When a funeral establishment changes ownership, what is the required action regarding the trust fund?

When a funeral establishment changes ownership, conducting an examination of the trust fund is required to ensure that the fund is being managed according to applicable regulations and to maintain compliance with the law. This is important to protect the interests of consumers and ensure that any pre-need arrangements are honored and properly funded. The examination typically involves reviewing the financial status of the trust, verifying that it is being maintained at the required levels, and ensuring that it aligns with statutory requirements specific to funeral service operations.

The emphasis on examination is rooted in the need for accountability and transparency during transitions in ownership, so that the new ownership can assume responsibility with a clear understanding of the trust's status and obligations. This protects not only the integrity of the funeral establishment but also the rights of the individuals who have made pre-need arrangements.