Complying With the Funeral Rule

Federal Trade Commission

June 2004 Contents

Introduction ...... 1

Who Must Comply With the Funeral Rule? ...... 2 Does the Rule Apply to Pre-Need Arrangements?

The General Price List...... 4 Who Gets a GPL? When Should the GPL Be Offered? What About Phone or Mail Inquiries? Does the Rule Require the GPL Be Given to Keep? What About the GPL and Pre-need Arrangements?

Information Required on the GPL...... 6 Identifying Information Required Disclosures on the GPL Required Itemized Prices on the GPL

Alternative Price Lists for Special Groups ...... 13 1. Children and Infants 2. Government Agencies 3. Religious Groups and Memorial Societies Information to be included Using the CPL

The Outer Burial Container Price List: Information and Use...... 16 Information to be included on the OBC Price List Using the OBC Price List

Statement of Funeral Goods and Services Selected: Cost Information and Disclosures...... 18 Cost Information Disclosures

Telephone Price Disclosures ...... 20 Misrepresentations Prohibited by the Rule...... 21 1. Embalming 2. Casket for Direct Cremation 3. Outer Burial Container 4. Legal and Cemetery Requirements 5. Preservative and Protective Value Claims 6. Cash Advance Items 7. Other Misrepresentations

What Consumers Cannot Be Required to Purchase ...... 24

Prior Approval for Embalming...... 25

Recordkeeping...... 26

Comprehension of Disclosures...... 26

State Exemption Provisions...... 27

Sample Price Lists ...... 27

Endnotes...... 34

Part 453 — Funeral Industry Practices Revised Rule...... 35 Introduction

hese guidelines are intended to help you, If you violate the Funeral Rule, you may Tthe funeral provider, comply with the be subject to penalties of up to $10,000 per Federal Trade Commission (FTC or Commis- violation. sion) Funeral Rule. The Funeral Rule went These guidelines do not amend or modify into effect on April 30, 1984. The Commission the Rule. They explain the requirements of revised the Rule early in 1994; revisions became the revised Funeral Rule and discuss how effective later that year. to prepare documents required by the Rule The Funeral Rule requires you to give — the General Price List, the Casket Price List, consumers accurate, itemized price information the Outer Burial Container Price List, and and various other disclosures about funeral the Statement of Funeral Goods and Services goods and services. In addition, the Rule Selected. The guidelines also include sample prohibits you from: price lists and a sample itemized statement form. These guidelines represent the FTC staff’s l misrepresenting legal, crematory, and view of what the law requires. They are not cemetery requirements; binding on the Commission. l embalming for a fee without permission;

l requiring the purchase of a casket for direct cremation;

l requiring consumers to buy certain funeral goods or services as a condition for furnishing other funeral goods or services; and

l engaging in other deceptive or unfair practices.

 Who Must Comply With the Funeral Rule?

ll “funeral providers” must comply with Does the Rule Apply to Pre-Need Athe Rule. You are a funeral provider if Arrangements? you sell or offer to sell both funeral goods and funeral services to the public. The Rule's requirements, as described on the following pages, apply to both pre-need and Funeral goods are all products sold directly to at-need funeral arrangements. the public in connection with funeral services. In pre-need situations, you must comply Funeral services are: with all Rule requirements at the time funeral l services used to care for and prepare arrangements are pre-planned. You also need bodies for burial, cremation, or other final to comply with the Rule after the death of the disposition; and individual who made pre-need arrangements. If the survivors inquire about goods or services, l services used to arrange, supervise, or alter the pre-planned arrangements, or are conduct the funeral ceremony or final required to pay additional sums of money, disposition of human remains. you must give them all relevant disclosures You are a funeral provider if you sell or offer and price lists. For example, survivors may be to sell funeral goods and both types of funeral asked to pay additional amounts if the pre-paid services. You do not have to be a licensed plan does not guarantee prices at the time of funeral director and your business does not death. In other cases, survivors may change have to be a licensed funeral home to be arrangements specified in the pre-need plan, covered by the Funeral Rule. Cemeteries, adding or subtracting certain goods or services. crematories, and other businesses can also be In both situations, the requirements of the Rule “funeral providers” if they market both funeral apply. You must give the survivors relevant goods and services. price lists, as well as an itemized Statement of Funeral Goods and Services Selected (see pages You must comply with the Rule even if a 4-5 and 18). particular consumer buys only goods or only funeral services, but not both. If you offer to sell You also must comply with the Rule if you sell both goods and services, you must comply with pre-need contracts on behalf of one or more the Rule for every customer. However, you are funeral homes, but do not yourself provide not covered by the Rule if you sell only funeral funeral goods and services. In such a case, even goods, such as caskets, but not services relating though you don't provide the funeral items, to the disposition of remains. you are an agent of a funeral provider and therefore are covered by the Rule. You are covered by the Rule even if you organize your business to sell goods through The Rule does not apply to pre-need contracts one company and services through another. If entered into before the Rule went into effect you are a funeral provider, you cannot avoid in 1984. However, if a pre-need contract being covered by the Rule by restructuring your signed before 1984 is modified after 1984, business. the modification triggers all of the Rule's requirements.

 Example: Mr. Green made pre-need arrangements in 1980; he dies in 1994. At the time of his death, his wife wants to change the casket specified in the pre-need contract and to add visitation hours. Because Mrs. Green is changing the contract after 1984, the funeral provider must comply with all of the Rule's requirements, including giving Mrs. Green a General Price List, showing her a Casket Price List, and providing her with an itemized Statement of Goods and Services Selected. Note: In a situation like the above example, you should check your state law to determine whether it allows you to alter the terms of such a contract.

 The General Price List

he General PriceList (GPL) is the key Before giving a GPL to a bereaved individual, Tstone of the Funeral Rule. It must contain you may offer your condolences and discuss identifying information (see page 6), itemized preliminary matters like veteran’s benefits or prices for the various goods and services that death certificates. you sell (see pages 8-12), and other important disclosures (see pages 6-8). The GPL enables The triggering event for giving out the GPL consumers to comparison shop and to is a face-to-face meeting. The face-to-face purchase, on an itemized basis, only the goods meeting can occur anywhere, not just at the and services they want. funeral home. For example, you must give out a General Price List even if the discussion Who Gets a GPL? of prices or arrangements takes place in the family’s home or while removing the deceased You must give the General Price List to from a hospital or a nursing home. You should anyone who asks, in person, about funeral tell your employees to carry extra price lists goods, funeral services, or the prices of such with them. goods or services. You must give the GPL Exception: You are not required to offer to such individuals to keep. The request for a General Price List if you remove the information does not have to come from a deceased for transportation to the funeral consumer or someone who wants to make home and, at that time, only request the funeral arrangements now or in the future. You authorization to embalm. When you must give a GPL to all persons who inquire request authorization to embalm, however, about funeral arrangements. This may include you also must: competitors, journalists, and representatives of businesses, religious societies, government Disclose that embalming is not required agencies, or consumer groups. by law (except in special cases, if relevant); and Note: If someone asks you about the goods and services that you sell, you must Refrain from further discussion about give that person a General Price List. If you prices or the selection of funeral goods or are uncertain whether the Rule applies in a services while you remove the deceased. particular situation, it would be sensible to Any further discussion of prices or the provide the list. selection of goods or services at this time would trigger the requirement to provide When Should the GPL Be Offered? a GPL. You do not have to hand out the General What About Phone or Mail Inquiries? Price List as soon as someone walks into your business. But, you must offer the price listwhen You must give certain information to people you begin to discuss any of the following: who telephone (see page 20), but the Rule does not require you to send callers a General Price l the type of funeral or disposition that you List. Similarly, you do not have to send a GPL in can arrange; response to mail inquiries about funeral goods l the specific goods and services that you and services. Of course, you certainly are free to offer; or send a GPL to someone who calls or writes for information if you wish to do so. However, if a l the prices of your goods and services. telephone or mail inquiry is followed up by a

 meeting at the funeral home or elsewhere, you What About the GPL and Pre-need must provide a GPL at that time. Arrangements? Note: Some states require funeral You must give out a General Price List in all providers to mail a price list upon pre-need situations. Because you may sell request. You should check to see what the different goods and services on a pre-need requirements are in your state. basis, your pre-need GPL may vary from the GPL you use in at-need situations. However, Does the Rule Require the GPL Be any General Price List that you use for pre- Given to Keep? need arrangements must include all required disclosures (see pages 6-8) and offer goods and A verbal offer of a GPL is not enough to services on an itemized basis (see pages 8-12). comply with the Rule. You cannot merely You cannot offer only package funerals to pre- tell consumers that a GPL is available for need customers. inspection. You also cannot show them a GPL in a booklet or binder where it appears that there In addition, as stated above (see pages 2-3), is only one copy available or that the booklet is you must give a GPL to anyone who wishes to solely for the funeral director's use. You must modify the funeral goods or services already physically offer consumers a General Price List purchased under a pre-need contract or to a that they can keep and take home with them. If survivor who must pay an additional sum the consumer does not want to accept or look because prices have increased since the time the at the General Price List, you do not have to do arrangements were pre-planned. anything else. However, you should do nothing Example: Mr. Stone made pre-need to discourage customers from looking at the arrangements before his death. His GPL, such as telling them that it is unnecessary wife wants to change the casket and the or difficult to understand. services that he bought under the pre- Note: You cannot charge a fee for the price need contract. You must give Mrs. Stone a list or place any conditions upon giving General Price List at the beginning of the consumers information that the Rule discussions and show her a Casket Price requires you to give to them. You must List before she looks at any caskets. give all required information to anyone who asks, free of charge.

