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The Georgia Cemetery and Funeral Services Act of 2000 provides that unless exempt, it shall be unlawful for any person to offer for sale or to sell any preneed burial or funeral merchandise or preneed burial services in Georgia unless such person is registered as a preneed dealer or preneed sales agent. O.C.G.A. § 10-14-4.
To register as a preneed dealer under the Georgia Cemetery and Funeral Services Act of 2000, one must complete the following:
Renewal of Registration [O.C.G.A. § 10-14-4] Every preneed dealer registration expires on August 1st of each year and must be renewed with the State Board of Cemeterians each year by that date. The filing fee for renewal of registration is $100.00 for each preneed dealer. See O.C.G.A. § 10-14-4(d). Escrow Account [O.C.G.A. § 10-14-7] Each preneed dealer which sells burial or funeral merchandise on a preneed basis or preneed burial or funeral services shall establish and maintain a preneed escrow account. Deposits to the escrow account must be made no later than 30 days following the last day of the month in which payment is received. For further information please refer to O.C.G.A. § 10-14-7. Instructions for Request of Preneed Merchandise Escrow Withdrawals
All of the following documents must be submitted to the Secretary of State's Office in order to receive review by the Secretary of State staff. Incomplete requests will delay the approval process.
REQUIRED DOCUMENTS:
(1) A letter from an executive officer of the preneed dealer requesting amount of withdrawal, the period for which the cancellations and or deliveries were made, and certification that all required deposits have been made and that the cancellations and/or deliveries have been made.
(2) Completed Cancellations and Deliveries forms (Form C-10). This form is available on the Secretary of State web site at: www.sos.state.ga.us/securities/forms.htm
(3) Copy of customer contracts identifying merchandise and/or services which have been delivered or cancelled.
(4) Copy of interment orders, work orders or any other documents which verify delivery dates of preneed vaults, service dates of preneed opening and closings and installation dates of markers and monuments, if applicable. These documents should reference the sales contract number.
(5) Copy of current bank statement indicating balance in escrow account.
Field visits by Secretary of State staff may be alleviated if supporting documents are included with request letters. Annual Reports [O.C.G.A. § 10-14-12(g)] Each preneed dealer shall file a report concerning the preneed escrow account annually with the Secretary of State. Definitions [O.C.G.A. § 10-14-3] “BURIAL MERCHANDISE, FUNERAL MERCHANDISE, or MERCHANDISE” means any personal property offered or sold by any person for use in connection with the final disposition, memorialization, interment, entombment, or inurnment of human remains. “BURIAL SERVICE” is any service other than a funeral service offered or provided by any person in connection with the final disposition, memorialization, interment, entombment, or inurnment of human remains. “FUNERAL SERVICE” is any service relating to the transportation, embalming, and interment of deceased human being. “PRENEED CONTRACT” is any arrangement or method, of which the provider of burial or funeral merchandise or services has actual knowledge, whereby any person agrees to furnish burial or funeral merchandise or services in the future. “PRENEED DEALER” is a person, other than a registered salesperson, who engages as agent, broker, or principal in the retail business of offering, selling, or otherwise dealing in funeral services or burial services or funeral or burial merchandise which is not attached to realty or delivered to the purchaser at the time of sale. “PRENEED INTERMENT OR PRENEED SERVICE” is any service which is not performed at the time of sale and which is offered or provided by any person in connection with the interment of human remains, except those services offered regarding mausoleums and the normal and customary installation charges on burial or funeral merchandise. For more definitions, please see O.C.G.A. § 10-14-3. Transfer of Ownership [O.C.G.A. § 10-14-9] Prior to the sale or transfer of ownership of any preneed dealer, the vendor or transferor must notify the State Board of Cemeterians of the proposed transfer. The proposed buyer of the preneed dealer must file Application for Change of Ownership of Pre-need Dealer (Form C-3c) with the Securities and Business Regulation Division along with a filing fee of $250.00 for such application transfer.
* These forms are not part of the initial registration. They are only provided as a sample of required records. The above listing includes forms available online, but is not an all-inclusive listing of forms required for registration or renewal. Please refer to O.C.G.A. 10 14-4(b)(2) and State of Georgia Rule 590-3-1-.09 through 590-3-1-.10. 1. Payment for the services or merchandise I offer is made only through insurance. Do I need to register as a preneed dealer? There are certain stipulations on funding through insurance. Please see Secretary of State Rules and Regulations 590-3-4.01 (2) Funding Through Insurance. If you are unclear, you should consult your own legal counsel.
2. On the application for registration under Part A., General Information, the application asks for Jurisdiction of Organization of Applicant. What does this mean? Where the application asks for jurisdiction of organization of applicant, one should state the county in which the applicant is incorporated or if the applicant is not incorporated, one should state the county in which the business was formed.
3. I recently purchased a funeral home; what is required to be registered as a preneed dealer?
Please note: The Securities Division posts this material for the convenience of its users. This material does not necessarily include all of the information and forms relevant for the filing, registration or renewal of entities or products regulated by the Securities Division. A user of the information and forms provided on this Web page should review applicable Georgia law in order to determine whether the user is in compliance with the various filing, registration or renewal requirements. The information contained in this website does not constitute legal advice. The Secretary of State encourages all interested individuals to consult their own attorneys should they have questions regarding legal interpretations of Georgia statutes or regulations.
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