BMS Mortuary and Business Law 4 — Questions and Answers
Question 1: Which of the following best describes 'right of sepulcher'?
- The next-of-kin's quasi-property right to custody and control of a decedent's remains (Correct answer)
- A cemetery's legal right to refuse burial
- The state's authority to claim unclaimed bodies for medical schools
- A decedent's right to pre-select their own burial method
Correct answer: The next-of-kin's quasi-property right to custody and control of a decedent's remains
The right of sepulcher is a legally recognized quasi-property right held by the next of kin to have custody, possession, and the right to direct disposition of the decedent's remains.
Question 2: A competitor funeral home spreads false rumors that another funeral home improperly embalms bodies. What tort has likely occurred?
- Trade libel (commercial disparagement) (Correct answer)
- Invasion of privacy
- Negligent misrepresentation
- Intentional infliction of emotional distress
Correct answer: Trade libel (commercial disparagement)
Trade libel (also called commercial disparagement) occurs when false statements are made about a business's goods or services, causing economic harm.
Question 3: A funeral home fails to itemize charges on the Statement of Funeral Goods and Services Selected as required by the FTC Funeral Rule. The most likely consequence is:
- Civil penalty up to $51,744 per violation enforced by the FTC (Correct answer)
- Automatic suspension of state funeral license
- Criminal prosecution under federal law
- Mandatory refund of all fees charged
Correct answer: Civil penalty up to $51,744 per violation enforced by the FTC
The FTC may seek civil penalties (adjusted periodically for inflation) for each violation of the Funeral Rule, with the amount set by the FTC Act penalty formula.
Question 4: In most U.S. states, who has the HIGHEST priority to authorize final disposition of a decedent's remains?
- The decedent (via a pre-arranged, legally valid directive) (Correct answer)
- Surviving spouse
- Adult children by majority vote
- Parents of the decedent
Correct answer: The decedent (via a pre-arranged, legally valid directive)
Most state statutes place the decedent's own legally valid pre-arranged disposition directive at the top of the priority hierarchy for authorizing final disposition.
Question 5: Under the Americans with Disabilities Act (ADA), a funeral home open to the public must:
- Provide accessible facilities and remove barriers where readily achievable (Correct answer)
- Hire a minimum percentage of disabled employees
- Offer home-visitation services to all disabled families
- Install elevators regardless of building size
Correct answer: Provide accessible facilities and remove barriers where readily achievable
Title III of the ADA requires places of public accommodation, including funeral homes, to provide equal access and remove architectural barriers when doing so is readily achievable.
Question 6: A funeral home forms a general partnership. One partner signs a contract for $50,000 of new equipment without the other partner's knowledge. Is the partnership bound?
- Yes, because each partner has apparent authority to bind the partnership in ordinary business matters (Correct answer)
- No, because both partners must consent to contracts above $10,000
- No, because the contract was made without full partnership consent
- Yes, but only if the other partner ratifies within 30 days
Correct answer: Yes, because each partner has apparent authority to bind the partnership in ordinary business matters
Under general partnership law (UPA/RUPA), each partner has authority to bind the partnership in the ordinary course of business, even without the other partners' prior consent.
Question 7: Which document transfers the authority to make health care decisions — including disposition of remains in some states — from a principal to an agent?
- Durable Power of Attorney for Health Care (Correct answer)
- Last Will and Testament
- Letters Testamentary
- Deed of Gift
Correct answer: Durable Power of Attorney for Health Care
A Durable Power of Attorney for Health Care (health care proxy) appoints an agent to make medical decisions, and some states extend this to include disposition of remains.
BMS Mortuary and Business Law 4
Which of the following best describes 'right of sepulcher'?