Fair Trading (Prepaid Funerals Code of Practice) Regulations 2020

starting when the client signs the contract; and

ending on the day that is 30 days after the day the funeral organiser gives the client a signed copy of the contract;

prepayments are invested; and

money is paid out —

when the investment manager receives written notice from the funeral organiser that the funeral arranged for the recipient under the prepaid funeral contract has been carried out in accordance with the contract; or

when the prepaid funeral contract is terminated;

means a good or service provided in connection with providing a funeral; and

includes —

organising death and funeral notices; and

mortuary facilities or services; and

providing a coffin, casket, urn or other container to be used for the recipient’s remains; and

providing flowers; and

providing or erecting a memorial; and

transporting the recipient’s remains; and

transporting the people attending the funeral; and

granting a right of burial; and

carrying out a service for the funeral; and

carrying out an interment or a cremation;

means a contract between a client and a funeral organiser entered into during the life of a recipient under which —

the client agrees to make a prepayment; and

the funeral organiser agrees to arrange or provide funeral services for the recipient;

does not include a contract to carry out funeral services between a person and a cemetery manager;

A funeral organiser must not enter into a prepaid funeral contract unless the funeral organiser has given the client information about the way in which prepayments under the funeral contract will be invested in a funeral investment.

A funeral organiser may comply with subclause (1) by providing the client with any information about the funeral investment given by the investment manager.

A funeral organiser must ensure that a prepaid funeral contract —

be printed in a size not less than 12 point type; and

is signed by the funeral organiser and by the client; and

is dated with the date when each party signed the contract.

If the recipient in relation to a prepaid funeral contract is not the client in relation to the contract, the funeral organiser must not enter into the contract unless the funeral organiser has taken reasonable steps to be satisfied that the recipient —

agrees to the client entering into the contract; or

lacks the capacity —

to enter into the contract; or

to agree to the client entering into the contract.

the name, business address and telephone number of the funeral organiser; and

if the contract is entered into by a funeral broker and the contract requires a particular funeral director to carry out the funeral services — the name, business address and telephone number of the funeral director; and

the name and residential address of the client; and

if the client is not the recipient — the name and residential address of the recipient; and

the name, address and, if available, telephone number of the person the funeral organiser is to contact when the funeral organiser is notified of the recipient’s death; and

the name, business address and telephone number of the investment manager to whom payments are to be made under the contract as referred to in clause 14.

the funeral services to be provided on the death of the recipient, including —

death and funeral notices; and

floral arrangements;

how the place where the funeral is to be held will be chosen; and

the service for the funeral, including who is to conduct the service; and

the way the recipient’s remains are to be disposed of; and

the design, size and material of the coffin, casket, memorial, urn or other container that will be used for the recipient’s remains; and

if the recipient’s remains are to be interred — the name and address of the cemetery at which the remains will be interred; and

the way the recipient’s remains and the people attending the funeral will be transported, including details about —

the number and classes of vehicles that will be used to transport the remains and people attending the funeral; and

the maximum number of people who can be transported in the vehicles that will be used to transport people attending the funeral; and

the maximum distance that the remains and the people will be transported; and

any limitations or restrictions that apply to when the vehicles will be used;

a list of documents that are to be prepared in relation to the funeral (including a document that is to be given to the Registrar under the Births, Deaths and Marriages Registration Act 1998 section 42), the cost or likely cost of those documents and whether the costs are likely to change; and

all other funeral services to be provided under the contract and the agreed period of time within which they will be provided; and

the total cost, including GST, of —

providing all the funeral services under the contract; and

each funeral service to be provided under the contract;

fees or charges that will or may be charged under the contract, including —

any administration or cancellation fee; and

any additional costs for providing funeral services under the contract, such as a fee or charge for a service being provided beyond an agreed period of time;

if the funeral organiser will organise a cemetery contract —

who will be the parties to the contract; and

a description of the services to be provided under the contract; and

whether the costs of the services have been, or will be, fully paid.

