Other Digital Assets and Estate Planning

Here is part seven in my series on digital assets and estate  planning.  Interestingly, the rest of the world is picking up on this topic.  Here is a recent article from the new york times on digital assets.

There are a number of other types of digital assets that deserve consideration when planning an estate.  These can be web site accounts or actual assets in digital form.  Here is a brief general survey. 



Photos
Flikr:  Flikr was acquired by Yahoo in 2005.  Shortly thereafter, they adopted a policy of requiring their users to turn in their old Flikr accounts in exchange for a Yahoo! Account.  Based on my web research, users were not very happy about this trade.  Guess what Flikr's new policy is.  You can find out in part six of this series.

Picasa:  Picasa is owned by Google and follows the Google protocol for a deceased user.

Smugmug:  Smugmug does not have a specific death policy, but its terms of service indicate that they will disclose personal information to comply with a court order.  Smugmug Terms of Service:

We also disclose personal information when we believe it is appropriate to comply with the law (e.g., a lawful subpoena, warrant or court order) or with requests of law enforcement authorities; to enforce or apply this Policy or our other policies or agreements; to initiate, render, bill and collect for amounts owed to us; to protect our or our customers' rights, property or safety; to protect our customers from fraudulent, abusive, or unlawful use of, our Site; or if we reasonably believe that an emergency involving immediate danger of death or serious physical injury to any person requires disclosure of communications or justifies disclosure of records without delay.

 Video
Youtube:  Youtube is owned by Google and follow's the Google policy of allowing heirs actual access and control over the account.  Accounts left inactive for nine months will be deleted.

Music

itunes:  With itunes, we encounter at least two different types of digital asset planning issues.  The first is the same as with the email accounts - who owns the account and how do we access it or transfer it.  The second issue is that the actual digital media in the account may be difficult to transfer.  Songs, movies, audiobooks, podcasts, ringtones, etc. are not physical in the way that a CD or DVD are.  In January of 2009, itunes went "DRM-free".  That is, all of the content purchased on itunes no longer contained digital rights management. Upon death, itunes will allow a user to cancel an account, however, that will also disable the ability to re-download the music and other content.  A cancelled account cannot be re-activated.  Apple does not allow a procedure for account transfer, however, they will allow an account holder to change or remove billing information.  This will allow an account to have access to content already purchased but will not allow for the purchase of new content on the Decedent's prior billing arrangement.  A less attractive option is to let Apple disable the account which will allow the use of the content but does not allow the content to be re-downloaded.

Currently, to delete an itunes account, send an email to iTunesStoreSupport@apple.com with the following information in addition to requesting to delete or disablethe account:
1.    The billing address listed on the account
2.    As well as one of the following:
    A)     The last four digits of the credit card used for the iTunes Store account
    B)     The order number of the most recent purchase
    C)    The name of any item purchased using the account
Apple will verify the information and disable or cancel the account (whichever is your request), and send you an email confirmation.

Rhapsody:  Rhapsody does not have a death policy.  A Rhapsody account can be terminated over the phone at 1-866-563-6157.  The company also has an online form for the same procedure, but this requires a username and password.

Pandora:  Pandora will delete an account upon notice from a deceased user's relatives sent to Pandora via email at pandora-support@pandora.com from either the email account associated with the Pandora account or from another email address with the birth year of the decedent and the decedent's zip code.
social networking

Social Networking

MySpace: MySpace will not provide any login information for an account and MySpace will not let anyone have access to edit, delete, or change any content or settings on an account.  MySpace will honor a request to close an account.  MySpace will also consider and possibly honor requests to remove certain content.  MySpace requires an email to accountcare@support.myspace.com with proof of death, such as a death certificate or obituary.