 Information Required on the GPL

Identifying Information 1. Right of Selection The General Price List should be printed or The first disclosure informs consumers that typewritten, and must contain the following they have a right to select only the items they identifying information: want to buy, besides a non-declinable basic services fee (see pages 10-11 for a detailed l the name, address, and telephone number description of this fee).(2) You should place of the funeral provider’s place of business, this statement immediately above the prices including (where relevant) the address and of the goods and services that you offer. The telephone number for each branch; statement should read as follows: l the caption: “General Price List;” and The goods and services shown below are those we can provide to our customers. l the effective date of the price list. You may choose only the items you desire. Required Disclosures on the GPL However, any funeral arrangements you select will include a charge for our The Rule also requires you to make six basic services and overhead. If legal or disclosures on your General Price List.(1) These other requirements mean you must buy disclosures discuss: any items you did not specifically ask for, we will explain the reason in writing on 1. The consumer’s right to select only the the statement we provide describing the goods and services desired; funeral goods and services you selected. 2. Embalming; You must include the third sentence of the 3. Alternative containers for direct cremation; disclosure, indicated in bold-face above, if customers cannot decline the basic services fee. 4. The basic services fee; You may add the phrase “and overhead” after 5. The Casket Price List; and the word “services,” as shown above, if the fee includes the recovery of overhead costs. 6. The Outer Burial Container Price List. 2. Embalming Each of these disclosures is discussed in the following sections. You must place these The second disclosure tells consumers that required disclosures on the General Price List the law does not require embalming.(3) The exactly as the Rule provides. (See also Sample 1 statement should read as follows: GPL at the end of this publication.) Except in certain special cases, embalming In addition, you must use the identical is not required by law. Embalming may wording given in the Rule. You cannot edit or be necessary, however, if you select paraphrase. certain funeral arrangements, such as a funeral with viewing. If you do not want Note: You can include additional embalming, you usually have the right information, such as a reference to your to choose an arrangement that does not own state laws. But, you cannot change the require you to pay for it, such as direct FTC language or add anything that will cremation or immediate burial. modify the FTC language. You do not need to include the phrase, “except in certain special cases,” indicated in bold-face above, if state or local law in the area where

 you do business does not require embalming conference, planning the funeral, securing under any circumstances. If you want to add the necessary permits, preparing the notices, information about state law requirements, you and coordinating the cemetery or crematory can do so after the FTC disclosure. You should arrangements. This fee also may include place this disclosure in immediate conjunction overhead that you have not allocated elsewhere. with the price for embalming. You can include this fee on your General Price List in one of two ways: Note: “In immediate conjunction” means that the embalming disclosure must appear Option 1: If you list a separate basic services directly next to the price for embalming. fee and the charge is non-declinable (the You should not put the disclosure on a consumer does not have the option of declining separate page or anywhere else on the the charge), you must provide the following GPL apart from the embalming price. disclosure: (See also Sample 1 GPL at the end of this publication.) This fee for our basic services and overhead will be added to the total cost of 3. Alternative Containers the funeral arrangements you select. (This fee is already included in our charges for The third disclosure informs consumers that direct cremations, immediate burials, and they may use alternative containers (see the forwarding or receiving remains.) revised Rule for a full definition of this term) for direct cremations.(4) This disclosure must If you decide on Option 1, this disclosure read as follows: must appear together with the price for the basic services and with a description of the If you want to arrange a direct cremation, services you include for that price. (You cannot you can use an alternative container. place this disclosure on a separate page or Alternative containers encase the body and anywhere else on the GPL apart from the can be made of materials like fiberboard basic services price.) If this basic services fee is or composition materials (with or without non-declinable, the price also must include all an outside covering). The containers we charges for the recovery of overhead that you provide are (specify containers). have not allocated elsewhere. In this situation, You should place this disclosure in immediate the first sentence of your disclosure can include conjunction with (directly next to) the price the phrase “and overhead” after the word range for direct cremation. At the end of the “services,” as shown above. last sentence, you should describe the specific Option 2: Instead of charging a separate basic kind of container(s) that you offer. If you don’t services fee, you can include the services fee in arrange direct cremations, you don’t need to your casket prices. With this alternative, you include this disclosure on the GPL. must include the following disclosure: 4. Basic Services Fee Please note that a fee of (specify dollar amount) for the use of our basic services The fourth disclosure tells consumers about and overhead is included in the price of any “basic services fee” (the fee for the our caskets. This same fee shall be added to professional services of the funeral director the total cost of your funeral arrangements and staff) that you will add to the total cost of if you provide the casket. Our services the funeral arrangements.(5) This basic services include (specify). fee could include a charge for the services you perform in conducting the arrangements

 If you decide on Option 2, the fee should the grave will not sink in. Either a grave include all charges for the recovery of overhead liner or a burial vault will satisfy these costs not allocated elsewhere, and you may requirements. add the phrase “and overhead” after the word If instead you provide a separate price list for “services” in the first sentence, indicated in outer burial containers, then you must include bold-face above. The disclosure must appear the above disclosure on your Outer Burial on the GPL together with the prices for the Container Price List (see page 16). You don’t individual caskets or together with the casket have to include the phrase, “in most areas of price range if you have a separate Casket Price the country,” indicated in bold-face above, in List. the disclosure if your state or local law does not 5. Casket Price List require a container to surround the casket in the grave. The fifth disclosure tells consumers that a Casket Price List is available.(6) You may list Required Itemized Prices on the GPL casket prices either on the General Price List or on a separate “Casket Price List.” If you use The Rule requires you to itemize the prices a separate Casket Price List, your GPL should for certain goods and services so consumers state the range of prices for the caskets you may choose only those elements of a funeral sell, together with the following disclosure: that they want. You must list the following 16 A complete price list will be provided at the specified items of goods and services on the funeral home. GPL, together with the price for each item:(8)

6. Outer Burial Container Price List 1. Forwarding of remains to another funeral home; The sixth disclosure informs consumers that an Outer Burial Container Price List is available.(7) 2. Receiving remains from another funeral Again, you can either put the prices for the home; outer burial containers on your General Price 3. Direct cremation; List, or you can provide a separate “Outer Burial Container Price List.” If you use a 4. Immediate burial; separate price list, your GPL should state the 5. Basic services of funeral director and staff, range of prices for the outer burial containers and overhead; you sell, together with the following disclosure: A complete price list will be provided at the 6. Transfer of remains to funeral home; funeral home. 7. Embalming; If you put the prices for the outer burial 8. Other preparation of the body; containers on your General Price List, you also must include the following disclosure in 9. Use of facilities and staff for viewing; immediate conjunction with (directly next to) 10. Use of facilities and staff for funeral the outer burial container prices. ceremony; In most areas of the country, state or 11. Use of facilities and staff for memorial local law does not require that you buy service; a container to surround the casket in the grave. However, many cemeteries require 12. Use of equipment and staff for graveside that you have such a container so that service;

 13. Hearse; these four items must include any fee that you will charge consumers for the basic professional 14. Limousine; services of the funeral director and staff. 15. Either individual casket prices or the Example: Ms. James wants to arrange range of casket prices that appear on the an immediate burial for her father. In Casket Price List; and addition, she chooses acknowledgement 16. Either individual outer burial container cards, use of a limousine, and a graveside prices or the range of outer burial service. You should charge her the fee container prices that appear on the Outer for an immediate burial plus the fees for Burial Container Price List. the other items that she wants. But, you should not charge her an additional non- You can list these items in any order you want. declinable basic services fee. A charge for You only have to list the items that you actually your basic services is already included in offer. If you do not offer one or more of the the price for the immediate burial. The 16 items, you need not list those items on the required disclosure about the basic services General Price List. In addition to these 16 items, fee (see pages 10-11) informs the consumer you also may list other items that you offer, of this fact. such as acknowledgement cards and cremation urns. You also may provide prices for package For forwarding of remains and receiving funerals on your GPL. However, you must offer remains, the GPL should list one price for each any package funerals in addition to and not in of these items and describe all services you will place of the required itemized prices.(9) provide for the quoted price. The prices for these items should include all charges relating The itemized prices on your General Price to each service, including any basic services fee List, as well as your Casket Price List and and any facilities or equipment fees. Outer Burial Container Price List, should be accurate and up-to-date. These prices should For direct cremations, your GPL must state a reflect the prices that you actually charge your price range, along with the required disclosure customers. about the availability of an alternative container (see page 7), then list each of the following Of course, you can offer a discount when options within the range: there are special circumstances, such as arrangements for a friend or relative or a family l one price where the consumer provides the that otherwise could not afford your services. casket or container; and The Rule does not prevent you from doing this. l a separate price for each direct cremation However, you should not inflate the prices on offered where you provide an alternative any of your price lists in order to offer all or container. The Rule requires you to most of your customers a discount. In that case, offer an alternative container for use in the “discounted” prices would be the accurate direct cremations if you provide direct prices and should be reflected on the price lists. cremations. (See pages 21-22.) Items 1-4: Minimal Services You also must describe in the GPL the services Four items that the Rule requires you to list and container provided for each price. If you are: (1) forwarding of remains; (2) receiving wish, you also may list other options, such as remains; (3) direct cremation; and (4) immediate direct cremation with a memorial service or burial. Unlike the rest of the goods and services direct cremation with scattering of ashes. that you must list on the GPL, the prices for

 The price of the actual cremation of the notices, sheltering of remains, and coordinating deceased may or may not be included in the arrangements with the cemetery, crematory, your price for direct cremation. If you own a or other third parties. The basic services fee crematory, it would be appropriate to include should not include charges related to other the cremation charge in this fee. However, if items that must be separately listed on the you use a crematory that someone else owns, General Price List and that the customer may you may treat this charge as a cash advance decline to purchase. item. In that case, you should make clear to the Note: You should include any charges for customer that there will be an added charge by the ordinary sheltering of remains by your the crematory. funeral home in this basic services fee. For immediate burials, you must give a price However, you can list a separate charge range, together with each of the following for sheltering of remains if: 1) a significant separate options within the range: percentage of your customers do not use the funeral home to hold the remains at l one price where the purchaser provides the any point, or 2) you receive a request to casket; and hold the remains for an unusually long l a separate price for each form of immediate period of time. burial offered where you provide a casket The basic services fee also may include or alternative container. (You are not overhead from various aspects of your required to make an alternative container business operation, such as the parking lot, available for this purpose. However, you reception and arrangements rooms, and other may choose to offer this option.) common areas. It also may include insurance, You also must describe in the GPL the services staff salaries, taxes, and fees that you must and container provided for each price. If the pay. Alternatively, instead of including all immediate burial option is available with any overhead in your basic services fee, you can casket on your Casket Price List, the General spread the overhead charges across the various Price List can simply state the price of the individual goods and services you offer. As service and refer the customer to the Casket a third alternative, you can combine the first Price List for casket prices. two approaches: spread some portion of the overhead charges across the individual items, Item 5: Basic services of funeral director and while including the remainder of such charges staff (and overhead) in your basic services fee. The charge for services of funeral director Note: These are the only ways to recoup and staff is a fee for the basic services that you overhead costs. In addition, if this basic furnish in arranging any funeral.(10) This is the services fee is non-declinable, the fee must “basic services fee” that is discussed in the include any charges for overhead that have Required Disclosures section. If the customer not been allocated to the other goods and cannot decline this fee, the disclosure that services. appears on pages 7-8 is required. You have two options for listing your basic This basic services fee should include services services fee on the General Price List. that are common to virtually all forms of disposition or arrangements that you offer, such Option 1: You may list a separate price for the as conducting the arrangements conference, basic services of the funeral director and staff, securing the necessary permits, preparing the together with a list of the principal services

