HB 323 -- Funeral Merchandise

Co-Sponsors:  Baker, Taylor, Avery

This bill requires that all persons selling or wishing to sell
funeral merchandise to the public be licensed by the State Board
of Embalmers and Funeral Directors as a retail funeral
merchandise establishment.  Licensees which hold merchandise in
trust under preneed funeral contracts are required to be
residents of this state or authorized to transact business in
this state and be registered with the board.  All merchandise
contracts must be in writing and executed by a licensed
establishment.  Contracts must contain detailed information
regarding beneficiaries, merchandise, and trust accounts.

Licensees are required to deposit all money paid by the purchaser
for merchandise no later than 45 days from the date of receipt.
Licensees may retain certain funds, not to exceed 20% of the
total amount agreed to in the contract, for the purpose of
offsetting expenses incurred during the course of doing business.
The bill further requires trustees to be state or federally
chartered financial institutions.  It is the duty of the trustee
to accept, hold, administer, and distribute all deposits.  The
commingling of trusts is permitted if the licensee and trustee
maintain adequate records of the funds deposited.

The bill requires licensees to maintain adequate records and file
annual reports with the board.  These reports must contain the
total value of merchandise contracts sold during the reporting
period, the names and addresses of trustees, and consent
authority allowing the board to conduct examinations.  Licensees
are also required to notify the board of the disposing of assets
and their intent to cease doing business.  The board must
determine if the licensee has arranged that all pending contracts
are fulfilled before allowing this action to take place.  The
board is given the authority to waive certain requirements at
their discretion.

Licensees are required to pay a biannual licensing fee of $250.

Missouri House of Representatives
Last Updated July 25, 2003 at 10:11 am