Family Turmoil Might Split Billion Dollar Foundation

As I have previously discussed, the legal battle between the William Davidson’s widow and son versusJonathan Aaron, co-executor of Davidson’s estate and president of the WilliamDavidson foundation, and wife Mary is expected to continue in Delaware once thesuit is filed. Allegedly, Jonathan Aaron fabricated a family dispute to gainexclusive control of half the foundations assets.

Currently, the foundation cannotbe managed because of the board members 2-2 gridlock. As a result, thefoundation cannot govern itself or distribute any assets because of thisimpasse. 
Aaron, was attempting to split the foundation’s$1 billion in reportedassets. 

 

Aaron’s petition to split was unsuccessful because the court heldthat the case has to be heard where the foundation is incorporated. Aaron’s salaryfor serving as board president is the reason for the lawsuit. 

Aaron currentlyreceives $125, 000 annually, but the foundation calls for his base salary to bepaid on a sliding scale of from a $180,000 range to $600,000 depending on thetotal assets in the foundation. The two sides are currently mounting theirdefenses. 

See Chad Halcom, Court Records Show Foundation of Davidson Family Dispute, Crains Detroit, May 26, 2013.

Special thanks to Brian Cohan (Attorney at Law, Law Offices of Brian J. Cohan, P.C.) for bringing this article to my attention.