10 provided for the price and the required providing 24 hour on-call service to each disclosures (see pages 7-8). If consumers family; d) maintaining funeral service cannot decline this fee, you should include in licensing; and e) complying with federal this separate price all charges for “unallocated and state codes and regulations. overhead” — that is all overhead not This fee for additional services violates distributed among the other items listed on the the Rule. All of the charges listed should GPL. be included elsewhere on the GPL. You Option 2: Instead of charging a separate basic should include charge (a) for coordinating services fee, you may include the fee in your and directing the funeral ceremony in the casket prices. With this alternative, you must separate charge for a funeral ceremony. (See include the appropriate disclosure (see page the discussion of this charge on pages 8-9.) 8) on the General Price List, together with The other items, (b) through (e), relate to basic the prices for the individual caskets or with overhead. You either should include such the casket price range (if you have a separate charges in the basic services fee or allocate these Casket Price List). This fee also must include costs among all the items listed on the GPL. all charges for the recovery of unallocated overhead. As the disclosure indicates, you must Items 6 - 16 specify the amount of the basic services fee that You must list the following items separately is included in the price of the caskets. If the with their respective prices. The charge for customer provides a casket obtained elsewhere, each item should include all service fees and that same basic services fee must be added to any equipment or facility charges for providing the total cost of the arrangements selected. that particular good or service. (You will not, The Rule expressly states that the basic services however, include any portion of the “basic fee is the only non-declinable fee allowed for services fee,” discussed above, in any of these services, facilities, or unallocated overhead, items.) unless state or local law requires otherwise. Transfer of remains to funeral home. You Other than the basic services fee, you cannot can choose any pricing method, such as a flat charge any separate fee for overhead. Charging fee, an hourly charge, or a mileage charge. a second non-declinable fee, such as a “basic For example, you can charge a flat fee with facilities fee” or a “casket handling fee,” in or without an additional mileage charge for addition to the basic services fee would violate distances beyond a certain specified radius. the Rule. Moreover, you cannot list fees for “additional services” of the funeral director Embalming. Your price for embalming should and staff, if those fees should be included in the include use of the preparation room, as well basic services fee or in one of the other items as the professional services, equipment, and required to be listed on the GPL. materials involved in performing embalming. In addition, as discussed on Example: You have a non-declinable fee page 7, you must tell consumers that the law for the basic services of funeral director does not require embalming. and staff. You also list the following fee on your General Price List: Additional Other preparation of the body. This charge Services of the Funeral Director and Staff. should include such services as cosmetic work This charge includes: a) coordinating and to prepare the deceased for viewing. Under this directing funeral ceremony; b) paying category, you can also show a price for washing competitive salaries to employees; c) and disinfecting when that procedure is used instead of embalming.

11 Use of facilities and staff for viewing. You your charge for a funeral ceremony normally may charge a flat fee or an hourly fee for the includes a committal service at the grave use of your facilities for viewing. Your price following the funeral, you can continue this for a viewing should include charges for both practice, or you may offer a separate charge the services of staff and the facilities used in for a committal service following a funeral connection with a viewing. You should not list ceremony. The separate charge for a graveside two separate charges relating to a viewing, such service is intended for those situations where as one for the facilities and another for the staff there is no funeral ceremony at the funeral services. However, if you provide staff services home or elsewhere. for viewing held at another facility, such as a church or a home, you should list a separate fee Hearse. You can use any pricing method for for such services. (In this situation, a facilities the use of a hearse, such as a flat fee, an hourly charge would not be appropriate because your charge, or a mileage charge. For example, own facilities are not being used.) you can charge a flat fee with or without an additional mileage charge for distances beyond Use of facilities and staff for funeralceremony. a certain specified radius. The charge for a funeral ceremony, that is, a commemorative service with the body present, Limousine. You can use any pricing method at the funeral home should include both the use for the use of a limousine, such as a flat fee, of facilities and the necessary staff services. You an hourly charge, or a mileage charge. For should not list two separate charges relating to example, you can charge a flat fee with or a funeral ceremony, such as one for the facilities without an additional mileage charge for and another for the staff services. However, distances beyond a certain specified radius. if you provide staff services for a funeral Casket prices. You can list casket prices in ceremony at another facility, such as a church, either of two ways: (1) you can list a casket price you should list a separate fee for such services. range, with the disclosure about the availability Use of facilities and staff for memorial service. of the Casket Price List (see page 8); or (2) you This is a charge for a commemorative service can list the prices of individual caskets on your without the body present. The charge should General Price List. include both the use of facilities and the staff Outer burial container prices. As with casket services. You should not list two separate prices, you can list outer burial container prices charges relating to a memorial service, one for in either of two ways: (1) you can list an outer the use of facilities and another for the staff burial container price range, with the relevant services. However, if you provide staff services disclosure about the Outer Burial Container for a memorial service at another facility, such Price List (see pages 8-9); or (2) you can list the as a church, you should list a separate fee for prices of individual containers on your General such services. Price List. Use of equipment and staff for graveside service. Some families may choose to have a graveside service instead of a funeral ceremony at the funeral home. Your charge for this service should include both staff services and any equipment you may provide (such as a tent and chairs). You should not list two separate charges relating to a graveside service, one for equipment and another for staff services. If

12 Alternative Price Lists for Special Groups

n certain limited situations, discussed — including a government agency — on a Iimmediately below, you may use package basis, as long as the funeral packages alternative price lists. are offered in addition to, not in place of, itemized prices. Remember: Even if you use alternative price lists, you still must comply with all When qualifying persons inquire about these Rule provisions, including mandatory package funeral arrangements, you still should disclosures and itemized prices. provide the GPL, with itemized prices and disclosures, and comply with all other Rule 1. Children and Infants requirements at this time. You can set different prices for funeral Note: You should check your state laws to arrangements for children and infants. You can determine whether arrangements handled list the different fees in two ways. You can place as part of an agreement with a government these items on your General Price List, Casket agency can be supplemented or modified Price List and Outer Burial Price List, along by qualifying persons. with your regular offerings; or you can prepare separate price lists for these arrangements. If 3. Religious Groups and Memorial you prepare separate price lists, you need not Societies give them out to anyone except those persons Some funeral providers enter into agreements inquiring about a funeral for a child or an with religious groups, burial societies, or infant. memorial societies to arrange funerals for their members at special prices. You are free 2. Government Agencies to enter into such arrangements, but you must Some funeral providers enter into agreements still comply with the Rule’s requirements. You with government agencies to provide funeral must provide price lists to representatives of arrangements for indigent persons (or other these groups when they inquire about funeral persons entitled to a government benefit). arrangements on behalf of their members. When entering into such arrangements, you In addition, if an individual group member must follow all Rule requirements, including inquires in-person about funeral arrangements, giving price lists to the government agent at the you must provide the individual with your time you make or discuss such arrangements. price lists. Even if a member chooses a package You can add the prices for these special available only to society members, the member situations to your regular price list or prepare a must have the opportunity to look at your price separate price list for these arrangements. If you lists. You can either have separate price lists for prepare a separate price list, you need not make qualifying members or include such prices on it available to anyone except the government your regular price lists. agency or persons who qualify for the special arrangements. Some government agencies choose to contract for funeral arrangements on a package basis. You can offer funeral arrangements to anyone

13 The Casket Price List: Information and Use

f you do not list the retail price of each CPL. You should not have a separate list for Icasket on your General Price List, you must alternative containers. prepare a separate printed or typewritten The Rule does not require you to list the caskets Casket Price List (CPL).(11) or containers that you offer in any particular format or order. The Casket Price List can be in Information to be included any form, including in a notebook or on a chart, The CPL must include the following basic as long as it contains the required information, information: displayed in a clear and conspicuous manner.

l the name of your business; Moreover, you do not have to include customized caskets on your CPL, or list caskets l the caption: “Casket Price List;” that you keep in your inventory to fill pre- l the effective date for the Casket Price List; existing, pre-need contracts, but which you and no longer regularly offer for sale. Nor is it necessary to prepare a new price list if a casket l the retail price of each casket and or container is temporarily out-of-stock. You alternative container that does not require can simply tell the consumer which casket is special ordering, with enough information not available when you give the consumer the to identify it. CPL. Also, if a particular casket is available in You must give enough descriptive information a variety of interior materials and designs or about each casket on the CPL to enable exterior hardware and finishes, you can simply consumers to identify the specific casket note that fact on the Casket Price List; you or container and understand what they are need not list each variation separately. (See also buying. For example, the CPL could describe Sample 2 CPL at the end of this publication.) the exterior appearance (including the gauge of metal or type of wood), the exterior trim, Using the CPL and the interior fabric. You also may give You must show the Casket Price List to anyone any other information, such as a photograph who asks in person about the caskets or or manufacturer name and model number. alternative containers that you offer or inquires However, a photograph or model number alone about their prices. You must offer the CPL when is not a sufficient description under the Rule. you begin discussing caskets or alternative You need list only those caskets that you containers — but before showing these items. usually offer for sale that do not require Consumers must be able to look at the price list special ordering, as well as the alternative before discussing their options or seeing the container(s) you offer for direct cremation. actual caskets. “Special ordering” means purchasing a casket Note: Consumers should not first learn or container that is not in stock and not part of casket prices by entering the casket of your regular offerings to your customers. showroom and reading price cards placed Except for the requirement that you make on individual caskets or by having the an alternative container available if you offer funeral director recite such information direct cremation, the Rule does not require you orally. to offer any particular caskets or alternative containers. However, both caskets and alternative containers should be listed on the

14 You can use individual price cards, but only In addition to using a CPL as described above, in addition to a Casket Price List. Unlike the you must show a Casket Price List to anyone General Price List, you do not have to give the who wishes to modify the particular casket consumer a Casket Price List to keep. However, already purchased under a pre-need contract. you may do so if you wish. Example: Ms. Todd's father entered into The Rule does not require that you display the a pre-need contract in 1989. If Ms. Todd caskets in any specific manner. (Note, however, chooses to upgrade the casket provided that many states have regulations regarding under the pre-need contract or inquires the manner of display.) In fact, the Rule does about other casket offerings, you should not require that you display any caskets. Some show her a CPL. funeral providers present their selections through a book containing photographs of the various caskets offered for sale. In this case, you must incorporate in the book all the information required for the CPL (see page 14), including the heading “Casket Price List.” If you use a manufacturer’s or supplier’s casket showroom outside of the funeral home, you must offer the CPL when the discussion of caskets begins. If you begin discussing caskets in your place of business, you must offer the Casket Price List at that time. However, if you do not begin discussing caskets until you arrive at the manufacturer’s or supplier’s showroom, you do not have to show a CPL until you arrive and the discussion begins.