Facebook:  Facebook will not provide any login information for an account.  Facebook will allow a deceased user's account to be memorialized, deactivated, or deleted.  Anyone can ask that an account be memorialized by filling out a form on the facebook website that can be found here.  When an account is memorialized, Facebook removes certain more sensitive information like status updates and restricts profile access to confirmed friends only.  The user's "wall" remains and friends can still add content to the wall.  Facebook will, however, honor requests from "close family members" to close an account completely.  Just recently, Facebook annonced a new feature that will allow a user's entire page to be downloaded.
Linkedin:  Linkedin has an online form that can be submitted to notify the service that a user is deceased.  the form can be found at http://tinyurl.com/2ecom3s and can be submitted electronicly or faxed to 402-493-3548.  The form, however, requires an email address registered to the deceased member's account

eCommerce

Many people make money on the internet.  Sometimes they make lots of money.  The internet has given small time operations big time leverage.  Many people operate simple ebay storefronts, design clothing through cafepress or zazzle, or self publish and sell books.  Even a popular website or blog can be monetized through advertising.  These businesses should be treated like any other business.  An estate personal representative must determine whether the business should be sold or liquidated and must consider the possibility that the business may have accounts payable, accounts receivable, work in process, or product that must be delievered.   

PayPal:  PayPal is one of the most common methods of internet money exchange.  It is possible that any person who does commerce on the web will have a PayPal account.  These accounts are similer to a checking account although some also act like a credit card and can be liabilities.  An estate personal representative should check to see if there is a cash balance in a PayPal account or a balance due and owing on a PayPal credit card.

PayPal does not allow access to an account but will allow an account to be closed.  A PayPal account of a deceased user can be closed if an estate personal representative faxes to (402) 537-5732 the following:
1.    A cover sheet that states the account holder is deceased and the executor wants to close the PayPal account
2.    A copy of the death certificate for the account holder
3.    A copy of the deceased account holder’s will or legal documentation that provides the information regarding the executor
4.    A copy of a photo ID of the executor

If the documentation is in order, any funds in the account will be issued in the account holder's name and the account will close.  PayPal's customer service can be contacted at 1-888-221-1161.

eBay: eBay does not allow for the transfer of a user account or feedback to any other person.  If a user dies, a personal representative can send a fax along with a phone number and a copy of a death certificate to (877) 349-1798 to request that an account be closed.  eBay will delete the entire eBay account and all information from its database. 

Ecommerce: According to a September 2010 survey of the Pew Research Center, fifty-eight percent of Americans go online to research products and services they are considering purchasing.  Many purchase through companies such as Amazon, Newegg, Buy.com, and a myriad of other online shopping websites.  Most of these websites keep billing information on hand and should be closed or deleted upon a user's death.    

Domain names:  Domain names can have value related to a business.  A Network Solutions account or godaddy account can be transferred to change the owner of the intellectual property.  Domain names are registered for a period of time and can expire.  A personal representative would be wise to check the "whois" database to determine if any domain names might expire during the pendency  of estate administration.

Cloud computing:  More and more work, play, and business is being done on the "cloud" (ie. data and programs are now remote and accessed with a browser rather than residing on a local computer).  Because of its cost effectiveness and ready access, Google Docs is being adopted by many computer users.  Luckily, Google has one of the most friendly policies on account transfer.  Other collaboration sites such as the now defunct GoogleWave can also contain digital assets.

Offsite backup:  Like cloud computing, many computer users employ offsite backup for their digital assets.  Companies like carbonite, idrive, and mozy provide remote storage space offsite for a fee. 

The list goes on and on:  Many people, including people in the older generation, live a great portion of their life online.  The items described here only begin to scratch the surface of accounts that need to be tended by a personal representative or dealt with in an estate plan.  Other important websites are financial accounts such as etrade, ameritrade, schwab, online credit cards, online checkbook services such as mint.com, and online tax return preparation websites.  There is also a need to consider addressing dating websites such as match.com or eharmony.com.  People in all professions have personal and business web pages and blogs that could be monetized or are part of a larger business and have value.  Artists and writers may have valuable information on their websites.  Many technophiles have ditched their home phone and adopted a skype or vonage account.  Streaming of movies over netflix or hulu premium is commonplace in lieu of cable or satellite television.  Most of these services are billed to a credit card on an ongoing basis.  Terms of service must be checked and accounts should be shuttered.