(a) The pre-need cemetery merchandise and services trust funds, including the income from the trust funds, after payment of any appropriate trustee fees, commissions and costs, shall remain intact until the cemetery merchandise is delivered or the services performed as specified in the sales contract. However, a seller may, upon proper certification to the trustee, withdraw specific funds previously deposited if no deposit was required by § 46-1-207. Upon complete performance of the services or delivery of the cemetery merchandise specified in the sales contract, the seller shall certify the performance of the services or the delivery of the cemetery merchandise to the trustee by affidavit. Upon the receipt of the certification, the amount of specific funds in the trust account identified to the delivered cemetery merchandise or the performed services, including any income or interest earned from the specific funds and not paid pursuant to subsection (b), shall be paid to the seller. The trustee may rely upon all proper certifications required to be made pursuant to this subsection (a), and shall not be liable to anyone for such reliance.
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Terms Used In Tennessee Code 46-1-208

  • Affidavit: A written statement of facts confirmed by the oath of the party making it, before a notary or officer having authority to administer oaths.
  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
  • Cemetery: means any land or structure in this state dedicated to and used, or intended to be used, for interment of human remains. See Tennessee Code 46-1-102
  • Cemetery merchandise: means personal property sold by a cemetery company, such as foundations, markers, memorials, memorial bases, monuments, urns, vases, and lawn and mausoleum crypts. See Tennessee Code 46-1-102
  • Contract: A legal written agreement that becomes binding when signed.
  • Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
  • Improvement care: means the continual maintenance of the cemetery grounds and graves in keeping with a properly maintained cemetery, including cutting of grass, raking and cleaning of cemetery plots at reasonable intervals, and pruning of shrubs and trees. See Tennessee Code 46-1-102
  • Pre-need: means the time prior to death when the use of cemetery merchandise or services is not actually required. See Tennessee Code 46-1-102
  • Services: means acts performed by a cemetery company on its premises in the final interment of human remains or the installation of cemetery merchandise used in connection with final interment. See Tennessee Code 46-1-102
  • Specific funds: means funds identified with cemetery merchandise to be delivered, or services to be performed, as specified in a certain contract and earmarked as having been paid by a certain purchaser. See Tennessee Code 46-1-102
  • Trust account: A general term that covers all types of accounts in a trust department, such as estates, guardianships, and agencies. Source: OCC
  • Trustee: A person or institution holding and administering property in trust.
  • Year: means a calendar year, unless otherwise expressed. See Tennessee Code 1-3-105
(b) Notwithstanding subsection (a), the trustee shall pay the seller, at the seller’s option, the net income accumulated as of the end of any fiscal year; provided, that the trust assets after disbursement of income shall not have a market value of less than one hundred twenty percent (120%) of the aggregate procurement costs of all cemetery merchandise and services for which deposits are held in trust, subject to proration allowed under § 46-1-207. The seller shall exercise its option by delivering to the trustee a notarized certification of the procurement costs as of the first day of the seller’s current fiscal year.
(c) Any specified funds held on behalf of a purchaser that have been dormant for a period of seventy-five (75) years since the time of deposit or last withdrawal against those moneys, may be considered to be closed accounts against which no further demand will be made by the purchaser, and the principal amount may be paid by the trustee to the seller’s improvement care trust.
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