15 The Outer Burial Container Price List: Information and Use

f you sell outer burial containers and do You must give enough descriptive information Inot list the retail price of each such container about each outer burial container in your OBC on your General Price List, you must prepare Price List to enable consumers to identify the a separate printed or typewritten Outer Burial specific container. You need list only those Container Price List (OBC Price List).(12) The containers that you usually offer for sale and term “outer burial container” refers to any that do not require special ordering. “Special container designed to be placed around the ordering” means purchasing an outer burial casket in the grave. Such containers may container that is not in stock and not part of include burial vaults, grave boxes, and grave your regular offerings to your customers. liners. However, the Rule does not require you to offer any particular outer burial containers; in fact, Information to be included on the OBC it does not require you to sell any outer burial Price List containers. The OBC Price List must contain the following The Rule does not require listing the containers basic information: that you offer in any particular order. The OBC Price List can be in any form, including in a l the name of your business; notebook or on a chart, as long as it contains l the caption: “Outer Burial Container Price the required information, including the heading List;” “Outer Burial Container Price List,” displayed in a clear and conspicuous manner. l the effective date of the price list; You do not have to list containers that you keep l the retail price of each outer burial in your inventory to fill pre-existing pre-need container you offer that does not require contracts, but which you no longer regularly special ordering, with enough information offer for sale. Nor is it necessary to prepare to identify the container; and a new price list if a container is temporarily out-of-stock. You can simply tell the consumer l the following disclosure (discussed earlier on pages 8-9): which container is not available when you give the consumer the OBC Price List. (See In most areas of the country, state, or also Sample 3 OBC Price List at the end of this local law does not require that you buy publication.) a container to surround the casket in the grave. However, many cemeteries require Using the OBC Price List that you have such a container so that the grave will not sink in. Either a grave You must show this price list to all persons liner or a burial vault will satisfy these asking about outer burial containers or their requirements. prices. You must offer this price listwhen you begin to discuss outer burial containers, but You do not have to include the phrase “in before showing the containers. Consumers most areas of the country” in the disclosure must be able to look at the price list before if your state or local law does not require discussing their options or seeing the actual a container to surround the casket in the containers. (The Rule does not require that you grave. display outer burial containers in any specific manner. Note, however, that many states have regulations regarding the manner of display.)

16 Again, it is not enough for you to tell consumers about price information or to place price cards on top of individual containers or models of containers. You can use individual price cards, but only in addition to an OBC Price List. Unlike the GPL, you do not have to give the OBC Price List for retention. However, you may do so if you wish. Some funeral providers present their outer burial container selections through a book containing photographs of the various containers offered for sale. If you choose this approach, you must incorporate all the information required for the OBC Price List (see page 16) into the book. In addition to using an OBC Price List as described above, you must show this price list to anyone who wishes to modify the particular container already purchased under a pre-need contract.

17 Statement of Funeral Goods and Services Selected: Cost Information and Disclosures he Statement of Funeral Goods and the arrangements made. Then, once you TServices Selected (Statement) is an finalize the arrangements, you should give itemized list of the goods and services that the Mrs. Shelley the Statement. consumer has selected during the arrangements If a consumer makes all funeral arrangements conference.(13) The Statement allows consumers by telephone, you should make a reasonable to evaluate their selections and to make any attempt to give a completed Statement to the desired changes. consumer before a final disposition of the The Rule does not require any specific form, remains occurs. If the consumer does not visit heading or caption on the Statement. The the funeral home in person before the final information required on the Statement, disposition, you should still give or send a described below, can be included on a completed Statement to the consumer as soon contract or any other document that you as possible. give to customers at the conclusion of the The Rule requires you to include cost arrangements discussion. The categories of information and specific disclosures on the goods and services listed on the Statement Statement. (or other similar document) should generally correspond to the items listed on the GPL, so that customers can easily compare the two Cost Information documents. You should list all of the individual goods You must give each consumer a completed and services that the consumer will purchase, Statement at the end of the arrangements together with the price for each item. You discussion. If arrangements are made in-person, cannot simply lump together goods and you should give the Statement at this time. services that are listed separately on the GPL. Giving a consumer a copy of the Statement Example: Your Statement would violate at the funeral or mailing it to the consumer at the Rule if it listed only three broad some later date does not meet the requirements categories for “Services,” “Facilities,” and of the Rule. “Automotive Equipment.” Note: The Rule does not address the You may still offer funeral packages, as long manner or timing of payment. That is as they are offeredin addition to, not in place between you and the customer. of, itemized prices. If the consumer selects a If arrangements are made over the telephone, package (after you offer itemized prices), your you should give the consumer the Statement at Statement should describe the package, listing the earliest possible date. individually each of the goods and services included in the package, and state the package Example: On Wednesday evening, price. Mrs. Shelley calls you to make funeral arrangements for her father and tells You also must list each cash advance item you that she will come to the funeral separately on the Statement, together with the home on Thursday morning to finalize price for each item. Cash advance items are such arrangements. When Mrs. Shelley items of service or merchandise that: arrives the next morning, you should l are described to a consumer as a “cash give her the required GPL and confirm advance,” “accommodation,” “cash disbursement,” or by any similar term; or

18 l you obtain from a third party and pay for 2. Embalming on the consumer’s behalf. (See also cash The second disclosure relates to embalming and advance disclosure on below.) the need for prior approval.(15) Cash advance items may include such things If you selected a funeral that may as cemetery or crematory services, pallbearers, require embalming, such as a funeral public transportation, clergy honoraria, flowers, with viewing, you may have to pay for musicians or singers, nurses, obituary notices, embalming. You do not have to pay for gratuities, and death certificates. embalming you did not approve if you If you don’t know the price of a particular cash selected arrangements such as a direct advance item, you should enter a good faith cremation or immediate burial. If we estimate. However, you should give a written charged for embalming, we will explain statement of the actual charges before the final why below. bill is paid. The form should leave enough space for you to Finally, you must give the consumer the total explain the reason for embalming. You should cost of the arrangements selected (individual enter this information on the Statement before goods and services plus cash advance items). giving it to the customer.

Disclosures 3. Cash Advance Items You must place the following three disclosures The third disclosure relates to your charges for on your Statement. They should be set out, your services in buying cash advance items. word-for-word, exactly as the Rule prescribes. If you charge for purchasing a cash advance item, or if you receive and retain a rebate, 1. Legal Requirements commission, or trade or volume discount for a cash advance item, you must make the The first disclosure states that you will charge following disclosure:(16) consumers only for the items they have selected and that you will explain any legal, cemetery, or We charge you for our services in crematory requirements in writing.(14) obtaining: (specify cash advance items). Charges are only for those items that You must place this disclosure in immediate you selected or that are required. If we conjunction with (directly next to) the list of are required by law or by a cemetery or itemized cash advance items on your Statement crematory to use any items, we will explain and specify those cash advance items to which the reasons in writing below. the disclosure applies. You should not put the disclosure on a separate page or elsewhere on The form should leave enough space for you the Statement apart from the list of itemized to identify and explain in writing any legal, cash advance items. (See also Sample 4 cemetery, or crematory requirement that Statement at the end of this publication.) compels the consumer to purchase a specific funeral good or service. You should enter this information on the Statement before it is given to the customer.

19 Telephone Price Disclosures

ou must give consumers who telephone You do not have to give price and other Yyour place of business and ask about your information after business hours if it is not prices or offeringsaccurate information from your normal practice to do so. You can tell your General Price List, Casket Price List, and consumers who call during non-business hours Outer Burial Container Price List. You also that you will provide the information during must answer any other questions about your regular business hours. However, if a consumer offerings and prices with any readily available calls after hours to inquire about an at-need information that reasonably answers the situation, and it is your practice to make funeral question.(17) arrangements during non-business hours, you should provide price or other information the Note: You cannot require callers to give consumer requests. their names, addresses, or phone numbers before you give them the requested If you are in the middle of one arrangements information. You can ask callers to identify conference when another family calls about themselves, but you still must answer your offerings, you can take a message and their questions even if they refuse to do return the call at a later time. so. You cannot require consumers to come to the funeral home in person to get price information. You can use an answering machine or answering service to record incoming calls. However, you must respond to questions from callers on an individual basis. Example: Your answering machine can have a message telling consumers to call a specified number during business hours for information about prices and offerings. You need to provide the requested information when consumers call during those hours, or, you can have an answering machine or answering service take consumers’ names and phone numbers so that you can return the calls at your earliest convenience. You may have an employee answering your phones who can respond to easier questions regarding your offerings and prices by referring to the printed price lists, but who refers more difficult questions to you. If you are unavailable when the call comes in, the employee can take a message so that you can return the call later.

