Chapter 13

"Matt," Ryan Clark said at ten the next morning. "I guess it's up to you."

Spearfish Lake didn't have a lot of attorneys, but most people agreed that Matthew Schindenwulfe was the leading one. While both Clark Plywood and Clark Construction occasionally used specialist attorneys for various things, Schindenwulfe got the majority of the legal business from both companies. Therefore it was logical that he would handle the details of Brent's estate, and that this meeting would be held in the conference room of his downtown office.

Randy leaned back in the comfortable chair around the polished mahogany table in a room filled mostly with shelves of law books, and a few art objects to break the appearance up a bit. It was obviously an important room, or at least a room where important things took place. It was both warm and intimidating. Well, now we find out what Dad has been so secretive about, he thought. He glanced over at Nicole, who had taken off from school this morning to be here by his side, and looked around the room. His parents were there, of course, along with Ruth and Dave, and Rachel and Joel. Everyone appeared interested in what Schindenwulfe was about to say – well, everyone but Joel, who looked a little perturbed at something, like he had to be there at all, or had to be forced to wait for what was about to be said. Even though Randy had no idea of what was going to happen, he could imagine that Joel was going to be less than happy at the outcome. But then, Randy thought, he would be unhappy at getting anything less than the whole ball of wax, and if there was one thing Randy was sure of, it was that was the last thing that would happen.

Too bad, a vagrant thought crossed his mind. If Rachel and Joel did get the whole ball of wax, including the construction company, he'd be out from under it. Maybe he could go and run rafts down the Grand Canyon then, or maybe do something like Nellie and Harold had done, sail a boat around the world. But that wasn't going to happen, and he was dead sure of it.

"All right," Schindenwulfe began. "I suppose I'd better explain to everyone that this isn't a formal reading of the will, like you see in the movies and on television, because Brent didn't have a will, per se. After he had his first heart attack several years ago, he called me in to update the will he then had. It was, to use the terms we lawyers use, a mess. He explained to me the general form of what he wanted to accomplish with his legacy, and his will didn't do a good job of it at all. After a great deal of discussion, we decided to move his assets into a living trust, which would assure that his legacy would be disposed of as he wanted.

"Now, a trust has a couple advantages, in that it can more clearly state the goals and objectives of the decedent and can be more easily adapted to deal with the changes in assets as time goes on. Since it's a trust, it doesn't have to go through probate and all the delays and uncertainties that involves. That's important, since some of Mr. Clark's assets need ongoing management, which would be stalled if we had to go through probate. It would cause particular difficulties at Clark Construction. If his death had come at the height of a busy building season everything could come to a halt for months, with obvious consequences.

"Mr. Clark could see the danger of that, so we spent some time working out the details of the trust. Some of those details were worked out with Ryan Clark, who has been designated as the successor trustee. Since the trust has been in operation for some time, Ryan, you will be able to distribute your father's assets as he desired today. For the benefit of everyone else present, Ryan and I have spent some time working out the details so that the necessary paperwork can be signed today."

That was a surprise to Randy. He had figured that it would somehow be months before all the details would be complete. He stole a glance at Joel, who seemed about equally surprised that things would take place so quickly.

"Actually," Schindenwulfe said, "with that much said, I could pass the ball over to the successor trustee to announce the distribution of the assets, but Ryan asked me earlier to give you the outline of it. If anyone has questions, we'll try to answer them as we go along."

"You can do it," Ryan said. "You and Dad worked out the general shape of things. I've only helped with some of the details."

"More than some of the details, we couldn't have done it without your assistance," Schindenwulfe replied. "To begin with, Brent's primary concern was Clark Construction. In actual terms, at the time of his death, the decedent owned a total of ninety-six percent of the shares in the company, the balance being held by you, Ryan, and Mrs. Clark. Although some of the others here may not be aware of it, you and I know, of course, that you and your father swapped shares of Clark Construction and Clark Plywood back and forth from time to time over the years for tax purposes. You'll recall that when the trust was set up, it was decided to concentrate all but that token amount of ownership back in his name, just to simplify things when this day came. It was his intent that all of the shares of Clark Construction be left to Randall Clark, who has been the de facto manager of Clark Construction for some time. The taxable valuation of the real and personal property involved with Clark Construction is considered to be about $2.7 million, exclusive of any assets and liabilities that may have incurred. Those liabilities will include a considerable tax bill as a result of the death duties involved, but the assets include sufficient funds to cover the taxes and still leave a reasonable operating margin to ensure the ability to continue the company for the foreseeable future."

