What should be done with the funeral contracts after a change of ownership?

When a change of ownership occurs in a funeral establishment, it is essential to submit the funeral contracts to the relevant regulatory board. This process helps ensure that all legal and regulatory obligations are met, and maintains consumer protection. The board may need to review the contracts to confirm that they comply with applicable state laws and regulations, particularly regarding pre-need arrangements or any financial considerations tied to the contracts.

This submission allows the board to track ownership changes and assess any potential impacts on consumers who have pre-purchased funeral services. Maintaining oversight on such changes protects the rights and interests of the individuals who hold those contracts. The regulatory agency's involvement in this process upholds the integrity of the funeral service industry and ensures compliance with state mandates.

The other options do not adequately address the regulatory framework surrounding funeral contracts during ownership transitions. Discarding contracts would disregard the necessity for record-keeping and compliance, while keeping them on-site indefinitely without oversight does not provide regulatory accountability. Similarly, simply filing them for a two-year period would not align with ongoing regulatory requirements that require updating the board upon ownership changes. Thus, the requirement to submit these contracts to the board ensures appropriate governance and consumer protection following changes in ownership.