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Rights and Duties of the Funeral Director. Sources of Duties Laws and Regulations Common Law Funeral Contract. Laws and Regulations. State Laws: a) permits b) health laws and regs. Federal Laws Local Laws. Common Law/Operation of Law. Reasonable/Prudent Standard 2 duties:
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Rights and Duties of the Funeral Director Sources of Duties Laws and Regulations Common Law Funeral Contract
Laws and Regulations • State Laws: a) permits b) health laws and regs. • Federal Laws • Local Laws
Common Law/Operation of Law • Reasonable/Prudent Standard • 2 duties: • 1) not to interfere with the right of burial • Wrongfully withholding a body • Loss of body • Mutilation of the body • 2) exercising reasonable care and remaining prudent • Injury to invitees • Injury to pallbearers and clergy
Funeral Contract • With the person who has the right to disposition • FD has no obligation regarding a particular dead body until a contract has been initiated
Contract • “an agreement between two or more competent persons which is enforceable by law” • Agreement: • All contracts are agreements but not all agreements are contracts.
4 Req’ts of a Valid Contract • 1) mutual assent/”meeting of the minds” • 2) competent parties • 3) legal/lawful purpose • 4) consideration
Mutual Assent/”Meeting of the Minds” • offeror, offeree, offer • An advertisement is not an offer; it is an invitation to trade. • Handing a consumer a GPL is not an offer but is an invitation to trade. • Duration of an offer: • Novation: • Acceptance:
Mutual Assent May Be Undermined • A) mistake • fraud • Misrepresentation • B) duress • C) undue influence • fiduciary relationship
Competent Parties • A) legal age • B) mental capacity • C) intoxication
Legal/Lawful Purpose • A) usury • B) contracts of unreasonable restraint of trade
Consideration • “ that which the promisor demands and receives as the price for a promise” • Invalid Consideration • Forebearance
Contracts Used in Funeral Service • Promissory Note: “a negotiable instrument containing a promise to pay” • Preneed Contract: • SFGSS is not a contract in NJ
Contract Suggestions • written is always preferred • follow-up oral agreements • use clear, specific terms • include a deadline • sign and initial changes • include material items
Statute of Frauds • “certain types of contracts which could only be enforced if in written form” • 1) transfer of interest in real property • 2) terms cannot be completed in 1 year • 3) agreement to assume debt • 4) executor/administrator pays debts of an estate out of personal funds • 5) contracts of marriage • 6) sale of goods is $500 or more • 7) personal service contracts
Types of Contracts • Void contract • Voidable contract • Executed contract • Executory contract • Oral contract • Written contract
Types of Contracts (cont’d) • Express contract • Implied contract • Quasi contract • Unenforceable contract • Bilateral contract • Unilateral contract
Types of Contracts (cont’d) • Formal contract • Simple contract • Divisible contract • Joint and Several contract
Conditions of Termination • 1) performance • 2) operation of law • 3) voluntary agreement • 4) impossibility of performance • 5) acceptance of breach