20 Misrepresentations Prohibited by the Rule

he Funeral Rule prohibits specific misrep- do not have refrigeration facilities. In this Tresentations in six areas.(18) situation, you can tell the family that the funeral home requires embalming as a 1. Embalming practical necessity to delay decomposition of the remains and to preserve them for You cannot tell consumers that state or local viewing. You may not tell the family that law requires embalming if that is not true. If the law requires embalming because this is state law does require embalming, you may tell not the case. the family that embalming is required due to the specific circumstances. Example: A family wants to arrange an immediate burial, but does not want to pay Example: Your state law requires either for embalming. Embalming is not required refrigeration or embalming after a certain by your state law. Before burial takes place, period of time. If you have refrigeration one family member wants to look briefly at facilities available, you must give the the deceased by lifting the lid of the casket. consumer the option of either refrigeration Here, you may not tell the family that or embalming. embalming is required. The request to see You also must tell the consumer in writing the deceased does not constitute a formal that embalming is not required by law except viewing. in special circumstances, if relevant. You do In situations like the above example, you also this by including on your GPL the mandatory cannot require the family to pay for “other embalming disclosure discussed earlier on page preparation of the body,” if they decline 7. embalming. Note: You must make this disclosure to all consumers, even if embalming is necessary. 2. Casket for Direct Cremation Unless state or local law requires embalming, You cannot tell consumers that state or local you may not tell consumers that embalming is law requires them to buy a casket if they required for practical purposes in the following are arranging a direct cremation. (A direct situations: cremation is one that occurs without any formal viewing of the remains or any visitation or l When the consumer wants a direct ceremony with the body present.) You also cremation; must not tell consumers, in the case of direct l When the consumer wants an immediate cremations, that they must buy a casket for any burial; or other reason.

l When refrigeration is available and the If you offer direct cremations, you must make consumer wants a closed-casket funeral an alternative container available and inform with no formal viewing or visitation. consumers that such containers are available for direct cremations. You do this by including Example: A family wants to arrange a on your GPL the mandatory disclosure about funeral with a formal viewing. The funeral alternative containers discussed on page 7. will take place three days after death has occurred on a hot summer day. Your state does not require embalming. You

21 An “alternative container” is an unfinished a consumer that he or she must buy a particular wood box or other non-metal receptacle or item because of any legal, cemetery, or enclosure, without ornamentation or a fixed crematory requirement, you must identify and interior lining, which is designed for the describe the particular requirement in writing encasement of human remains. It is made on the Statement of Funeral Goods and Services of fiberboard, pressed-wood, composition Selected. materials or like materials, with or without an outside covering. 5. Preservative and Protective Value Claims Note: The Rule also prohibits crematories from requiring that a casket be purchased You cannot make any representations to for direct cremation. However, the Rule consumers that funeral goods or services will allows crematories to set standards for the delay the natural decomposition of human kind of alternative containers that they will remains for a long term or an indefinite time. accept. For example, a crematory might Although the Rule flatly prohibits you from stipulate that it will accept only rigid making this representation, the Commission containers. recognizes that it is possible for some funeral goods or services to delay decomposition for a 3. Outer Burial Container short period. You cannot tell consumers that state or local law Example: A family selects a funeral requires them to buy an outer burial container, with a viewing. You may explain to the if that is not true. You also must tell consumers family that embalming will temporarily that state law does not require them to preserve the body to make it suitable for purchase an outer burial container. You satisfy viewing. But, you cannot tell them that this obligation by including on the Outer Burial the embalming will preserve the body Container Price List the mandatory disclosure indefinitely. discussed on page 16. The mandatory You cannot tell consumers that funeral goods disclosure about outer burial containers also (such as caskets or vaults) have protective tells consumers that grave liners are suitable for features or will protect the body from gravesite meeting any cemetery requirement. substances when that is not true. You may not tell consumers that a particular Federal law requires you to make all warranty cemetery requires an outer burial container, if information available to consumers. Therefore, that is not true. You may want to keep updated you must allow the family to read any of the rules of local cemeteries to make sure that manufacturer's warranties. However, you your information is accurate. If the particular should indicate that these claims are made by cemetery does require a container, then you the manufacturer and not by you. should explain this to the family. Example: Mr. Morton has chosen casket A. 4. Legal and Cemetery Requirements You should allow him to read the written warranty that the manufacturer offers, You cannot tell consumers that any federal, but you must not adopt as your own any state, or local law or a particular cemetery or statement about preservation or protection crematory requires them to buy a particular that you know to be in violation of the good or service, if that is not true. If you do tell Rule. You may want to inform Mr. Morton that the manufacturer has made certain

22 statements about the product, but that you do not have personal knowledge of the protective value of the merchandise.

6. Cash Advance Items If you mark-up the charge on cash advance items or receive a commission, discount, or rebate that is not passed on to the consumer, you cannot state that the price charged for the cash advance item is the same as your cost. If there is an added charge, or if you receive and keep a rebate, commission, or trade or volume discount, you must tell the consumer that the price is not the same as your cost. You do this by including on your Statement of Funeral Goods and Services Selected the mandatory disclosure discussed on page 19. The Rule does not prevent you from adding a service charge, nor does it require you to disclose the amount of that charge. However, some states may have laws or regulations that prohibit any mark-up on cash advance items.

7. Other Misrepresentations Other kinds of misrepresentations, though not specifically prohibited by the Funeral Rule, are nonetheless illegal. The FTC Act prohibits deceptive acts or practices. Likewise, the consumer protection laws of most states prohibit deceptive practices.

23 What Consumers Cannot Be Required to Purchase

ou cannot require consumers to buy Such a practice also would defeat the purpose Yunwanted or unneeded goods and services of the Rule to give people accurate, itemized to get the items that they do want. Consumers price information that affords them the must be able to choose only the goods and opportunity to select the arrangements they services that they want, with certain limited want. exceptions noted below.(19) Exceptions: The three exceptions to the Accordingly, you cannot condition the consumer’s general right to choose only the furnishing of any funeral good or service to a goods and services wanted are: consumer on the purchase of any other funeral l The one non-declinable basic services fee; good or service except for your basic services (20) fee and any items required by law. You also l Items required by law (or by the cemetery cannot refuse to serve a family because they do or crematory); and not purchase one particular item (e.g., a casket or embalming) or a combination of items or l Impossible, impractical or excessively services from you. burdensome requests. You do not have to comply with such requests.(22) However, In addition, you cannot include the charge for you cannot refuse a request simply because an optional item of service (such as embalming) you don’t like it or don’t approve of it. in a non-declinable basic services fee. This would have the effect of making the optional Example: During July, a family requests item a required purchase for every customer. that a funeral occur five days after death, but does not want embalming. You The Rule expressly prohibits you from charging don’t have refrigeration facilities. Your any fee, as a condition of furnishing any funeral state law does not require embalming goods or services, other than the fees for: under any circumstances. However, in this situation, you can refuse to provide l The basic services of funeral director and these arrangements, unless the family staff (the one non-declinable fee allowed by buys embalming. You can consider such the Rule); a request impractical or excessively l The funeral goods and services selected by burdensome. the consumer; and Note: If a customer requests an item that l The funeral goods and services required to you do not normally offer, you do not have be purchased by law (or by the cemetery or to comply with the request. However, you crematory),(21) as identified and explained are free to do so. on the itemized Statement (see page 19). “Free” Items: You cannot list any of the 16 This means that you cannot charge an items required to be separately itemized on additional fee or surcharge to consumers who the GPL as “free” or “no charge.” Because you purchase a casket elsewhere. Such a fee would recover the cost of the free item in your other not fall within the three categories of allowable prices on the GPL, the customer may not have charges listed above. This extra “casket the choice of rejecting the charge. However, you handling” fee is simply a hidden penalty for can offer items not required to be separately those consumers who exercise the right to itemized on the General Price List (such as purchase a casket from another seller. acknowledgment cards) at “no charge,” as long as your state or local laws do not prohibit this Moreover, you cannot alter your prices based practice. upon the particular selections of each customer.

24 Prior Approval for Embalming

ou can charge a fee for embalming, only in Note: When an individual makes pre- Yone of the following three circumstances:(23) need arrangements and gives express approval for embalming at that time, 1. State or local law requires embalming under you do not need to get any additional the particular circumstances regardless of any approval to embalm at the time of wishes the family might have. If this is the death. case, you must note on the itemized Statement of Funeral Goods and Services Selected that The Rule does not require you to get the embalming was performed because of a permission in writing, as long as it is express legal requirement and briefly explain that approval. Some states, however, may require requirement. (Also see the discussion on page written authorization. 21.) On the Statement of Funeral Goods and Note: Federal law does not require Services Selected, you must explain the reason embalming under any circumstances. that you charged a fee for embalming. The reason may be that the family requested this 2. You have obtained prior approval for service. However, if you tell a consumer that embalming from a family member or other embalming is required for a specific reason authorized person. (The Rule does not address (e.g., viewing or legal requirement), then you the issue of who is an “authorized person” to should list this specific reason on the Statement. give such approval. That is a matter of state or Simply noting “family consent” for embalming local law.) You must get express permission to does not convey the reason for embalming, only embalm; it cannot be implied. that the family has consented. Example: A family states that they want 3. All of the following apply: a viewing before burial and asks you to “prepare” the deceased. You must l You are unable to contact a family member specifically ask the family for permission to or other authorized person after exercising embalm and must receive their permission due diligence. In trying to contact the before you embalm the body. family, you must exhaust all means known, given the time constraints. In order to obtain the family's express consent to embalm, you must: 1) specifically ask for and Note: If refrigeration is available, you may obtain their permission, and 2) not misrepresent be required to take more steps to contact when embalming is required. the family and to obtain embalming authorization than if no refrigeration is Example: While making funeral available. arrangements, you tell a family that they will be charged for embalming, no l You have no reason to believe that matter what type of funeral arrangements the family does not want embalming they choose. If they agree to the funeral performed. arrangements in general, this does not l After embalming the body, you obtain constitute express consent to embalm. subsequent approval. In seeking approval, In addition, if you charge a family for you must tell the family that if they select embalming here, you would be charging a a funeral where embalming would be second non-declinable fee that violates the required (such as a funeral with formal Rule (see page 11). viewing), you will charge a fee, but that you will not charge a fee if they select a

25 Comprehension of Disclosures funeral where embalming would not be ou must make all the required disclo- necessary (such as a direct cremation with Ysures to consumers in a clear and a memorial service). If the family then conspicuous manner. Your goal should be expressly approves embalming or chooses to present the information in a reasonably a funeral where embalming is required, understandable form. In addition, the you may charge them for the embalming disclosures must be legible. The print or you performed. But, if the family chooses type must be large and prominent enough a funeral where no embalming would that consumers can easily notice and read be required, you cannot charge for the the information. Finally, your price lists embalming. cannot include any information that alters or contradicts the information the Rule requires Note: The required disclosure regarding (25) embalming on the itemized Statement (see you to give in those price lists. You can page 19) will let consumers know that they include other information on your price lists if do not have to pay for embalming if you you wish. But, this should not be done in such a did not get their prior approval. way as to confuse or obscure the required information.

