Boxing legend Tommy Hearns placed under conservatorship — what that legal move means for his finances, health (and why you should care)

Hearns, who is reported to have made upwards of $40 million dollars (2) during his boxing career — which lasted from the late 1970s through 1999 — has struggled personally and financially since leaving the ring. In 2010, he was forced to auction off a number of personal possessions, including fighting memorabilia and a 1957 Chevy car to pay off a $448,000 tax debt (3).

The recent guardianship battle, meanwhile, got heated when, in February, WXYZ reported that Hearns’ daughter and sister knew of his location but wouldn’t reveal it to the judge or other family members. The story noted that Hearns was also diagnosed with dementia and had his home foreclosed on, eventually leading to him living with Ronald.

Ronald, for his part, told the outlet that his “main goal” is to ensure his father’s “enjoying his life and nobody else can hurt him in any kind of way, financially, physically, or mentally.”

The case, however, highlights the vital role a conservator can play, and how other, less costly, options may be available with proper estate planning.

The pros, and financial blows, of conservatorship

In some states, the terms “conservator” and “guardian” are interchangeable but, in Hearns’ case, they represent two different roles. As his father’s guardian, Ronald would be responsible for his personal care (4), whereas the conservatorship focuses on control over the boxer’s finances.

“We are, by definition, taking away the rights of one adult and putting them in the hands of another,” California attorney Christopher Melcher told AARP about conservatorships (5). “There is an inherent risk of abuse when we do that, so the court needs to be convinced that the conservatee is unable to care for themselves, and that we need this drastic remedy.”

As such, only a court can assign a conservator, and only then after it hears petitions from loved ones and other concerned parties. Conservatorships can also be limited in scope, notes AARP — focusing just on a person’s health care or finances — and in some cases more than one conservator can be assigned to a conservatee, with each overseeing a different aspect of their life.

Either way, a conservatorship comes with numerous advantages, including the peace of mind that the conservatee is cared for and the conservator is both vetted and receives regular follow-ups by the court. The court can also adjust or simply terminate the conservatorship based on the conservatee’s needs, or concerns of their loved ones.

Conservatorships, however, do also come with their downsides. They can be costly, with court hearings, attorney’s fees, medical evaluations and other related costs running into the tens of thousands of dollars (6). They also become a matter of public record — including the conservatee’s medical issues and finances.

And in some cases the responsibility of a conservator can last years, until the conservatee’s death, making for a long-term, heavy lift. And that’s in addition to the loss of independence by conservatee, which can be an additional strain during an already difficult situation.

That said, there are ways to plan ahead to avoid the need for a conservatorship altogether.

Alternatives to conservatorships

The best way to avoid the need for a conservator is to plan ahead.

Most experts advise long-term estate planning and making your wishes, including those involving finances, are known to loved ones in advance. Arrangements like a revocable living trust (7) — with yourself designated as the main trustee and another trusted person pegged to take over when you can no longer manage — is one example of how you can lay out your desired financial outcomes and still maintain some authority over them.