Funds received for prepaid burial contracts shall be placed in an escrow or
trust fund account which shall be separate and distinct from the business and
personal accounts of the funeral director.
(b) If funds received by a funeral director
for preneed burial contracts are deposited in a banking account which bears
interest, or are invested by the trustee bank and produce earnings, the
interest or earnings shall be retained in the account with the principal and
shall be held, accounted for and transferred in the same manner as the
principal amount, to assure delivery of the same quality of service and
merchandise for which the contract was made.
(c) In the event of a sale or transfer of the
business of a funeral director, prepaid burial contracts and prepaid burial
accounts shall immediately be transferred to the control of the licensee who
will assume responsibility for completion of the prepaid burial contracts. The
licensee-transferee shall notify the Board in writing of the licensee's
willingness to accept responsibility for completion of the prepaid burial