Louisiana cremation, cemetery care and prepaid funeral rights

When cremation is requested in Louisiana, the funeral director must immediately notify the coroner with jurisdiction over the death. After the necessary investigation, the coroner issues a cremation permit if satisfied that there are no suspicious circumstances. If the investigation reveals suspicious circumstances or the reasonable probability of a crime, the permit is denied until the coroner’s post-mortem examination and evidence collection are complete. If a body under the coroner’s jurisdiction cannot be released within thirty days of death, the coroner must tell the people with the right to dispose of the remains, in writing, why it is delayed. Ask the funeral director whether the coroner’s permit has been issued. [1]

Louisiana sets the order of people who may authorize a cremation: a person arranging it where the decedent directed cremation in a notarial testament or notarized declaration; a person the decedent designated in such a document; a surviving spouse, if no petition for divorce was pending; a majority of the adult children; a majority of the adult grandchildren; the surviving parents; a majority of the adult siblings; and then a majority of the next degree of kindred. If the required authorization cannot be obtained, a final district court judgment is required. No one may authorize cremation when the decedent left written instructions in a notarial testament or notarized declaration not to be cremated. Ask who will sign the cremation authorization. [2]

When a Louisiana cemetery sells or transfers an interment space under the representation that it will receive perpetual or endowed care, at least 10% of the gross sales price must be deposited in the cemetery’s perpetual care trust fund. For a space provided without charge, the deposit must be at least 10% of its fair market value. The principal stays permanently intact, and only the income is spent, solely for the care of the parts of the cemetery where spaces were sold with perpetual or endowed care. Ask whether your space is sold with perpetual or endowed care. [3]

The care-fund chapter does not apply to family burial grounds or to religious, fraternal, municipal, state or federal cemeteries. That exemption does not tell you what care such a cemetery promises, so ask for its care terms in writing. [4]

In Louisiana, only a licensed funeral establishment may enter into a preneed funeral contract. All money a buyer pays under one must either be deposited in a trust account with a financial institution, in an individual account naming the funeral establishment and the funeral recipient and held for the recipient’s exclusive benefit, including all earned interest, or be delivered to an insurance company to buy a preneed insurance policy or annuity. Either step must happen no later than five business days after the 10-day cancellation period ends. Ask which funding method your contract uses. [5][7]

A buyer may cancel and receive a full refund of all monies within 10 days after signing, unless the buyer signed a written waiver while an application for government benefits was pending. After that, a revocable contract can be cancelled at any time by written notice sent by certified mail, return receipt requested. For a funeral trust account, the funeral establishment must forward the notice to the financial institution within 10 business days and take all necessary steps to have the account refunded to the buyer, less any early-withdrawal charge imposed by the institution. For an insurance policy or annuity, the establishment forwards the notice to the insurer; this section does not set the amount the policy returns. The establishment may not impose any surcharge, fee or penalty for cancelling. Ask whether your contract is revocable. [6]

An irrevocable contract cannot be revoked by either party, and the buyer is not entitled to a return of the money or of any insurance policy or annuity except by court order. Check whether you are agreeing to irrevocability before you sign. [6]

At death, the funds are divided between guaranteed and non-guaranteed goods and services in the proportions shown in the contract. If the share for guaranteed items falls short of their current retail price, the funeral establishment bears the loss and may not bill the estate or anyone else; if it exceeds that price, the establishment may keep the surplus unless the contract says otherwise. For non-guaranteed items, any surplus goes to the refund designee or the estate, and a shortfall may be charged. Ask which items in your contract are guaranteed. [7]