Death Care Compliance Law

Death Care Compliance Law

Preneed: A Pandora's Box of Problems

William Stalter is the founder of Stalter Legal Services and the Preneed Resource Company. Bill focuses his law practice on preneed and death care compliance, serving banks, funeral homes, crematories, and cemeteries. He has written multiple published articles

Tag Archives: merrill lynch

The NPS Criminal Trial: Vicarious Liability?

Posted in Fiduciary, Investments, Master Trusts, NPS/Lincoln, Preneed
David Wulf may stand alone in the crosshairs of the criminal prosecutors, but his fate will impact the NPS preneed trustees (and possibly other registered investment advisors who manage death care funds). Mr. Wulf had a situation that is unique from what existed in Illinois, Wisconsin, and Tennessee, but is familiar to other death care… Continue Reading

Illinois Tax Blues: when a loss is not a loss

Posted in IFDA
For many Illinois funeral homes, April 15th served as a bitter reminder of Merrill Lynch and the financial losses suffered by the IFDA master trust. The final Merrill Lynch settlements (approximately $41 million) were received in 2012, and taxes had to be paid on those funds this past tax day. Funeral directors have questioned how… Continue Reading

Comptroller: It’s Not My Call

Posted in Funeral, IFDA, Preneed
For a brief period, the Illinois Comptroller posted a notice that sidestepped the inquiries made by funeral directors about the application of their Merrill Lynch settlements. The OIC website has since be revised. One of the inquiries to the OIC may have involved whether the settlement funds could be applied to the litigation costs for… Continue Reading

The Next Twist in the IFDA/Merrill Lynch saga

Posted in Funeral, IFDA
The Springfield Journal-Register reported last week on the latest lawsuit to hit Merrill Lynch, the IFDA and the law firm that represented the Association. One aspect of the lawsuit focuses upon the claim that the key man insurance policies sold to the master trust were not suitable investments. Without an insurable interest, the policies could… Continue Reading

A Christmas Carol: the future of the IFDA

Posted in IFDA
The Illinois Funeral Directors Association is living out its own version of A Christmas Carol, with the Ghost of Yet to Come having painted a fate similar to that of Scrooge. The court decision reported by the Memorial Business Journal* has all but sealed the fate of the Association. While the attorneys can continue to… Continue Reading

Insurable interest and the IFDA master trust

Posted in IFDA
The Illinois Division of Insurance made the right call: the IFDA master trust does not have an insurable interest in the lives of the members who participate in the trust. A preneed trust is intended to fund the liability that arises when the preneed beneficiary dies and a funeral must be provided. Accordingly, it is… Continue Reading