Townhall.com, Where Your Opinion Counts
Talk Radio:   Bill Bennett   Mike Gallagher   Dennis Prager   Michael Medved   Hugh Hewitt   
BREAKING NEWS  LeftArrow - Townhall.com : Conservative, Political, Republican   RightArrow - Townhall.com : Conservative, Political, Republican  
Columns, funnies & more in your inbox!
  • Check the boxes and send us your email address to receveive your free newsletter
  • Your daily must-read of conservative columns, cartoons and news. Coulter, Sowell, Krauthammer and more.
  • Townhall.com’s weekly inside scoop on what’s happening behind the scenes in the world of politics. When news breaks, we report.
  • Signup to receive the latest daily Townhall cartoons
Saturday, April 14, 2007
Horace Cooper :: Townhall.com Columnist
She's No Million Dollar Baby
by Horace Cooper
Vote on It:
Average Vote:
[+] Text [-]
 
Poll
Was the Copenhagen Global Warming Summit Walk-Out a Win for the U.S.?


As many in the media await the results of a DNA test to determine the real father of Anna Nicole Smith's infant daughter, Dannielynn, some reports have perpetuated a legal myth. Consider the Associated Press story that pronounced that "Anna Nicole Smith’s 6-month-old daughter . . . could inherit millions after the former reality TV star’s death last month."

This is only partially right. Dannielynn has indeed had a DNA test. But there is little chance that this child will inherit millions.

Why? Because Anna Nicole Smith's legal claims on J. Howard Marshall's estate were always tenuous. And once the courts act, they will likely extinguish the claim altogether. That means Dannielynn is more likely to be saddled with legal bills and other debt from litigation associated with her mother's estate than she's likely to inherit any portion of Marshall's estate.

NO MILLIONS HERE

A quick review of the case Marshall v. Marshall (Anna Nicole Smith's married name was Vickie Lynn Marshall) illustrates why Dannielynn may not be a million-dollar baby.

Although it has been overshadowed by the media hype surrounding the former Playboy model's visit to the Supreme Court last year, the trial of record in this case took place in Texas probate court in 2001. The trial — complete with jury — lasted nearly six months. It found that Marshall's son, Pierce, was the legal heir, and it explicitly found no evidence whatsoever that the elder Marshall's will was interfered with or that there was any intention to make Smith his heir. It specifically upheld Marshall's will and his estate plan.

Despite the Texas probate ruling, Smith and her legal team went forum-shopping for a favorable judgment. After she filed for bankruptcy in California, Smith convinced a federal bankruptcy judge to award her nearly $450 million she claimed was promised from Marshall. This judge accepted her claim of tortious interference with a gift, finding that Marshall's son thwarted his father's intent.

This decision of the bankruptcy court was appealed to a federal district court in California. The district court vacated the bankruptcy ruling, reviewed the matter de novo, and reduced the award to Smith to $88.5 million.

Subsequently the U.S. Court of Appeals for the 9th Circuit overruled these awards — not on the merits — but instead by invoking what it called a federal "probate exception" that denied federal jurisdiction over probate matters. The 9th Circuit held that neither the bankruptcy court nor the federal district court had any ability to rule on Marshall's estate.

ALREADY DECIDED

Perhaps the most important principle involved in this case is a common legal concept known as "res judicata" — a Latin phrase that literally means a matter already judged. This broadly accepted legal principle dictates that once a court or jury has issued a final judgment, subsequent courts will uphold and enforce it.

This was a sensitive issue to the Framers of the Constitution because of failures in the earlier Articles of Confederation to impose legal duties on other states to honor contracts or other legal judgments. The principle is so important that it is explicitly embodied in the full faith and credit clause.

The idea is that our law strikes a balance between competing interests. On one hand, we ensure that we can provide litigants with certainty of finality that prevents a defendant from having to defend the same claim repeatedly. On the other hand, we can also guarantee that a plaintiff will be granted his or her day in court without limits on what claims they're allowed to make. But if this claim has already been dealt with earlier, instead of dismissing the case, the court will apply the findings of the earlier judgment.

The Supreme Court last year ruled that the 9th Circuit's interpretation that the federal courts have no jurisdiction whatsoever over probate matters was overly broad, and the justices have sent the case back to the 9th Circuit on remand. Now the 9th Circuit will focus on the specific arguments of this legal dispute.