Recordkeeping

ou must keep price lists for at least one Yyear from the date you last distributed them to customers. You also must keep a copy of each completed Statement of Funeral Goods and Services Selected for at least one year from the date of the arrangements conference. You must make these documents available for inspection by FTC representatives upon request.(24)

26 State Exemption Sample Price Lists Provisions tate agencies may apply to the Commis- Ssion for a statewide exemption from the he FTC staff has attached these sample Funeral Rule.(26) The Commission may grant an Tprice lists to help you to understand the exemption if it finds that: Funeral Rule's requirements. You do not have to adopt these sample price lists. They are only 1. there is a state requirement in effect that examples. In addition, the fact that the FTC applies to the same transactions that the staff has developed these price lists does not Funeral Rule covers; and mean that this format is the only appropriate one. A variety of formats will satisfy the Rule's 2. the state requirement provides an overall requirements. level of protection that is as great as, or greater than, the protection provided by the Funeral Rule. If granted, the exemption will be in effect, as specified by the Commission, for as long as the state administers and enforces effectively the state requirement. An application for state exemption can be filed only by a state government agency. Funeral providers and trade associations cannot file for statewide exemption. If your state has obtained such an exemption, you only need to comply with your state regulations. If the Commission has not granted your state an exemption, you must comply with all state regulations, as well as the FTC Funeral Rule. You must comply with your state regulations, even if they are more stringent than the Funeral Rule.

27 Sample 1

ABC FUNERAL HOME 100 Main Street Yourtown, USA 12345 (123) 456-7890 GENERAL PRICE LIST

These prices are effective as of [date]. The goods and services shown below are those we can provide to our customers. You may choose only the items you desire. However, any funeral arrangements you select will include a charge for our basic services and overhead. If legal or other requirements mean you must buy any items you did not specifically ask for, we will explain the reason in writing on the statement we provide describing the funeral goods and services you selected. Basic Services of Funeral Director and Staff and Overhead ...... $______Our services include: conducting the arrangements conference; planning the funeral; consulting with family and clergy; shelter of remains; preparing and filing of necessary notices; obtaining necessary authorizations and permits; coordinating with the cemetery, crematory, or other third parties. In addition, this fee includes a proportionate share of our basic overhead costs. This fee for our basic services and overhead will be added to the total cost of the funeral arrangements you select. (This fee is already included in our charges for direct cremations, immediate burials, and forwarding or receiving remains.)

Embalming...... $______Except in certain special cases, embalming is not required by law. Embalming may be necessary, however, if you select certain funeral arrangements, such as a funeral with viewing. If you do not want embalming, you usually have the right to choose an arrangement that does not require you to pay for it, such as direct cremation or immediate burial.

Other Preparation of the Body...... $______[list individual services and prices]

Transfer of Remains to the Funeral Home (within __ mile radius) ...... $______beyond this radius we charge __ per mile

Use of Facilities and Staff For Viewing...... $______Use of Facilities and Staff For Funeral Ceremony at the Funeral Home ...... $______Use of Facilities and Staff For Memorial Service at the Funeral Home...... $______Use of Equipment and Staff For Graveside Service ...... $______Hearse ...... $______Limousine ...... $______Caskets...... $______to $______A complete price list will be provided at the funeral home.

28 Outer Burial Containers ...... $______to $______A complete price list will be provided at the funeral home. Forwarding of Remains to Another Funeral Home ...... $______Our charge includes: basic services of funeral director and staff; a proportionate share of overhead costs; removal of remains; embalming or other preparation of remains, if relevant; and local transportation. Receiving Remains from Another Funeral Home ...... $______Our charge includes: basic services of funeral director and staff; a proportionate share of overhead costs; care of remains; transportation of remains to funeral home and to cemetery or crematory. Direct Cremation...... $______to $______Our charge for a direct cremation (without ceremony) includes: basic services of funeral director and staff; a proportionate share of overhead costs; removal of remains; transportation to crematory; necessary authorizations; and cremation if relevant. If you want to arrange a direct cremation, you can use an alternative container. Alternative containers encase the body and can be made of materials like fiberboard or composition materials (with or without an outside covering). The containers we provide are a fiberboard container or an unfinished wood box.

A. Direct cremation with container provided by the purchaser...... $______B. Direct cremation with a fiberboard container...... $______C. Direct cremation with an unfinished wood box...... $______Immediate Burial...... $______to $______Our charge for an immediate burial (without ceremony) includes: basic services of funeral director and staff; a proportionate share of overhead costs; removal of remains; and local transportation to cemetery. A. Immediate burial with casket provided by purchaser...... $______B. Immediate burial with alternative container [if offered]...... $______C. Immediate burial with cloth covered wood casket...... $______

29 Sample 2

BC FUNERAL HOME CASKET PRICE LIST

These prices are effective as of [date].

Alternative Containers:

1. Fiberboard Box ...... $______

2. Plywood Box...... $______

3. Unfinished Pine Box...... $______

Caskets: 1. Beige cloth-covered soft-wood with beige interior...... $______2. Oak stained soft-wood with pleated blue crepe interior...... $______3. Mahogany finished soft-wood with maroon crepe interior...... $______4. Solid White Pine with eggshell crepe interior...... $______5. Solid Mahogany with tufted rosetan velvet interior...... $______6. Hand finished solid Cherry with ivory velvet interior...... $______7. 18 gauge rose colored Steel with pleated maroon crepe interior (available in a variety of interiors)...... $______8. 20 gauge bronze colored Steel with blue crepe interior...... $______9. Solid Bronze (16 gauge) with brushed finish white ivory velvet interior ...... $______

10. Solid Copper (32 oz.) with Sealer (Oval Glass) and medium bronze finish with rosetan velvet interior ...... $______

30 Sample 3

ABC FUNERAL HOME OUTER BURIAL CONTAINER PRICE LIST

These prices are effective as of [date]. In most areas of the country, state or local law does not require that you buy a container to surround the casket in the grave. However, many cemeteries require that you have such a container so that the grave will not sink in. Either a grave liner or a burial vault will satisfy these requirements.

1. Concrete Grave Liner...... $______2. Acme Reinforced Concrete Vault (lined)...... $______3. Acme Reinforced Concrete Vault (stainless steel lined) ...... $______4. Acme Solid Copper Vault...... $______5. Acme Steel Vault (12 gauge) ...... $______

31 Sample 4

ABC FUNERAL HOME STATEMENT OF FUNERAL GOODS AND SERVICES SELECTED

Charges are only for those items that you selected or that are required. If we are required by law or by a cemetery or crematory to use any items, we will explain the reasons in writing below.

Deceased: ______Purchaser: ______Address: ______Tel. No. ______

______Date of Death Date of Arrangements

Basic Services of Funeral Director and Staff and Overhead ...... $______Embalming...... $______If you selected a funeral that may require embalming, such as a funeral with viewing, you may have to pay for embalming. You do not have to pay for embalming you did not approve if you selected arrangements such as a direct cremation or immediate burial. If we charged for embalming, we will explain why below. Other Preparation of the Body 1. Cosmetic Work for Viewing...... $______2. Washing and Disinfecting Unembalmed Remains...... $______Transfer of Remains to the Funeral Home...... $______Use of Facilities and Staff For Viewing...... $______Use of Facilities and Staff For Funeral Ceremony...... $______Use of Facilities and Staff For Memorial Service...... $______Use of Equipment and Staff For Graveside Service ...... $______Hearse ...... $______Limousine...... $______Casket...... $______Outer Burial Container...... $______Forwarding of Remains to Another Funeral Home ...... $______Receiving Remains from Another Funeral Home...... $______

32 Direct Cremation...... $______Immediate Burial ...... $______CASH ADVANCE ITEMS We charge you for our services in obtaining: [specify relevant cash advance items]. Cemetery charges ...... $______Crematory charges...... $______Flowers ...... $______Obituary notice...... $______Death certificate...... $______Music...... $______Total Cash Advance Items ...... $______

TOTAL COST OF ARRANGEMENTS (including all services, merchandise, and cash advance items)...... $______If any legal, cemetery, or crematory requirement has required the purchase of any of the items listed above, we will explain the requirement below: ______Reason for Embalming: ______

33 Endnotes (20) See Section 453.4(b) (1) (i). (21) See Section 453.4(b) (1) (ii). (1) Note: Before the 1994 revision, the Rule also (22) See Section 453.4(b) (2) (ii). required the following disclosure on the GPL: (23) See Section 453.5 This list does not include prices for certain (24) See Section 453.6. items that you may ask us to buy for you, such as cemetery or crematory services, (25) See Section 453.7. flowers, and newspaper notices. The prices (26) for those items will be shown on your bill The Commission’s staff has issued guidelines or statement describing the funeral goods regarding exemption proceedings, which were and services selected. [And if appropriate] published in the Federal Register on March 29, We charge you for our services in buying 1985. See 50 Fed. Reg. 12,521 (1985). these items. The Rule no longer requires this disclosure on the GPL. Instead, you must place a shorter version of the disclosure on the Statement of Goods and Services Selected (see pages 20-21). However, you may continue to place this disclosure on your GPL, if you wish. (2) See Section 453.4(b) (2) (i) (A). (3) See Section 453.3(a) (2) (ii). (4) See Section 453.3(b) (2). (5) See Section 453.2(b) (4) (iii) (C). (6) See Section 453.2(b) (4) (iii) (A). (7) See Section 453.2(b) (4) (iii) (B). (8) See Sections 453.2(b) (4) (ii) - (iii). (9) See Section 453.2(b) (6). (10) See Section 453.2(b) (4) (iii) (C). (11) See Section 453.2(b) (2). (12) See Section 453.2(b) (3). (13) See Section 453.2(b) (5). (14) See Section 453.4(b) (2) (i) (B). (15) See Section 453.5(b). (16) See Section 453.3(f) (2). (17) See Section 453.2(b) (1). (18) See Section 453.3. (19) See Section 453.4.

