FAYETTEVILLE — Carl John Smith’s $822,000 estate was put into an account destined for county coffers after he died July 20, 2010, and investigators couldn’t find any living relative.
That might not happen now.
Legal lingo
State law says an heir or legal representative has seven years after the person’s death to claim any money paid into the treasury. He may file a petition in the circuit court in the county in which the decedent resided at death.
Source: Arkansas Code 28-13-110 (a)
A woman who says she is Smith’s first cousin filed a lawsuit May 16 in Washington County Circuit Court to claim the money. Laura Lee Broderick, 61, of Bethel, Conn., has filed documents, including death and birth certificates, to prove she is Smith’s rightful heir.
Broderick said in court records Smith’s father was her uncle.
“I’m hoping it will be resolved quickly,” said attorney Wendy Howerton, who represents Broderick.
The law prefers to give money to its rightful heir rather than to a government, Howerton said. The estate of a person who dies without a will or heir ends up in the escheat process. Escheat is the transfer of title of property to the government.
Broderick is having medical problems and wasn’t available to comment, Howerton said.
“This [money] would help her dramatically get the care she needs and that she doesn’t have the means to afford,” she said.
The legal case underway likely will be resolved by the end of the year, said County Attorney Brian Lester. The money is being held by the county treasurer in a separate account.
Smith, who lived at 3103 Karen Ave. in Springdale, had no will when he died at age
- He retired to Northwest Arkansas from Bethlehem, Conn., according to County Clerk records on his estate.
A deputy investigated and found Smith’s mother died years earlier, records show. An attorney taking care of the estate talked with a city clerk in Bethlehem, but no one knew of any living relatives. A Springdale neighbor called Smith his friend but said he didn’t know of any living relatives of Smith’s.
Smith’s estate was worth about $865,000, including property, savings bonds, IRA and other accounts, records show. The county sold Smith’s home, 1991 Mercedes-Benz, 2004 Chevrolet pickup, power tools and coin collection.
Washington County stood to get roughly $822,000 for its general fund this July after paying attorneys and others for work on the property, Treasurer Bobby Hill said. State law requires counties wait seven years after death before putting such money into general funds.
Howerton was hired to find Smith’s relatives years ago, she said. She declined to name the company that hired her.
Smith’s case is unusual, Howerton said. It’s rare to try to get back money that’s in the process of going to the government, she said.
Even which government attorney should handle the case is unclear. Howerton said the prosecuting attorney should handle the case because the county should not simultaneously hold money and allow the county attorney to argue the case. The prosecutor “for the district” is supposed to answer these kinds of legal petitions, according to Arkansas law.
Another state law and county policy requires the county attorney to represent the county, Lester said.
Prosecuting Attorney Matt Durrett said he isn’t involved in the case. Lester filed a response to Howerton’s claim June 8, arguing “the county lacks sufficient knowledge” about whether Broderick is Smith’s heir entitled to make a claim.
Lester said Thursday he plans to proceed with the case. No trial date has been set as of Friday.
The money would help Washington County, which is struggling with a $5 million gap between spending and revenue this year, justices of the peace said.
Smith’s money won’t solve all the county’s financial woes, said Justice of the Peace Sue Madison, a Democrat who represents southeastern Fayetteville.
“It would have helped reduce budget problems,” Madison said. “[But] it would take more than that to solve all of our budget problems anyway.”
Scarlet Sims can be reached by email at ssims@nwadg.com or on Twitter @NWAScarlets.