This is bad news for Dannielynn and Smith's legal team. The remaining legal issues surrounding this litigation are fairly straightforward and uncomplicated. J. Howard Marshall was legally allowed to direct his bequest to whomever he pleased, and he chose his son Pierce. He never intended to leave any portion of his estate to Smith or her heirs. We know these things because that's what the jury found after a six-month trial in Texas. We also know that, under the doctrine of res judicata, each of these findings must be upheld in any other courts that look at this case.

ON THE MERITS

Now the case has returned to the 9th Circuit. When it originally invoked the "probate exception," the 9th Circuit panel didn't rule on the merits of either the federal bankruptcy court or the federal district court decisions. With the Supreme Court's narrow opinion explaining that none of the Supreme Court's earlier cases endorsed the notion that federal courts couldn't independently weigh in on probate matters, the 9th Circuit now will have to deal with the merits.

In that context, the most compelling question for the 9th Circuit will be a determination of which court — the federal bankruptcy or district court or the Texas probate court — issued a final judgment first. Chronologically the Texas probate case started first, but the federal bankruptcy court issued its verdict first. The 9th Circuit panel reviewing the case will have to determine which decision counts as the first "final judgment."

There are two issues here. First, the federal district court vacated the ruling of the bankruptcy court and reviewed the matter de novo. It did so after the Texas probate trial had concluded. If this decision about vacating the bankruptcy ruling is upheld, it would mean that the bankruptcy ruling has no effect for purposes of res judicata — that is, neither the bankruptcy decision nor the federal district court's ruling were final judgments for this purpose.

Second, even if the federal bankruptcy court's ruling was final and determined to have occurred first, there are serious questions, relevant to judicial economy and the principles behind res judicata, about the evidentiary record used by the federal district court.

A review of the record indicates that whereas the Texas probate trial took nearly six months to sort through all of the legal and evidentiary issues before reaching a conclusion, the federal district court was able to do so in a few days. How? Primarily by reviewing many of the depositions from the concluded Texas probate trial and also by disallowing most of the witnesses that Pierce Marshall sought to call.

Such an approach has the advantage of expediting matters, but it severely constrains the ability of the court to weigh all evidence necessary. Depositions are useful, but they are not an equal alternative to witnesses testifying subject to cross-examination. As a result, there are serious questions about the sufficiency of the record that the district court relied upon. And such an outcome is contrary to the benefits of res judicata — which is to allow subsequent courts the ability to rely on the findings of fact of earlier courts.

Additionally, judicial economy would dictate that the Texas probate court (as a specialty court) should be given greater deference and weight in making these determinations. In this case, the probate court took nearly six months to reach a determination. Casting aside its work will not be done lightly.

Together, judicial economy and res judicata militate against the 9th Circuit directing a brand new trial to determine the validity of the Marshall will or estate plan. Accordingly, no one should be surprised when, at the end of all the proceedings, it is the original Texas trial verdict that determines the disposition of the Marshall estate. When that occurs (as it almost certainly will), Marshall's money will go to his son — not to Smith's estate, her child Dannielynn, or Dannielynn’s father (whoever that may be).

At this point, of course, the tragic center of this saga is not Smith, but Dannielynn. One fears, at worst, that this child may be being used as leverage to support the ongoing claims of Smith's lawyers and a number of hangers-on who seek to get rich quick.

A separate trial in the Bahamas is going forward to determine who Dannielynn's biological father is. Once that is answered, will the biological father continue his efforts to secure custody after all the legal claims on the Marshall estate are extinguished?

I predict that once those claims are finally exhausted, even King Solomon himself might not have the wisdom to find a father for this baby.

Share:
Vote on It:
Average Vote:
 
About The Author
Horace Cooper is a legal commentator and a Senior Fellow with the Institute for Liberty.
 
TOWNHALL DAILY: Sign up today and receive Townhall.com daily lineup delivered each morning to your inbox.
No Father Here
Whoa, Horace! Is this a column or a legal treatise?

The only people who'll be making money from this whole debacle are the lawyers. What else is new?

In any case, I think I'll drop my paternity claim. I didn't know what's her name anyway.

Oh, the poor child...
unlike millions upon millions of children in the world, she will be afforded the privilege of citizenship in this glorious nation.

The same nation in which a half-wit with more silicone than brains rose to throw away an enviable life (based on finances only).

The real tragedy is that her mother was a drug addict- even while pregnant. Now that is something that the baby has in common with too many.