34 Part 453 — Funeral Industry Practices Revised Rule

Section: (f) Crematory A “crematory” is any any funeral, such as conducting the person, partnership or corporation that arrangements conference, planning the 453.1 Definitions. performs cremation and sells funeral funeral, obtaining necessary permits, 453.2 Price disclosures. goods. and placing obituary notices. 453.3 Misrepresentations. (g) Direct cremation A “direct § 453.2 Price Disclosures cremation” is a disposition of human 453.4 Required purchase of funeral (a) Unfair or Deceptive Acts or Practices goods or funeral services. remains by cremation, without formal viewing, visitation, or ceremony with the In selling or offering to sell funeral 453.5 Services provided without prior body present. approval. goods or funeral services to the public, it (h) Funeral goods “Funeral goods” is an unfair or deceptive act or practice 453.6 Retention of documents. are the goods which are sold or offered for a funeral provider to fail to furnish 453.7 Comprehension of disclosures. for sale directly to the public for use in accurate price information disclosing connection with funeral services. the cost to the purchaser for each of 453.8 Declaration of intent. the specific funeral goods and funeral 453.9 State exemptions. (i) Funeral provider A “funeral services used in connection with the provider” is any person, partnership disposition of deceased human bodies, Authority: 15 U.S.C. 57a(a); 15 U.S.C. or corporation that sells or offers to sell including at least the price of embalming, 46(g); 5 U.S.C. 552. funeral goods and funeral services to the transportation of remains, use of § 453.1 Definitions public. facilities, caskets, outer burial containers, immediate burials, or direct cremations, (a) Alternative container An (j) Funeral services “Funeral services” to persons inquiring about the purchase “alternative container” is an unfinished are any services which may be used to: of funerals. Any funeral provider wood box or other non-metal receptacle (1) care for and prepare deceased human who complies with the preventive or enclosure, without ornamentation or bodies for burial, cremation or other final requirements in paragraph (b) of this a fixed interior lining, which is designed disposition; and (2) arrange, supervise or section is not engaged in the unfair or for the encasement of human remains conduct the funeral ceremony or the final deceptive acts or practices defined here. and which is made of fiberboard, disposition of deceased human bodies. pressed-wood, composition materials (b) Preventive Requirements (k) Immediate burial An “immediate (with or without an outside covering) or burial” is a disposition of human remains To prevent these unfair or deceptive like materials. by burial, without formal viewing, acts or practices, as well as the unfair or (b) Cash advance item A “cash visitation, or ceremony with the body deceptive acts or practices defined in advance item” is any item of service or present, except for a graveside service. § 453.4(b)(1), funeral providers must: merchandise described to a purchaser (l) Memorial service A “memorial (1) Telephone Price Disclosure as a “cash advance,” “accommodation,” service” is a ceremony commemorating “cash disbursement,” or similar term. the deceased without the body present. Tell persons who ask by telephone A cash advance item is also any item about the funeral provider’s offerings obtained from a third party and paid (m) Funeral ceremony A “funeral or prices any accurate information from for by the funeral provider on the ceremony” is a service commemorating the price lists described in paragraphs purchaser’s behalf. Cash advance the deceased with the body present. (b)(2) through (4) of this section and any items may include, but are not limited other readily available information that to: cemetery or crematory services; (n) Outer burial container An “outer reasonably answers the question. pallbearers; public transportation; clergy burial container” is any container which honoraria; flowers; musicians or singers; is designed for placement in the grave (2) Casket Price List nurses; obituary notices; gratuities and around the casket including, but not (i) Give a printed or typewritten price death certificates. limited to, containers commonly known as burial vaults, grave boxes, and grave list to people who inquire in person c) Casket A “casket” is a rigid container liners. about the offerings or prices of caskets which is designed for the encasement or alternative containers. The funeral of human remains and which is usually (o) Person A “person” is any provider must offer the list upon constructed of wood, metal, fiberglass, individual, partnership, corporation, beginning discussion of, but in any event plastic, or like material, and ornamented association, government or governmental before showing caskets. The list must and lined with fabric. subdivision or agency, or other entity. contain at least the retail prices of all caskets and alternative containers offered (d) Commission “Commission” refers to (p) Services of funeral director and which do not require special ordering, the Federal Trade Commission. staff The “services of funeral director enough information to identify each, and staff” are the basic services, not to and the effective date for the price list. (e) Cremation “Cremation” is a heating be included in prices of other categories In lieu of a written list, other formats, process which incinerates human in § 453.2(b)(4), that are furnished such as notebooks, brochures, or charts remains. by a funeral provider in arranging

35 may be used if they contain the same (3) specific funeral goods or funeral (D) The price range for the immediate information as would the printed or services offered by the funeral provider. burials offered by the funeral provider, typewritten list, and display it in a clear together with: and conspicuous manner. Provided, (B) The requirement in paragraph however, that funeral providers do not (b)(4)(i)(A) of this section applies (1) a separate price for an immediate have to make a casket price list available whether the discussion takes place in the burial where the purchaser provides the if the funeral providers place on the funeral home or elsewhere. Provided, casket; general price list, specified in paragraph however, that when the deceased is (2) separate prices for each immediate (b)(4) of this section, the information removed for transportation to the funeral burial offered including a casket or required by this paragraph. home, an in-person request at that time for authorization to embalm, required by alternative container; and (ii) Place on the list, however produced, § 453.5(a)(2), does not, by itself, trigger (3) a description of the services and the name of the funeral provider’s place the requirement to offer the general container (where applicable) included in of business and a caption describing the price list if the provider in seeking prior that price; list as a “casket price list.” embalming approval discloses that embalming is not required by law except (E) Transfer of remains to funeral home; (3) Outer Burial Container Price List in certain special cases, if any. Any other discussion during that time about (F) Embalming; (i) Give a printed or typewritten price prices or the selection of funeral goods or list to persons who inquire in person (G) Other preparation of the body; services triggers the requirement under about outer burial container offerings paragraph (b)(4)(i)(A) of this section to or prices. The funeral provider must (H) Use of facilities and staff for give consumers a general price list. offer the list upon beginning discussion viewing; of, but in any event before showing (C) The list required by paragraph (I) Use of facilities and staff for funeral the containers. The list must contain at (b)(4)(i)(A) of this section must contain at ceremony; least the retail prices of all outer burial least the following information: containers offered which do not require (J) Use of facilities and staff for special ordering, enough information to (1) The name, address, and telephone memorial service; identify each container, and the effective number of the funeral provider’s place of date for the prices listed. In lieu of a business; (K) Use of equipment and staff for written list, the funeral provider may graveside service; use other formats, such as notebooks, (2) A caption describing the list as a brochures, or charts, if they contain “general price list”; and (L) Hearse; and the same information as the printed or (3) The effective date for the price list; (M) Limousine. typewritten list, and display it in a clear and conspicuous manner. Provided, (ii) Include on the price list, in any order, (iii) Include on the price list, in any however, that funeral providers do not the retail prices (expressed either as the order, the following information: have to make an outer burial container flat fee, or as the price per hour, mile or price list available if the funeral other unit of computation) and the other (A) Either of the following: providers place on the general price information specified below for at least (1) The price range for the caskets offered list, specified in paragraph (b)(4) of this each of the following items, if offered for by the funeral provider, together with the section, the information required by this sale: statement: “A complete price list will be paragraph. (A) Forwarding of remains to another provided at the funeral home.”; or (ii) Place on the list, however produced, funeral home, together with a list of the (2) The prices of individual caskets, the name of the funeral provider’s place services provided for any quoted price; disclosed in the manner specified by of business and a caption describing the paragraph (b)(2)(i) of this section; and list as an “outer burial container price (B) Receiving remains from another list.” funeral home, together with a list of the (B) Either of the following: services provided for any quoted price; (4) General Price List (1) The price range for the outer burial (C) The price range for the direct containers offered by the funeral (i)(A) Give a printed or typewritten price cremations offered by the funeral provider, together with the statement: list for retention to persons who inquire provider, together with: “A complete price list will be provided at in person about the funeral goods, the funeral home.”; or funeral services or prices of funeral (1) a separate price for a direct cremation goods or services offered by the funeral where the purchaser provides the (2) The prices of individual outer burial provider. The funeral provider must container; containers, disclosed in the manner give the list upon beginning discussion (2) separate prices for each direct specified by paragraph (b)(3)(i) of this of any of the following: cremation offered including an section; and (1) the prices of funeral goods or funeral alternative container; and (C) Either of the following: services; (3) a description of the services and (1) The price for the basic services of (2) the overall type of funeral service or container (where applicable), included in funeral director and staff, together with disposition; or each price; a list of the principal basic services

