Chevra Kadisha News - Special Edition

Published by Kavod v'Nichum

Almost May 2002 - Still Iyyar 5762

 

U.S. Senator Christopher Dodd (D-CT) and U.S. Representative Mark Foley (R-FL) held hearings on Friday, April 24, 2002 about the status of funeral home, crematory and cemetery service and prices. Both expressed interest in developing federal legislation that will offer additional consumer protection. While not specifically mentioning cemeteries or portability and 100% refundability of pre-need purchases, Dodd's proposals (see below) look to be very progressive.

 

In Dodd's home state, the Attorney General has accused a Jewish funeral home of deceptive practices. Foley represents the Palm Beach area in Florida that has had significant problems with Menorah Gardens Cemetery.

 

It is clear that a strong consumer response to these proposals will insure good legislation and increase the chance of the legislation passing. Connecticut and Palm Beach residents especially should write and call Dodd and Foley. 

 

One of the interesting side notes from the hearings was when Dodd asked the FTC representative why it has taken so long to deal with testimony and evidence from a number of years ago about expanding the funeral rule to cover cemeteries. Dodd did not receive a response, but it is clear he is intent on seeing action.

 

See the full two hour and 20 minute hearing from c-span, Dodd's statement, and the FTC statement 

 

From Dodd's testimony. "...I think that Congress should consider taking six specific actions:

  1. Codify the funeral rule because the rule should have the full force of law.
  2. Expand the funeral rule. Currently the funeral rule only applies to funeral homes. But the funeral industry has changed in the two decades since the rule was first promulgated and the funeral rule should be expanded to cover every business that sells funeral goods or services directly to consumers.
  3. The federal government should become an effective partner with the states to promote more frequent and thorough inspections of funeral facilities. I believe Congress should consider establishing a grant program to assist states to hire and train more inspectors. As a condition of receiving federal funds under this program, I believe states should be required to adopt clear standards and license requirements for funeral service providers.
  4. We need to provide consumers with helpful information. I believe the FTC should be required to maintain a clearinghouse of price information to help consumers make informed decisions.
  5. We need to consider whether consumer protections from other areas of federal law should be adapted to this industry. For example, in the area of mortgages, we have established a clear bright line prohibition against excessively high interest rates and we have outlawed prepayment penalties. We've also allowed consumers a right of recision. Perhaps there are analogous contract provisions that we should consider here.
  6. Finally, we should give the FTC enhanced enforcement authority so the Commission can more effectively crack down on bad businesses. These enhanced enforcement authorities would include the power to levy special penalties, issues immediate cease and desist orders and in extreme cases to temporarily or permanently close facilities that pose a danger to the public health or well-being."