Addiction is a most dubious inheritance.

btw
Thanks for the legal explanation. Very interesting. Notwithstanding the particulars.

just drop it
Who cares??? I am so sick of hearing about this whole thing that it makes me ill. The woman was nothing more than a gold digger as everyone, including her husband I suspect, knows. The best thing the father could do would be to drop all claims on that money and tell the world that he just wants to raise his daughter in a house filled with love. Knowing the way this country is, he would probably become rich beyond anything he can imagine just from the donations he would recieve from the idiots that won't let this story die.

Some court...
...down the line will simply play Solomon and split the money down the middle and give some to everybody.Wouldn't surprise me if the lawyers get the lions share.Instead of one person being super rich,everyone will be very rich.American socialism.

I enjoyed reading even the particulars
Which is good, cuz I already knew this stuff.

TnMcCoy, he claimed that little Smith would not inherit, and then he set out to systematically prove it.

Technically, all assertions should be handled the same way, but the fact that these are legal assertions means that it comes across like a legal memo.

most sensible thing
I've read seen or heard about ANS, but i'm still sick of the whole business. There actually are important things happening, but you'd never know it from the MSM. By the way, good morning, Jerubaal.

Anna Nicole's Kid
I just feel sorry for the little girl. Her mom was a tramp and a drug addict. Now she is prey for a bunch of carnivorous lawyers. She will grow up unloved and in worse emotional shape than her mother. Shakespeare was right about lawyers.

Anna Nicole who?
.... no Kennedys involved in this tired trollop's tawdry life and mysterious death, eh?

That's a nice change.

Baby
ANS' life is a morality tale and that is why we are so interested. Money and fame were her goals and she got both (though not enough money for her). And what did she really get - addictions, death of her son, her own early death, no chance to enjoy her daughter and the possibility of her daughter becoming the same (if she does get Marshall's money). Her father should denounce all of the money to all the world and save his child. This announcement will finally make everything right (for the world and for him and Dannielynn. All the sycophants will disappear and his daughter can live her life anonymously and happily with her father and learn to make her own way. YOU CANNOT BUY HAPPINESS! Some people know this, some don't.

The situation
is explained clearly so that everyone can understand it. By law, common sense, and morality the Texas probate ruling against Anna Nicole in 2001 (does anyone believe that J. Howard Marshall would want this child who is no relation to him to have even a penny of his money?) should be the final word, but will it? The 9th Circuit may not want to issue a ruling that will say, with no misunderstanding possible, as the Supremes could not say, that the bankruptcy judge in California and the federal court got it wrong. The upshot of this mess caused by a greedy woman could very well be that Marshall's money will be split between the greedy hangers on and, of course, the lawyers will, indeed, get most of it.

Fine and well...but
I don't understand the finding of the Texas Probate Court ruling; unless they had a prenuptial agreement(which was not mentioned), how is it that a man can write his wife out of his will, or a court rule that his wife is not an heir?

Mr. Cooper
Who cares about how much money Anna Nicole had or didn't have? Talk about the real issues. I have a suggestion for your next article. Why don't you talk about the NORTH AMERICAN UNION that is being put in place. Here's some research for you to get you started.

Phyllis Schalfly's web page on this issue:
http://www.eagleforum.org/topics/NAU/
Judicial Watch's FOIA documents:
http://www.eagleforum.org/topics/NAU/
There are also a plethora of articles from other sources, two of which are Human Events and World Net Daily.

Anti-NAU/SPP Legislation in state governments

1. Oklahoma Legislation:
http://webserver1.lsb.state.ok.us/2007-08SB/SCR10_int.rtf

2. Missouri Legislation:
House --
http://www.house.mo.gov/bills071/biltxt/intro/HCR0033I.htm
Senate --
http://www.senate.mo.gov/07info/bts_web/Bill.aspx?SessionType=R&BillID=15633

3. Idaho Legislation:
http://tinyurl.com/3dsted

4. Utah Legislation:
http://le.utah.gov/~2007/bills/hbillint/hjr007.pdf

Passed the House, but wasn’t voted on in the Senate before recessing.

