Ohio Court Punishes Trust Mill

The Supreme Court of Ohio dealt a sharp blow to trust mills in Cleveland Bar Assoc. v. Sharp Estate Services, Inc., 107 Ohio St. 3d 219 (2005).  The court “impose[d] a civil penalty in the amount of $1,027,260, determined by multiplying 468, the number of living-trust and estate plans sold by Sharp in Ohio, by $2,195” (the approximate cost of each plan).

The court also approved the issuance of a permanent injunction against the defendants from selling these plans and requiring them to turn over a list of all Ohio clients to the Cleveland Bar Association.