the funeral organiser ceases to carry on business before the contract is performed, including if —

the funeral organiser is an individual who becomes a bankrupt or a person whose affairs are under insolvency laws according to the Interpretation Act 1984 section 13D; or

the funeral organiser is a body corporate that becomes a Chapter 5 body corporate within the meaning given in the Corporations Act 2001 (Commonwealth);

the funeral organiser is unable to perform the contract for any reason; or

the payments required to be made under the contract are not made in full and on time; or

the recipient moves to a location where the funeral services can no longer be provided including, for example, moving outside of the State; or

the client ends the contract other than under a right in the contract; or

the recipient dies before a payment required under the contract is made.

sets out how, if the funeral director selected is not able to provide the funeral services, another funeral director is to be selected to provide the funeral services; and

includes the following note in not less than 14 point bold type —

In this clause —

the executor of the will or administrator of the estate of a deceased recipient; or

the trustee of the estate of a recipient under a legal disability; or

a person who holds an enduring power of attorney granted by a recipient.

A funeral organiser must not charge a client an amount for an agreed service that is greater than the amount for the agreed service in the prepaid funeral contract unless —

the parties to the contract agree to the greater amount; or

the agreed service is varied and the parties to the contract agree to the variation; or

if the client is the recipient and the charge or agreed service is to be varied after the recipient’s death — the recipient’s legal personal representative agrees to the greater amount or the variation.

the client;

if the client is not the recipient — the recipient;

the person stated in the contract under clause 5(e).

the details that must be set out in the contract under clause 5;

the amount of each prepayment and when it is received;

when the funeral organiser pays the whole or part of a prepayment to an investment manager.

A funeral organiser must not enter into a prepaid funeral contract unless the contract includes —

a term that the client may end the contract during the cooling‑off period by giving written notice to the funeral organiser; and

a term that, if the client ends a prepaid funeral contract during the cooling‑off period, the funeral organiser must —

repay any amount the client has paid under the contract (other than an administration fee charged by the funeral organiser under the contract for ending the contract in the cooling‑off period); and

not hold the client liable in any way for ending the contract within the cooling‑off period;

the following note in not less than 14 point bold type —

If a client ends a prepaid funeral contract during the cooling-off period by giving written notice to the funeral organiser, the funeral organiser must —

repay any amount the client has paid under the contract (other than an administration fee charged by the funeral organiser under the contract for ending the contract in the cooling‑off period); and

not hold the client liable in any way for ending the contract within the cooling‑off period.

A funeral organiser must not enter into a prepaid funeral contract that provides a right to end the contract (in addition to the right to end the contract during the cooling‑off period) unless the contract sets out —

who may exercise the right; and

the way the person may exercise the right; and

the financial arrangements that will apply if the right is exercised, including —

any period of notice required to withdraw amounts paid to an investment manager; and

fees or charges (including an administration or cancellation fee) that will, or may, be charged by the funeral organiser because of the termination.

A funeral organiser must not enter into a prepaid funeral contract that provides a right to end the contract unless the contract sets out the following note in not less than 14 point bold type in the part of the contract dealing with termination rights —

A funeral organiser who receives a prepayment under a prepaid funeral contract must deal with the prepayment in the following way —

if there is a cemetery contract that relates to the prepaid funeral contract — the part of the prepayment that relates to the cemetery contract must be paid to the cemetery manager with which the cemetery contract is entered into no later than 16 days after the day on which the funeral organiser receives it; and

the prepayment is otherwise invested in a funeral investment designated in the client’s name for the contract no later than 16 days after the day on which the funeral organiser receives it.

The funeral organiser must give the person to whom the prepayment was paid under subclause (1) a written notice that —

identifies the contract to which the prepayment relates; and

names the client; and

if the client is not the recipient — names the recipient.

a company registered under the Life Insurance Act 1995 (Commonwealth) section 21; or

a friendly society as defined in the Life Insurance Act 1995 (Commonwealth) section 16C; or

a licensed trustee company as defined in the Corporations Act 2001 (Commonwealth) section 601RAA; or

the Public Trustee as defined in the Public Trustee Act 1941 section 2.