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House Co-Sponsorship Memoranda
House of Representatives
Session of 2017 - 2018
Regular Session
MEMORANDUM
| Posted: | April 4, 2017 10:18 AM |
|---|---|
| From: | Representative James R. Santora |
| To: | All House members |
| Subject: | Cemetery Bill - Price List and Predelivery Ban |
| In the near future I will introduce legislation which combines language I have offered in two separate bills to amend the Cemetery and Funeral Merchandise Trust Fund Law (Act 459 of 1963), commonly referred to as the Future Interment Law, to better protect consumers. This legislation requires the seller of funeral merchandise to provide the potential customer with a price list and a detailed description of all merchandise for sale prior to being shown the merchandise that is available. Currently, there is no requirement for cemetery owners to disclose the price of all the merchandise available to the consumer. However, under current Federal Trade Commission regulations, funeral directors are required to display price lists and disclose all merchandise available for purchase. My legislation will level the playing field and allow the consumer to make a more informed decision when purchasing merchandise from a cemetery owner. This legislation also prohibits a seller from constructively delivering burial vaults (except lawn crypts) prior to the time of need. Currently, the Cemetery and Funeral Merchandise Trust Fund Law requires sellers of funeral services and merchandise that are to be delivered at a future date (pre-need) to deposit 70% of the purchase price into a trust fund account. Some in the industry have misinterpreted the law and sought to avoid the 70% trusting requirement through the use of “constructive delivery” of certain merchandise prior to the time of need. Certain merchandise, such as burial vaults, are purchased prior to the time of need and are delivered and installed sometimes years before use. This results in a damaged and inferior product that may not be able to be used. Claiming that the merchandise has been delivered, sellers then retain 100% of the sales price rather than complying with the trusting requirements. By prohibiting cemetery owners from constructively delivering burial vaults, we can ensure that the contracted-for merchandise is delivered intact and is usable at the time of need. Please join me in co-sponsoring this legislation. |
Introduced as HB1130