Fla. Admin. Code Ann. R. 69K-7.007 - Merchandise Trust Funds - Status of Accounts

(1) For purposes of merchandise trust funds, under the provisions of the Funeral, Cemetery, and Consumer Services Act prior to implementation of Chapter 93-399, Laws of Florida, a merchandise trust fund is in the nature of a master account ("the Fund") used for investment purposes and is made up of commingled individual accounts deposited into the Fund in connection with the individual contracts between the cemetery company and its customers. Each of these accounts is to be established and retained in the Fund together with any income it might earn until certain events shall occur and it is determined to whom the principal of the account plus any earnings should be distributed. The principal of the account plus any earnings may be paid to the cemetery company upon the delivery of the merchandise or performance of the services or to the purchaser or his legal representative in the event that the cemetery company does not deliver the merchandise or perform the services when needed.

(2) The principal and any accrued earnings or losses in such separate account is to be held in suspense until the final determination is made to which party the account will be paid. At the time of withdrawal of the amount in the account, either the seller, cemetery company, or the purchaser or his representative is entitled to not only the principal amount deposited in the account, but also any accrued earnings on the account from the time of the deposit until the time of withdrawal.

Notes

Fla. Admin. Code Ann. R. 69K-7.007

Rulemaking Authority 497.103 FS. Law Implemented 497.458 FS.

New 11-15-83, Formerly 3D-30.31, 3D-30.031, Amended 4-6-03, Formerly 3F-7.007.

New 11-15-83, Formerly 3D-30.31, 3D-30.031, Amended 4-6-03, Formerly 3F-7.007.