You might know that pop star Katy Perry has been in a dispute over her $15 million Montecito mansion for years.
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Part of the dispute involves Perry’s team saying her manager legally purchased the home from 84-year-old Carl Westcott, founder of 1-800-Flowers.
Westcott’s family, on the other hand, argues Westcott was recovering from major surgery, on pain medication and diagnosed with Huntington’s disease at the time of the sale, impacting his mental capacity to understand the agreement.
Nevertheless, Perry’s team is now seeking millions of dollars in damages, while Westcott’s son, Chart Westcott says, “An apology would be nice,” according to the New York Post [1].
When elderly loved ones sell property without having protections in place, it can make a major dent in family wealth. So what exactly happened and could it have been avoided?
What everyday families should know
In Perry’s case, it all came down to one side believing the contract was binding, while the other thought the seller didn’t have the capacity to make it in the first place.
Perry’s team is looking for over $5 million in damages, claiming lost rental income during the years-long court battle and for repairs allegedly needed on the property.
This legal fight isn’t unique to celebrities and million-dollar mansions either.
Baby boomers own 41% of U.S. homes, according to the Mortgage Bankers Association [2], and as this generation ages, more families will face similar struggles over their elderly loved ones’ estates.
“The most expensive thing about selling the family home isn’t the list price; it’s the risk of a battle,” says Kristen Herhold of Clever Real Estate [1]. Herhold says she often sees similar legal troubles to the ones Perry is having in regular real estate deals with ordinary people.
Read more: Rich, young Americans are ditching stocks — here are the alternative assets they’re banking on instead
Estate planning isn’t just paperwork; it’s strategy. According to the American Bar Association [3], it means sitting down with the pros who know your finances, your family dynamics and your long-term goals. From lawyers and accountants to financial planners, insurance advisors, bankers and brokers, it often takes a full team to protect your assets and make sure the wishes of loved ones stick.
How to protect your assets
The National Council on Aging has a list of considerations to weigh when estate planning and that includes some simple but powerful basics [4]:
Write a will. This decides who gets what, names an executor and appoints guardians for kids. Easy DIY options exist online, though lawyers can help with complex cases.
Consider a living trust. A trust keeps assets out of probate, offers privacy and helps if you’re incapacitated. It’s a lifesaver for families with multiple properties or complicated dynamics.
Set up powers of attorney. Financial or medical (regular or durable) POAs ensure someone you trust can step in if you can’t handle money, health, or legal decisions yourself — something that may have been helpful for the Westcott family.
Get organized. From birth certificates to property deeds and insurance policies, keep everything in one safe spot for your executor and family.
Check beneficiaries. Retirement accounts, life insurance and bank accounts may bypass your will entirely, so make sure to keep everything current.
List assets and debts. A master list of what you own and owe makes settling your estate faster and smoother.
“Having the proper estate planning documents in place with the appropriate fiduciaries is crucial,” says Aimee Arce, an associate in the Trust & Estate practice at Fox Rothschild LLP [1]. “Without these important documents, your loved one may need to be deemed incapacitated by the court under these circumstances, before you have the power to make decisions on his or her behalf.”
Even if you know what to do, families often struggle with the timing of when to step in legally, if the estate planning hasn’t been done properly.
You don’t need to assume decision-making the moment a loved one shows signs of aging. But when health issues, medication, or cognitive decline start clouding judgment, it’s time to think about getting legal authority in place.
If there isn’t a plan in place, the only way to gain control is through the courts. That usually involves a guardianship or conservatorship proceeding, where medical evidence and testimony must prove that the person can’t manage their own affairs. It’s a serious step and the U.S. Department of Justice calls it a last resort because it restricts the individual’s independence [5], but it ensures no one can force through a sale that jeopardizes a family’s biggest asset.
For most families, the home isn’t just where memories are made; it’s also the single largest asset and source of wealth. If it’s sold under sketchy circumstances, the fight over that sale can quickly drain the very inheritance that heirs are hoping to preserve.
You don’t need a $15 million mansion to end up in a legal nightmare. By putting powers of attorney and estate plans in place early and by stepping in when necessary, families can avoid court battles, protect their wealth and prevent years of costly conflict.
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[1]. New York Post. “Katy Perry’s legal fight is a warning for those selling or inheriting a family home”
[2]. Mortgage Bankers Association. “Who Will Buy the Baby Boomers’ Homes When They Leave Them?”
[3]. American Bar Association. “Estate Planning Information & FAQs”
[4]. National Council on Aging. “The Ultimate Estate Planning Checklist: A Step-by-Step Guide”
[5]. U.S. Department of Justice. “Guardianship: Less Restrictive Options”
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.