36 provided for any quoted price and, if provided before the final bill is paid.); arrangements, such as a funeral with the charge cannot be declined by the and viewing. If you do not want embalming, purchaser, the statement: “This fee for you usually have the right to choose an our basic services will be added to the (C) The total cost of the goods and arrangement that does not require you total cost of the funeral arrangements services selected. to pay for it, such as direct cremation you select. (This fee is already included or immediate burial.” The phrase (ii) The information required by this in our charges for direct cremations, “except in certain special cases” need paragraph (b)(5) may be included on any immediate burials, and forwarding not be included in this disclosure if state contract, statement, or other document or receiving remains.)”. If the charge or local law in the area(s) where the which the funeral provider would cannot be declined by the purchaser, provider does business does not require otherwise provide at the conclusion of the quoted price shall include all embalming under any circumstances. discussion of arrangements. charges for the recovery of unallocated (b) Casket for Cremation Provisions funeral provider overhead, and funeral (6) Other Pricing Methods providers may include in the required (1) Deceptive Acts or Practices disclosure the phrase “and overhead” Funeral providers may give persons any after the word “services”; or other price information, in any other In selling or offering to sell funeral goods format, in addition to that required by or funeral services to the public, it is a (2) The following statement: “Please note § 453.2(b)(2), (3), and (4) so long as the deceptive act or practice for a funeral that a fee of (specify dollar amount) for statement required by § 453.2(b)(5) is provider to: the use of our basic services is included given when required by the rule. in the price of our caskets. This same fee (i) Represent that state or local law shall be added to the total cost of your § 453.3 Misrepresentations requires a casket for direct cremations; funeral arrangements if you provide the (a) Embalming Provisions casket. Our services include (specify).” (ii) Represent that a casket is required for direct cremations. The fee shall include all charges for the (1) Deceptive Acts or Practices recovery of unallocated funeral provider (2) Preventive Requirements overhead, and funeral providers may In selling or offering to sell funeral goods include in the required disclosure the or funeral services to the public, it is a To prevent these deceptive acts or phrase “and overhead” after the word deceptive act or practice for a funeral practices, as well as the unfair or “services.” The statement must be provider to: deceptive acts or practices defined in placed on the general price list together § 453.4(a)(1), funeral providers must (i) Represent that state or local law with the casket price range, required by place the following disclosure in requires that a deceased person be paragraph (b)(4)(iii)(A)(1) of this section, immediate conjunction with the price embalmed when such is not the case; or together with the prices of individual range shown for direct cremations: “If caskets, required by (b)(4)(iii)(A)(2) of (ii) Fail to disclose that embalming is not you want to arrange a direct cremation, this section. required by law except in certain special you can use an alternative container. Alternative containers encase the body (iv) The services fee permitted by cases, if any. and can be made of materials like § 453.2(b)(4)(iii)(C)(1) or (C)(2) is the only (2) Preventive requirements fiberboard or composition materials funeral provider fee for services, facilities (with or without an outside covering). or unallocated overhead permitted by To prevent these deceptive acts or The containers we provide are (specify this part to be non-declinable, unless practices, as well as the unfair or containers).” This disclosure only has otherwise required by law. deceptive acts or practices defined in to be placed on the general price list §§ 453.4(b)(1) and 453.5(2), funeral if the funeral provider arranges direct (5) Statement of Funeral Goods and providers must: Services Selected cremations. (i) Not represent that a deceased person (c) Outer Burial Container Provisions (i) Give an itemized written statement is required to be embalmed for: for retention to each person who (1) Deceptive Acts or Practices arranges a funeral or other disposition (A) direct cremation; of human remains, at the conclusion of In selling or offering to sell funeral goods (B) immediate burial; or the discussion of arrangements. The and funeral services to the public, it is statement must list at least the following (C) a closed casket funeral without a deceptive act or practice for a funeral information: viewing or visitation when refrigeration provider to: is available and when state or local law (A) The funeral goods and funeral (i) Represent that state or local laws or does not require embalming; and services selected by that person and the regulations, or particular cemeteries, prices to be paid for each of them; (ii) Place the following disclosure on the require outer burial containers when such is not the case; (B) Specifically itemized cash advance general price list, required by § 453.2(b)(4), in immediate conjunction items. (These prices must be given to (ii) Fail to disclose to persons arranging with the price shown for embalming: the extent then known or reasonably funerals that state law does not require “Except in certain special cases, ascertainable. If the prices are not known the purchase of an outer burial container. or reasonably ascertainable, a good faith embalming is not required by estimate shall be given and a written law. Embalming may be necessary, (2) Preventive Requirement statement of the actual charges shall be however, if you select certain funeral

37 To prevent these deceptive acts or (2) Represent that funeral goods have In selling or offering to sell funeral practices, funeral providers must place protective features or will protect the goods or funeral services, it is an unfair the following disclosure on the outer body from gravesite substances, when or deceptive act or practice for a funeral burial container price list, required by § such is not the case. provider to: 453.2(b)(3)(i), or, if the prices of outer burial containers are listed on the general (f) Cash Advance Provisions (i) Condition the furnishing of any funeral good or funeral service to a price list, required by (1) Deceptive Acts or Practices § 453.2(b)(4), in immediate conjunction person arranging a funeral upon the with those prices: “In most areas of In selling or offering to sell funeral goods purchase of any other funeral good or the country, state or local law does or funeral services to the public, it is a funeral service, except as required by law not require that you buy a container deceptive act or practice for a funeral or as otherwise permitted by this part; to surround the casket in the grave. provider to: (ii) Charge any fee as a condition to However, many cemeteries require that furnishing any funeral goods or funeral you have such a container so that the (i) Represent that the price charged for a cash advance item is the same as the cost services to a person arranging a funeral, grave will not sink in. Either a grave other than the fees for: (1) services of liner or a burial vault will satisfy these to the funeral provider for the item when such is not the case; funeral director and staff, permitted by requirements.” § 453.2(b)(4)(iii)(C); (2) other funeral The phrase “in most areas of the (ii) Fail to disclose to persons arranging services and funeral goods selected by country” need not be included in this funerals that the price being charged for the purchaser; and (3) other funeral disclosure if state or local law in the a cash advance item is not the same as goods or services required to be area(s) where the provider does business the cost to the funeral provider for the purchased, as explained on the itemized does not require a container to surround item when such is the case. statement in accordance with the casket in the grave. § 453.3(d)(2). (2) Preventive Requirements (d) General Provisions on Legal and (2) Preventive Requirements To prevent these deceptive acts or Cemetery Requirements practices, funeral providers must place (i) To prevent these unfair or deceptive (1) Deceptive Acts or Practices the following sentence in the itemized acts or practices, funeral providers must: statement of funeral goods and services In selling or offering to sell funeral goods selected, in immediate conjunction with (A) Place the following disclosure in the or funeral services to the public, it is the list of itemized cash advance items general price list, immediately above the a deceptive act or practice for funeral required by § 453.2(b)(5)(i)(B): “We prices required by providers to represent that federal, state, charge you for our services in obtaining: § 453.2(b)(4)(ii) and (iii): “The goods or local laws, or particular cemeteries or (specify cash advance items),” if the and services shown below are those crematories, require the purchase of any funeral provider makes a charge upon, or we can provide to our customers. You funeral goods or funeral services when receives and retains a rebate, commission may choose only the items you desire. such is not the case. or trade or volume discount upon a cash If legal or other requirements mean advance item. you must buy any items you did not (2) Preventive Requirements specifically ask for, we will explain the § 453.4 Required Purchase of Funeral reason in writing on the statement we To prevent these deceptive acts or Goods or Funeral Services. provide describing the funeral goods practices, as well as the deceptive acts and services you selected.” Provided, or practices identified in §§ 453.3(a)(1), (a) Casket for Cremation Provisions however, that if the charge for “services 453.3(b)(1), and 453.3(c)(1), funeral of funeral director and staff” cannot be (1) Unfair or Deceptive Acts or Practices providers must identify and briefly declined by the purchaser, the statement describe in writing on the statement In selling or offering to sell funeral goods shall include the sentence: “However, of funeral goods and services selected or funeral services to the public, it is an any funeral arrangements you select will (required by § 453.2(b)(5)) any legal, unfair or deceptive act or practice for include a charge for our basic services” cemetery, or crematory requirement a funeral provider, or a crematory, to between the second and third sentences which the funeral provider represents to require that a casket be purchased for of the statement specified above herein. persons as compelling the purchase of direct cremation. The statement may include the phrase funeral goods or funeral services for the “and overhead” after the word “services” funeral which that person is arranging. (2) Preventive Requirement if the fee includes a charge for the recovery of unallocated funeral provider (e) Provisions on Preservative and To prevent this unfair or deceptive act or overhead; Protective Value Claims practice, funeral providers must make an alternative container available for (B) Place the following disclosure in the In selling or offering to sell funeral goods direct cremations, if they arrange direct statement of funeral goods and services or funeral services to the public, it is a cremations. selected, required by § 453.2(b)(5)(i): deceptive act or practice for a funeral “Charges are only for those items that provider to: (b) Other Required Purchases of Funeral you selected or that are required. If we Goods or Funeral Services (1) Represent that funeral goods or are required by law or by a cemetery funeral services will delay the natural (1) Unfair or Deceptive Acts or Practices or crematory to use any items, we will decomposition of human remains for a explain the reasons in writing below.” long-term or indefinite time;

38 (ii) A funeral provider shall not violate and make available for inspection by By direction of the Commission. this section by failing to comply with a Commission officials true and accurate request for a combination of goods or copies of the price lists specified in Donald S. Clark services which would be impossible, §§ 453.2(b)(2) through (4), as applicable, Secretary impractical, or excessively burdensome for at least one year after the date of their to provide. last distribution to customers, and a copy of each statement of funeral goods and § 453.5 Services Provided Without Prior services selected, as required by Approval § 453.2(b)(5), for at least one year from (a) Unfair or Deceptive Acts or Practices the date of the arrangements conference.

In selling or offering to sell funeral goods § 453.7 Comprehension of Disclosures or funeral services to the public, it is an To prevent the unfair or deceptive acts unfair or deceptive act or practice for any or practices specified in § 453.2 through provider to embalm a deceased human § 453.5, funeral providers must make all body for a fee unless: disclosures required by those sections (1) State or local law or regulation in a clear and conspicuous manner. requires embalming in the particular Providers shall not include in the casket, circumstances regardless of any funeral outer burial container, and general price choice which the family might make; or lists, required by §§ 453.2(b)(2)-(4), any statement or information that alters (2) Prior approval for embalming or contradicts the information required (expressly so described) has been by this Part to be included in those lists. obtained from a family member or other authorized person; or § 453.8 Declaration of Intent

(3) The funeral provider is unable (a) Except as otherwise provided in to contact a family member or other § 453.2(a), it is a violation of this rule to authorized person after exercising engage in any unfair or deceptive acts due diligence, has no reason to believe or practices specified in this rule, or to the family does not want embalming fail to comply with any of the preventive performed, and obtains subsequent requirements specified in this rule; approval for embalming already (b) The provisions of this rule are performed (expressly so described). In separate and severable from one another. seeking approval, the funeral provider If any provision is determined to be must disclose that a fee will be charged invalid, it is the Commission’s intention if the family selects a funeral which that the remaining provisions shall requires embalming, such as a funeral continue in effect. with viewing, and that no fee will be charged if the family selects a service (c) This rule shall not apply to the which does not require embalming, such business of insurance or to acts in the as direct cremation or immediate burial. conduct thereof.

(b) Preventive Requirement § 453.9 State Exemptions

To prevent these unfair or deceptive If, upon application to the Commission acts or practices, funeral providers must by an appropriate state agency, the include on the itemized statement of Commission determines that: funeral goods and services selected, required by § 453.2(b)(5), the statement: (a) There is a state requirement in effect “If you selected a funeral that may which applies to any transaction to require embalming, such as a funeral which this rule applies; and with viewing, you may have to pay for (b) That state requirement affords an embalming. You do not have to pay for overall level of protection to consumers embalming you did not approve if you which is as great as, or greater than, the selected arrangements such as a direct protection afforded by this rule; cremation or immediate burial. If we charged for embalming, we will explain then the Commission’s rule will not be in why below.” effect in that state to the extent specified by the Commission in its determination, § 453.6 Retention of Documents for as long as the State administers and To prevent the unfair or deceptive acts or enforces effectively the state requirement. practices specified in § 453.2 and § 453.3 of this rule, funeral providers must retain

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FEDERAL TRADE COMMISSION ftc.gov

1-877-FTC-HELP FOR THE CONSUMER