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: seller

Missouri Seller Records: 2017 Reboot?

Posted in Administration, Compliance, Master Trusts, Missouri - SB1, Recordkeeping
This time last year, the hot topic before the Missouri State Board of Embalmers and Funeral Directors was the staff’s proposed regulation to define what constitutes adequate records of a preneed seller.   The proposal was revised more than once during 2016, but it was eventually tabled by the Board before any consensus could be… Continue Reading

Missouri Seller Records: Timely Deposits to Trust

Posted in Compliance, Missouri - SB1, Recordkeeping
The next section of the proposed record keeping rule for Missouri preneed sellers addresses the timely deposit of consumer funds to preneed trusts.  Missouri’s prior preneed law did not specify when consumer deposits were required to be deposited to trust, and National Prearranged Services exploited that omission.  NPS claimed that consumer funds need not be… Continue Reading

Missouri Preneed Records: Trustee’s Deposit Records

Posted in Compliance, Exams/audits, Fiduciary, Missouri - SB1, Recordkeeping
In our prior post (Missouri Seller Exams: Timely Deposits), we discussed the receipt and deposit records that funeral homes may be required to maintain.  However, to demonstrate that they are complying with the preneed law’s deposit requirements, funeral homes will also be dependent upon the records generated by their funding source to confirm consumer funds… Continue Reading

Missouri’s June 30th Rules Committee Meeting: Time to Take the Lead

Posted in Compliance, Exams/audits, Recordkeeping
In our January 3rd Post, we described the process (or lack of process) between the State Board of Embalmers and Funeral Directors and the Division staff for establishing the examination procedures that would be applied to preneed sellers for the next five years.  The industry railed at the Staff’s recommendations for the scope of financial… Continue Reading

Missouri Preneed Seller Records: Receipt Journal

Posted in Compliance, Recordkeeping
The first record described in the proposed Missouri recordkeeping regulation could actually require preneed sellers to maintain three, maybe four, sets of journals: (1) receipt and disbursement journals containing a record of deposits to and withdrawals from both preneed trusts and preneed joint accounts, specifically identifying the date, source, and description of each item deposited… Continue Reading

Missouri Seller Records: The State Board Proposal

Posted in Compliance, Exams/audits, Recordkeeping
At its March meetings, the State Board again received from the Division staff a rule proposal that would define the minimum records that a preneed seller would have to maintain.  The first recordkeeping proposal was offered last July, but was never discussed.  The recordkeeping proposal was subsequently included on the December agenda, but was only… Continue Reading

Missouri’s Trust Funded Report: perserving self regulation

Posted in Compliance, Exams/audits, Funeral, Missouri - SB1, Preneed, Recordkeeping, Reporting
The ‘deadline’ for Missouri preneed sellers to ‘voluntarily’ report their pre-SB1 trust funded sales is a mere two weeks away. Again, this is a voluntary report. As such, missing the ‘deadline’ or failing to use the Board’s form carries no penalty to the preneed seller. So, why file? The reason expressed by one State Board… Continue Reading

Early Audit Warning: Fees and Assessments

Posted in Compliance, Exams/audits, Funeral, Preneed
It seems paradoxical to see preneed regulators ramping up audit programs while state budgets are being slashed to the bone. Yet, several I-70 corridor states will soon implement new preneed audit programs. Missouri’s preneed funeral audits will be funded out of a combination of license fees and preneed contract fees. Missouri’s new cemetery law did… Continue Reading

What a difference a year makes

Posted in Missouri - SB1, Preneed
In August 2009, the members and staff of the Missouri State Board of Embalmers and Funeral Directors put in a lot of overtime to keep the preneed industry operating. Senate Bill 1 established brand new licensing requirements for preneed sellers. Without a license, a seller’s preneed contracts could be voided. However, the State Board lacked authority… Continue Reading

Self Reporting: how deep will it go?

Posted in Missouri - SB1, Preneed
Missouri funeral homes will get their first glimpse of their State Board’s proposal for self reporting for preneed sales.  Under the prior law, preneed sellers merely reported the number of contracts sold and their aggregate sales price.  For Missouri regulators to properly assess whether ‘old’ Chapter 436 trusts and joint accounts are properly funded, the… Continue Reading

NPS throws in the towel

Posted in NPS/Lincoln, Preneed, Preplanning
NPS, beleaguered by state regulatory proceedings in Kentucky, Illinois, Ohio, Texas and Iowa, has called it quits.    NO MAS!    ENOUGH!    Much to the surprise of industry leaders, NPS has suggested it will do what’s in the best interests of the consumers.  Could this mean a refund to everyone?   April Fools Day!  … Continue Reading