Hyatt Heirs’ $200M Home Owned by Trusts, Excluded from Divorce
The Pritzker family, primarily known for the Hyatt Hotel chain valued at $15 billion, is one of the richest in the country. Eleven Pritzkers are billionaires and one is the governor of Illinois. They are also known for the prestigious Pritzker Prize in architecture. After more than 30 years of marriage and six children, Tony and Jeanne Pritzker divorced in 2022. During the proceedings, Jeanne wished to remain in their 50,000-square-foot Angelo Drive estate in Beverly Hills with 16 bedrooms, 27 bathrooms, and 18 fireplaces. Valued at $200 million, the home was designed by the highly regarded architect Ed Tuttle, who counted among his other projects the interior redesign of the Park Hyatt Hotel in Milan.
It turns out, though, that the Angelo Drive property was owned by neither spouse, but by a network of trusts. Jeanne, not being a beneficiary, had no claim to the estate, which was excluded from the divorce settlement, and could not remain in the home.
Few of us will have such problems, but divorce and other life changes at all levels of society will often significantly impact trust and estate plans. To avoid surprises and disputes, attorneys and estate planners serve their clients best when they monitor their clients’ life changes and work with them to make necessary adjustments. This proactive approach helps avoid expensive and protracted litigation.
In their recent article – Divorce Need Not Ignite Estate Litigation, But Too Often It Does – Amy L. Gostanian and Carl Jones offer estate planners a look into what can spark litigation, and how to avoid it. They discuss revocation upon divorce, joint tenancy, ademption and abatement, and estate modification. Careful attention to these concepts and vigilance when a client’s circumstances change can save enormous headaches for estate lawyers and their clients down the line. Read it now.