$3m windfall looms for Kathy Jackson

Kathy Jackson is in a legal battle over a $3m inheritance from the estate of wealthy barrister David Rofe.

Kathy Jackson, right, lunches with David Rofe in October 2014. Mr Rofe died last night, leaving an inheritance of $30m.

The death of a wealthy Sydney barrister David Rofe QC has sparked an immediate legal battle over his large estate, with former union chief Kathy Jackson named as an executor in his last will and the beneficiary of a $3 million inheritance.

Rofe, who was diagnosed with dementia in 2010, died last night in St Vincent’s Hospital aged 85, leaving an estate valued at close to $30m.

In his last will signed in ­December 2014 when he was at an advanced stage of dementia, Rofe left Ms Jackson a one-tenth share of his fortune upon his death plus another $100,000 in cash.

Ms Jackson is now a bankrupt and faces 164 theft and fraud charges related to her time as a leader of the union.

She first met Rofe in mid-2012 — almost two years after his ­dementia diagnosis — when she was still regarded as a “hero” for blowing the whistle on corruption inside the her union that led to the jailing of colleague and HSU boss Michael Williamson.

Introduced to Rofe by her partner, former workplace judge Michael Lawler, who once shared barristers’ chambers with Rofe, Ms Jackson quickly became close to the ageing barrister.

Ms Jackson spent time with Rofe at his Woollahra home in Sydney’s eastern suburbs, where he lived with around-the-clock nursing care. For more than a year, Lawler was Rofe’s financial manager, alternate guardian and exercised power of attorney over his estate. Ms Jackson was listed as one of Rofe’s “carers”.

She helped Mr Lawler buy a second house for Rofe — using $1.35m of Rofe’s funds — that was next to the Jackson-Lawler home at Wombarra, south of Sydney.

Ms Jackson first appeared in two Rofe wills drafted in April and May 2013 as the beneficiary of $45,000. Over the next eight months Ms Jackson’s share of Rofe’s estate was revised upwards and she became a co-executor.

In March 2014 her inheritance jumped dramatically to a one-tenth share, or about $3m, plus the $100,000 cash.

A July 2014 codicil, or amendment to Rofe’s March will, significantly downgraded Ms Jackson’s share by eliminating altogether her one-tenth Rofe inheritance. Her further $100,000 cash payment, now her only benefit, was cut to $50,000. She was removed as an executor.

This sudden, big downgrading of Ms Jackson’s position was caused by a falling out at the time: Rofe, encouraged by another friend, Nick Llewellyn, was angry about Mr Lawler and Ms Jackson’s use of his funds to buy the property next to their home for him.

By December 2014, Ms Jackson’s position was totally restored in Rofe’s will — his last. The last will said she was a co-executor and would receive the one-tenth share, valued at $3m, plus $100,000. In this last Rofe will, Mr Llewellyn’s inheritance was downgraded.

All up, there are at least 25 Rofe wills in existence. Most were written after 2010. Legally, each will in chronological order replaces previous ones. But some potential Rofe beneficiaries claim that one will signed by Rofe in 2006 is most representative of his preferences and wishes before his slide into ill health.

Rofe’s family members and some other past beneficiaries are set to contest the validity of almost any Rofe will signed since his ­dementia diagnosis in 2010 — but they appear most keen on attempting to rule out the last batch providing a generous inheritance for Ms Jackson.

A bitter legal dispute involving potentially many claimants looks headed for the NSW Probate Court. The case could chew up millions of dollars from Rofe’s ­estate in legal fees and court costs if it became drawn out.

Initial legal argument is set to focus on Ms Jackson’s entitlement to serve as an executor handling Rofe’s estate — because she is a bankrupt. But it is possible she will remain an executor.

Kathy Jackson. Picture: David Crosling

The outcome could depend on the willingness of two co-executors to let her continue in the role, or on a court decision in the absence of an agreement.

The case against Ms Jackson’s entitlement to a $3m-plus inheritance is expected to hinge on a ruling about the validity of Rofe’s last will. It was signed by Rofe in the presence of Ms Jackson, and witnessed by Ms Jackson’s solicitor in the living room of Rofe’s Woollahra home in December 2014.

Considerable legal dispute also lies ahead about provisions made in many of Rofe’s 25 wills about what share Mr Llewellyn should inherit, if any.

Mr Llewellyn, who calls himself “Lord of Glencoe”, entered the ageing barrister’s life in 2002. He worked in Rofe’s chambers as a legal aid, becoming personally close and relying on Rofe to help pay his bills. Mr Llewellyn came to regard himself as Rofe’s “close friend”, “dependent”, and “virtual son” — but he felt increasingly frozen out when Ms Jackson ­arrived on the scene and Rofe ­allegedly came to regard Ms Jackson as “the daughter he never had”.

Rofe never had any children, and never married. His only relatives, some of whom figure in his wills, are a cluster of nephews and nieces.

Several other people who were close to Rofe in his earlier life and figured as significant beneficiaries then — but were later downgraded or written out entirely — are expected to be drawn into the Rofe estate dispute.

They include Rofe’s closest nephew, Philip, and several former friends from Rofe’s days at the bar.

One non-relative who has figured consistently in Rofe wills is longtime friend Gregg Hele. Mr Hele, after knowing Rofe in earlier years, has lived with Rofe for the past three years and served as his chief nurse. In Rofe’s last wills Mr Hele is bequeathed a two-tenths share, or close to $6m.

Another who was a loyal friend and companion of Rofe’s for many years is Elaine Clark. Ms Clark, who figured in his 2006 will to inherit half of Rofe’s estate, was later written out of his wills entirely.

Ms Clark, who is ailing and lives in a Queensland retirement home, was written back into Rofe’s last will for a $60,000 inheritance.

Neither Ms Jackson nor Mr Lawler have had much to do with Rofe for the past two years, as their legal difficulties escalated. Ms Jackson last paid a visit to Rofe at his Woollahra home about six weeks ago.

The house at Wombarra that Mr Lawler bought for Rofe using $1.35m of Rofe’s funds with the idea that Rofe might eventually live next door to Ms Jackson and Mr Lawler was sold for $1.2m in May last year.

If Ms Jackson does receive an inheritance, then the HSU is ready to claim it is owed the funds as Ms Jackson’s chief creditor.