FTC:

Sherman Anti-Trust Act (1890)

-named for Ohio Senator John Sherman -was built upon already existing state laws -Trusts (at this time) where when a group of stockholders in different companies handed their shares over to a single set of trustees

Magnusson-Moss Warranty Act (1975)

-warranties on consumer products -simple language -service contracts

Marty Russo

-congressman from Chicago -created the Russo Amendment that passes the House -would have exempted funeral service from the scope of the FTC -complained the FTC was giving the industry a bad name

Item 6

transfer of remains t funeral home -can be a flat fee, hourly charge or milage -must include a radius

Fair Packaging and Labeling Act (1967)

-designed to facilitate value comparison between consumer commodities -a statement identifying the commodity -the name and place of business of the manufacturer, packer, or distributor -the net quantity of contents in terms of weight, measure, or numerical count -The FDA administers this for food, drugs, and medical devices -The FTC regulates this for other consumer commodities

Truth in Lending (1968)

-designed to promote informed use of consumer credit -began as a crackdown an APR reporting in car loans

Disclosures

_____ must have the exact wording as required by the Funeral rule. -if you have to you may add reference to state laws, but not changing anything about the federal rule language

Funeral services

_____ services are: -services used for care & prep of bodies for any type of deposition. -services used to arrange, supervise, or conduct funeral ceremony or final disposition.

Anti-Competitive Practices

-dumping (selling at a loss) -price fixing -refusal to deal -divided territory -tying arrangements (forcing a consumer to buy one thing to get another) -religious tributes

Alternative containers

-an unfinished wood box or other non-metal receptacle without ornamentation or fixed lining which is designed for the encasement of human remains -informs consumers that they may use alternative containers for direct cremations "if you want to arrange a direct cremation you an use an alternative container. alternative containers encase the body and can be made of materials like fiberboard or composition materials. the containers we provide are (specific containers)"

GPL (general price list)

-name, address, and telephone number for funeral provider (should include the address and umber of all branches) -language identifying it clearly - and the effective date All of these identifying items have to be on what?

General Price List (GPL)

-a printed list of all goods and services offered for sale by funeral providers with retail prices -allows for consumers to price shop and buy only the services and goods they want

Right of Selection

-informs consumers they have a right to select only what they want plus a non-declinable basic services fee -third sentence must be in bold if the service fee is non-declineable -you may add the phrase "and overhead" after the word services if the fee includes over head costs -should be placed directly about the 16 itemized services "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 by an item yo 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."

Outer Burial Container Price list (OBCPL)

-like the CPL, outer burial containers can be on the GPL or in a separate list -must disclose a list is available at the funeral home -Eiher the CPL or OBCPL must have the following disclosure: " 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."

FTC Purposes

-maintain free and fair competition amongst businesses -take any action against monopoly, restraint of trade or unfair practices -prevent anti-competitive trade in the market to protect consumers

Funeral Rule prohibits

-misrepresenting legal, crematory, and cemetery requirements -embalming for a fee with out permission -requiring purchase of a casket for direct cremation -requiring purchases of certain funeral goods/services as a condition for furnishing other goods/services (violations may result in fines up to $16,000 per violation)

Basic Service Fee

-must appear in conjunction with the price of the basic services fee -if it is non-declinable it must also include charges for overhead not allowed anywhere else -must include the word overhead "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)"

Item 6-16

-must be listed with their respective prices -charge should include any service or equipment fees -may not include any portion of the basic service fees

Magnusson-Moss Warranty Act (1975): Warrantors

-must remedy the problem in a reasonable amount of time with out charge -must allow a refund on the repair within a reasonable number of repairs -does not cover service on repairs -does not cover consumer damage or unreasonable use

Revised Rule takes effect (1994)

-no declinable service fee -don't have to include your crematory fee

Full Funeral Rule (1984) takes effect

-no more lying -must answer phone questions -no expensive caskets for cremation -itemized price list

Clayton Anti-Trust Act (1914)

-price fixing, discrimination, and unfair business practices -was continuation of Sherman Anti-Trust act -Stopped 1 person from directing 2 or more competing companies -stopped mergers that lessened competition

Robinson-Patman Act (1936)

-regulates against price discrimination -designed to protect smaller retailers -originated from chain stores receiving better prices from suppliers

Fair Credit Reporting (1970): Credit Reporting Agencies

-regulates the collection and dissemination of consumer credit -requires accurate reporting of consumer credit -allows consumers access to negative information on their credit reports -allows for disputes -free credit reports

Fair Credit Reporting (1970): Creditors

-report accurate information -correct errors -inform consumers of negative items that will appear to employers -procedures for employers s

