Hi Honeycomb,
Some thoughts that come to mind are too much water, not enough water, planted too deep, too much mulch or a disease such as Phytophthora Root Rot. Did the tips of the leaves turn yellow before they turned brown? Also check for spider mites. Here's a couple of sites that have info on diseases and pests of holly. See if any of this fits.
http://www.aces.edu/pubs/docs/A/ANR-1087/ANR-1087.pdf
http://hgic.clemson.edu/factsheets/HGIC2055.htm
Here's some info on tree roots, planting depth and mulching.
http://edis.ifas.ufl.edu/WO017
http://www.ext.colostate.edu/pubs/Garden/02926.html
http://www.tlcfortrees.info/planting%20depth.htm
http://hort.ifas.ufl.edu/woody/planting/nosoil.htm
http://www.treesaregood.com/treecare/mulching.asp
Don't hesitate to write back with your findings or lack of.
Newt
When weeding, the best way to make sure you are removing a weed and not a valuable plant is to pull on it. If it comes out of the ground easily, it is a valuable plant.