"I hadn't been aware of the exact numbers," Randy replied. "But that was about what I expected." Actually, Randy thought that the value of the company was low at 2.7 million, but he was mindful of what he'd told Nicole, that the value was a fuzzy thing that could be interpreted in different ways by different people.

"I know your father has probably told you this, but your grandfather also told me that he was fully confident in your ability to continue to operate Clark Construction successfully. He was appreciative of the great deal of time and effort you put into learning how things are done out there, and to supporting him in the final years when he couldn't give the attention to the business that he had done in the past. I'm telling you that because of the fact that compared to your sisters you're getting a share of his assets that is somewhat disproportional to the assets your sisters are receiving. You put your time and interest here, Randy, and you're being rewarded for it."

Randy relaxed considerably. He'd gotten about what he had expected; he had been concerned that he was going to get a much smaller share of the company, but being tagged as the manager, which would have been a headache, at best. But, no. Clark Construction was all his – well, all but the four percent held by his parents. He stole a glance at Joel, whose frown had become a scowl. Whatever Rachel received, it was going to be less than the 2.7 million taxable valuation plus whatever he'd received, and Joel knew it. Inwardly, Randy grinned to himself. He'd have bet good money that when Joel had heard the number of 2.7 million he'd already figured out how to spend it.

"Turning to Rachel and Ruth," Schindenwulfe said. "I should probably explain that Brent didn't leave a large cash legacy for anyone. He was not one to keep money tied up in cash when it could be put to better uses. Over the years, when he had spare money he put it into land investments. Due to his connection with Clark Plywood, much of that land investment was in forest lands, which provide a long-term, sustainable investment. Just as a point of information, he liked to buy up lands that had recently been cut over, and plant them in such a way that they provided sustained yield. The rule of thumb for such forest lands today, which are in a growing state but not yet ready to harvest, is that they are worth an assessed valuation of about a thousand dollars an acre."

Holy shit! Randy thought, trying to keep his expression impassive. Did I hear him right? There's a fast one going on here!

"The net worth of those lands grows as the trees mature," the attorney continued. "Right at the moment in my opinion the land you're receiving is probably not worth that much, but in ten years or so, if properly managed, in today's market they'll provide an ongoing income of a hundred to two hundred dollars an acre in perpetuity. Ladies, if you want to discuss the proper management of those lands, you should probably talk to your father, since he's much better versed in it than I am."

"Excuse me, counselor," Joel piped up, at least halfway respectfully. "How much land are we talking about?"

"Approximately two sections each," Schindenwulfe told him. "Mrs. Lancaster will receive about fourteen hundred acres, which is the larger of the two parcels. There's a full legal description of it in the folders I have for each of you. Mrs. Griswold gets a slightly smaller section, which includes Brent's former hunting cabin, which is in good shape if on the primitive side. Brent specifically made that legacy because he knows that Mr. Griswold is a deer hunter, and that's good deer country. Again, there's a cash legacy attached to each one of those that's earmarked for transfer fees and taxes. However, if you should decide to sell the land, any transfer will have to wait until after a title search is completed."

"So, you're saying land worth about $1.4 million?" Joel asked, sounding interested.

"It's probably not worth that right now but will be in time," Schindenwulfe explained. "I'm afraid I have to refer you to your father-in-law on that."

"Let's get to that later, Matt. We're wasting your time if we get into forest management right now."

"I suppose," Schindenwulfe smiled. "We're through the majority of it now, anyway. Brent decided to leave his house and the sum of a hundred and fifty thousand dollars to Alma Johansen, who had been his housekeeper for many years and companion for the last of them. That includes any furnishings and other items, less any sentimental items to be decided by the successor trustee upon conference with Mrs. Johansen. Finally, the balance of Brent's estate goes to Ryan Clark, which includes some shares in Clark Plywood, more land similar to that stated above, and some other miscellaneous considerations. Is everybody comfortable with all that?"

"Sure," Ruth piped up. "It's more than I expected to get. I figured Dad would get most of it."

"Same here," Rachel agreed. "Dad, I suppose you'll be willing to handle the land management?"

"If you want," Ryan said. "Clark Plywood has handled the land management for Brent for years, so it's not going to be any big deal to continue it."

"Fine with me," Randy nodded. Actually, inwardly he was a little perturbed; he'd put in a lot of time for his share of the estate, and running Clark Construction was going to be more work. His sisters got a good deal, pretty much free ride. But he'd still made out better than them in the long run, so he figured he'd better not say anything.