Embalming

-tells consumers that the law usually does not require embalming "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 such as direct cremation or immediate burial, that does not require you to pay for it"

1964

-the year the FTC concluded funeral regulations is best at state level -Sen philip Hart begins to look into funeral service -Funeral directors testify that 1) talking about $ to the bereaved was inappropriate 2) advertising prices was punished by associations 3) undertakers were being punished by associations for talking about $$ -prices were compared amongst 13 states * no itemized funeral bills * all death benefits were being used for funerals

Casket Price List (CPL)

-you may list individual casket prices on the GPL -tell consumers that there is a separate list (CPL) -a disclosure must read "a complete price list will be provided at the funeral home." -consumers are not required to have a CPL to keep

Items 1 & 2

1) forwarding remains 2) receiving remains -the GPL should list a price for each of these and a description of what each entails -the prices for these 2 items should include all charges relating to these such as basic service fee and equipment charges

Item 5

Basic Services of Funeral Director and Staff -includes common funeral home services -should include ordinary sheltering of remains -may include non-itemized overhead costs -this is the only non-declinable fee you can list

Item 15

Casket Prices -can list a casket price range w/ CPL -can list each casket -must have your lowest casket price listed

YES (they have to be allowed to physically keep the GPL)

Does the rule require a GPL to be given to keep for individuals? (Yes or no?)

Item 7

Embalming -must include use of the facility and professional service of an embalmer -must be in conjunction with you embalming disclosure

Item 13

Hearse -can be a flat fee, hourly, or milage

Item 4

Immediate burials -must include a price where the purchaser provides the casket -separate price for each type of immediate burial you offer -you must describe the services attached to each type of immediate burial you offer -you can but do not have to make an alternative container available for the service

Item 14

Limousine -same rules as apply to the hearse

Item 16

Outer Burial Container -same as casket

phone and mail inquiries

These are examples of what? you are free to send one to whomever requests one however: -you must give certain information over the phone but you are not required to send them a GPL -you do not have to send a GPL to mail inquiries

6 required disclosures

These are the 6 required what? 1) consumer's right to selection 2) Embalming 3) alternative containers for direct cremation 4) basic services fee 5) casket price list 6) outer burial container

Item 12

Use of Equipment and staff for graveside service -can charge a separate fee for committal at the graveside, this item is for use when there is no funeral or ceremony elsewhere -charge should include staff and equipment -do ont include this if your normal funeral ceremony includes a committal

Item 10

Use of facilities and staff for funeral ceremony -this is a service with the body present -can list a separate fee for this service at another facility

Item 11

Use of facilities and staff for memorial service -this is a service without body present -can list a separate fee for this service at another facility

Item 9

Use of facilities and staff for viewing -Can be a flat fee or an hourly fee -charges should include use of facilities and staff -you may list a separate fee for holding the viewing at another facility but it should not include a facilities fee

GPL

When should the _____ be offered? once you begin to discuss the following: -type of funeral or disposition that you can arrange -specific goods and service offered -the prices of those goods and services -a face to face meeting anywhere (EXCEPTION: you are not required to give a ____ if you are making a removal and just requesting permission to embalm, but you must disclose embalming is not required by law and refrain from any further discussion of prices and services)

GPL

When should the ______ be offered before offering the ____ you may: -offer condolences -discuss preliminary matters

GPL

Who gets a ______? -anyone who asks in person who asks about funeral goods, services or their prices -must be allowed to keep it -does not have to be requested by anyone looking to make funeral arrangements -you much give it to them regardless of who they are

any person who offers both funeral goods & services to the public

Who must comply with the Funeral Rule?

Federal Trade Commission (FTC)

consists of 5 commissioners appointed by the President for a & year term

Item 3

direct cremation -you must offer at least one alternative container -if you offer more than one, they must be listed individually separately -must include a price where the purchaser provides the container -a price for each type of direct cremation offered -if you include the actual cremation, the words "and cremation" must be added -the GPL must provide a description of each type of service you offer with your direct cremation

Item 8

other preparation of the body -cosmetic work -price for washing and disinfecting instead of embalming

Cooling Off Regulation for Door to Door Sales

prevents salesmen from pressuring their way into your home -covers other places of sales -allows for payment in credit card -consumers get a dated receipt -cancellation disclosures -3 days to return item costing more than $25.00 -also applies to the funeral rule

1963

the year Jessica Mitford publishes the "American Way of Death" and JFK died

1972

the year the FTC begins reviews of current funeral legislation

1914

the year the FTC was created by an act of congress

1970

the year the sunset legislation eliminates various regulatory boards

1938

the year wheeler-lea Amendment adds scope of FTC as it applies to unfair and deceptive practices, began with just businesses and broadened to consumers