Article:
http://www.jbs.org/node/2962
http://www.thespectrum.com/apps/pbcs.dll/article?AID=/20070227/OPINION/702270331

5. Washington Legislation:
http://www.leg.wa.gov/pub/billinfo/2007-08/Pdf/Bills/House%20Joint%20Memorials/4018-Prosperity%20partnership.pdf

Article:
http://www.citizenreviewonline.org/feb_2007/10/stevens_memorial.html

6. Oregon Legislation:
http://www.leg.state.or.us/07reg/measpdf/sjm1.dir/sjm0005.intro.pdf

7. South Carolina Legislation:
http://www.scsenate.org/sess117_2007-2008/bills/3185.htm

8. Arizona Legislation:
http://www.azleg.gov/legtext/47leg/2r/bills/scm1002p.pdf

9. Montana Legislation:
http://data.opi.mt.gov/bills/2007/billhtml/HJ0025.htm

10. Virginia Legislation:
http://leg1.state.va.us/cgi-bin/legp504.exe?071+ful+SJ442

11. Tennessee Legislation:
http://www.legislature.state.tn.us/bills/currentga/BILL/SJR0088.pdf

12. South Dakota Legislation:
House -- http://www.house.mo.gov/bills071/bills/hcr33.htm
Senate -- http://legis.state.sd.us/sessions/2007/bills/SCR7p.htm

13. Illinois Legislation:
http://www.ilga.gov/legislation/95/HJR/PDF/09500HJ0029lv.pdf

14. Georgia Legislation:
http://www.legis.state.ga.us/legis/2007_08/sum/sr124.htm

15. Hawaii:


16. Texas Legislation:
http://www.legis.state.tx.us/tlodocs/80R/billtext/html/HB03647I.HTM

Note: this legislation appears to be asking for the Attorney General to perform a study.

Washington: Washington Action Committee for Truth and Awareness of North American Union
State Senators Urge President to cease creation of North American Union
http://www.citizenreviewonline.org/feb_2007/10/stevens_memorial.html


U.S. House resolution:
http://www.govtrack.us/congress/billtext.xpd?bill=hc110-40

HCON 40 IH Sponsored by Rep. Virgil H. Goode Jr. [VA-5] Title: Expressing the sense of Congress that the United States should not engage in the construction of a North American Free Trade Agreement (NAFTA) Superhighway System or enter into a North... (Introduced in House)
Sponsor: Rep Goode, Virgil H., Jr. [VA-5] (introduced 1/22/2007)

12 Co-Sponsors:
Rep. Cubin, Barbara [WY] - 2/16/2007
Rep Duncan, John J., Jr. [TN-2] - 1/22/2007
Rep Foxx, Virginia [NC-5] - 1/22/2007
Rep Jones, Walter B., Jr. [NC-3] - 1/22/2007
Rep Norwood, Charles W. [GA-10] - 1/30/2007 Rep Paul, Ron [TX-14] - 1/22/2007
Rep. Regula, Ralph [OH-16] - 2/8/2007
Rep Saxton, Jim [NJ-3] - 2/8/2007
Rep. Stearns, Cliff [FL-6] - 1/22/2007
Rep Tancredo, Thomas G. [CO-6] - 2/16/2007
Rep. Tiberi, Patrick J. [OH-12] - 2/8/2007 Rep Wamp, Zach [TN-3] - 1/22/2007

Latest Major Action: 1/22/2007 Referred to House committee. Status: Referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Foreign Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.



correction
Judicial Watch's website that has FOIA documents regarding this issue:
http://judicialwatch.org/SPP.shtml

Timetable
I am not sure how much this matters in the grand scheme of things, but there appears to be a contradiction:

"Despite the Texas probate ruling, Smith and her legal team went forum-shopping for a favorable judgment. After she filed for bankruptcy in California, Smith convinced a federal bankruptcy judge to award her nearly $450 million she claimed was promised from Marshall."

"Chronologically the Texas probate case started first, but the federal bankruptcy court issued its verdict first."

Possible heirs
What a coincidence that Anna Nicole and her son should both die from drug overdose within such a short period of time. Who investigated these bizarre deaths?

Thus eliminating two potential heirs to this fortune - amazing that an attorney was Anna Nicole's closest confident during the latter phase of her life and his apparent attempt to cash in on the situation.

Is or will the innocent child be affected by Anna's blatant drug use - only time will tell.
Sign Up to Post Your CommentsSign Up to Post Your Comments
If you are already registered, click here to login. Otherwise, please take a few seconds to register with Townhall.com. Once you sign up, you’ll be able to post your comments immediately, use the action center, get podcasts, and more!
Note: Fields marked with a red asterisk (*) are required.
Salutation:
First Name:
*
Last Name:
*
Email:
*
Nickname:
*
Note: Nick name will be shown when you post comments.
Address 1:
*
Address 2:
City:
*
State:
*
Zip:
*
Phone:
      
Your daily must-read of conservative columns, cartoons and news. Coulter, Sowell, Krauthammer and more.
(Bi-Weekly) We highlight the best opportunities from our partners for surveys, action items and more.