally authorized estate. I am not an attorney, but your partnership agreement probably says direct the payment to the partner or the partner's estate. Doing anything else would not be consistent with the partnership agreement.