The court-appointed guardian ad litem for the teen daughter of the late filmmaker David Lynch is asking a judge to approve a settlement that includes the division of funds in the family’s $15.5 million trust.
Lynch died of cardiac arrest in January 2025 at age 78. The longtime smoker had emphysema. His work included the television show “Twin Peaks” and the classic films “The Elephant Man,” “Blue Velvet” and “Mulholland Drive.”
Lynch left much of his estate to his four children, including 13-year-old Lula Boginia Lynch. On Monday, the minor’s counsel, Stefanie Cutler, filed court papers with Los Angeles Superior Court Judge Daniel Juarez in advance of a Nov. 12 hearing stating that the parties resolved their differences in mediation with retired Ventura Superior Court Judge Glen Reiser.
Cutler was previously named Lula’s guardian ad litem by Juarez. A guardian ad litem is a court-appointed individual, typically a lawyer, who investigates a case and advocates for the best interests of minors or incapacitated adults who cannot represent themselves.
Cutler’s court papers state that within two days of approval of the settlement, $2.5 million will be distributed to each of Lynch’s adult children, Jennifer, Austin and Riley. Lula’s preliminary distribution will be distributed to the trustee of the girl’s subtrust for safekeeping while she is a minor, the petition further states.
A subtrust is a secondary, smaller trust created inside a larger master trust or will that becomes active after a specific event such as the death of the instrument’s creator. It helps split and manage assets for different goals, such as protecting money for children or a spouse.
The remaining cash and cash equivalents will be held in the Lynch family trust until all debts are satisfied, including attorneys’ fees, Cutler further states in her petition. Sabrina Sutherland, the trustee of the Lynch trust and the late filmmaker’s longtime business manager, will receive $210,000, according to the petition.
Sutherland has agreed to resign as trustee and will be replaced by a wealth management firm, the petition further states.
Lynch was married four times. His other children were Jennifer, 57, Austin, 43, and Riley, 34. The four offspring are slated to receive tuition and medical expenses as trust beneficiaries. They will also be provided gifts for tuition and medical expenses through the trust.