M Law exam 2 /

What type of preneed contract allows the purchaser to terminate the agreement at any time prior to death and receive a full refund of all monies paid?

A revocable preneed contract[cite: 15]

What type of preneed contract cannot be cancelled or terminated, and is required by state mandate for individuals seeking Medicaid or Supplemental Security Income (SSI) benefits?

An irrevocable preneed contract[cite: 15]

What preneed agreement applies the prepaid amount and earned interest toward the final bill at the time of need, but bases the final charges on the prices in effect when the services and goods are actually provided?

A non-guaranteed preneed contract[cite: 15]

What preneed agreement guarantees that the funeral establishment will provide goods and services at the time of need for an amount not exceeding the contract price plus earned interest?

A guaranteed preneed contract[cite: 15]

Why do funeral directors generally refuse to offer price guarantees on cash advance items in preneed contracts?

Because funeral directors control the pricing for funeral home charges, but they do not control the pricing set by third-party providers for cash advance charges[cite: 15]

What is the main difference between public and private cemeteries regarding ownership and legal regulation?

Public cemeteries are owned by government entities and are subject to anti-discrimination laws, whereas private cemeteries are owned by private enterprises (such as corporations, families, or religious orders) and are generally exempt from anti-discrimination laws[cite: 14]

What is the difference between interment and entombment as methods of final disposition?

Interment refers to earth burial in the ground, whereas entombment is placing casketed human remains in a crypt within a mausoleum above ground[cite: 14]

What distinguishes a solvent estate from an insolvent estate during probate administration?

A solvent estate possesses total assets that exceed its total liabilities, whereas an insolvent estate lacks sufficient assets to pay off all debts and claims[cite: 12]

What is the difference between dying testate and dying intestate?

A decedent dies testate when they leave a valid last will and testament, whereas a decedent dies intestate when they die without a last will and testament[cite: 12, 13]

What is the difference in beneficiary coverage between Medicare and Medicaid?

Medicare is a national health insurance program for Americans aged 65 and older, whereas Medicaid is a joint federal-state program providing health coverage to low-income individuals, disabled persons, and qualifying families[cite: 15]

How does estate distribution differ between per capita and per stirpes when a person dies intestate?

Per capita (by head) distributes equal shares to each surviving heir holding an equal degree of kindred, whereas per stirpes (by branch) distributes proportional shares based on the branch of the family tree each heir represents[cite: 13]

What is the difference between pre-need and at-need funeral planning?

Pre-need planning involves making funeral arrangements in advance of death, while at-need planning takes place at or after the time of death[cite: 15]

What is the key distinction between a void contract and a voidable contract?

A void contract is legally unenforceable from the start because it contains illegal terms, lacks capacity, or is impossible to perform; a voidable contract is valid initially but may be set aside or voided by one party due to coercion, undue influence, fraud, or breach[cite: 15]

What is the legal difference between a nuisance per se and a nuisance in fact?

A nuisance per se is an activity or structure that is a nuisance at all times and under all circumstances regardless of location, whereas a nuisance in fact becomes a nuisance due to its location, surroundings, or manner of operation (cemeteries are NOT nuisances per se)[cite: 14]

What preneed funding model involves an account created by one party and held in a fiduciary capacity by a trustee (usually the funeral home) for the benefit of another?

A trust account[cite: 15]

What preneed funding mechanism places funds with a third party until both the purchaser and the funeral establishment fulfill their contractual obligations at the time of death?

An escrow account[cite: 15]

What preneed funding instrument consists of a scheduled insurance policy that pays a lump sum upon death for expenses, does not itemize specific funeral goods, and operates without funeral director involvement?

Burial insurance[cite: 15]

What preneed funding method allows consumers to make scheduled payments over time for preselected funeral goods and services, often allowing licensed funeral directors to earn commissions where permitted by law?

Funeral insurance[cite: 15]

Which two military discharge classifications automatically grant veterans eligibility for burial benefits in a national cemetery?

Honorable Discharge and General Discharge Under Honorable Conditions[cite: 14]

Which three military discharge classifications generally disqualify a veteran from receiving veteran burial benefits unless reviewed and reclassified by the Department of Veterans Affairs?

Other Than Honorable Discharge, Bad Conduct Discharge, and Dishonorable Discharge[cite: 14]

What three specific discussions trigger the requirement under the FTC Funeral Rule to distribute a General Price List (GPL) to a consumer?

1) The types of funerals or dispositions available; 2) Specific goods or services offered by the funeral establishment; or 3) The prices of any goods or services[cite: 15]

What is the order of cemetery plot units from smallest to largest?

Grave (smallest), Lot, Block, Section (largest)[cite: 14]

What type of last will and testament is written entirely in the testator's own handwriting and signed by the testator, but lacks witness signatures?

A holographic will[cite: 13]

What type of last will and testament is an oral declaration made by a testator during a final illness before witnesses, who must later reduce the statements to writing?

A nuncupative will[cite: 13]

What type of directive governs the withholding or withdrawal of life-sustaining treatment when an individual suffers from an incurable condition and can no longer make medical decisions?

A living will (also known as an advance directive or health care proxy)[cite: 12]

What is a dictated will?

A will where the testator orally dictates their final wishes to witnesses who then record the instructions in writing (commonly seen in nuncupative wills)[cite: 13]

What eight elements are typically required on an Authorization to Cremate form?

1) Notice that cremation is irreversible and consumes everything except bone and metal; 2) Acknowledgement of positive identification of the decedent; 3) Affirmation that the authorizing agent has priority right to control disposition; 4) Affirmation that no hazardous items (pacemakers, implants) remain in the body; 5) Confirmation that valuable personal property was removed; 6) Name of the person authorized to receive cremated remains and instructions for unclaimed remains; 7) Description of the outer container provided; and 8) A signatory section attesting to accuracy and granting authorization[cite: 14]

What are the nine sequential steps a funeral director must execute when preparing and transporting human remains for cremation?

1) Verify name/identity and tag the remains; 2) Remove medical devices or equipment; 3) Remove personal property items; 4) Dress and apply cosmetics if requested; 5) Enclose remains in a leak-proof pouch and tag it; 6) Place remains in a suitable alternative container and tag it; 7) Place requested personal items in the container; 8) Transport remains respectfully with required paperwork; and 9) Provide for retrieval of cremated remains[cite: 14]

What is the priority order of debt claims when settling claims against an estate under probate law?

1) Preferred claims (such as estate administration costs and funeral expenses); 2) Secured claims (debts supported by a mortgage, pledge, or lien); and 3) Unsecured claims (debts with no lien or collateral, representing the lowest priority)[cite: 12]

What legal framework governs the administration of estates, validation of wills, and oversight of intestate succession?

Probate laws[cite: 12]

What laws authorize the transfer of estate assets and property to the state government when an individual dies intestate without any identifiable legal heirs?

Escheat laws[cite: 13]

What laws establish the statutory hierarchy of blood relatives and surviving spouses entitled to inherit property when a decedent dies without a valid will?

Intestate succession laws[cite: 12, 13]

What power of attorney grants broad decision-making authority to an agent but automatically terminates if the principal becomes disabled or mentally incapacitated?

A general power of attorney[cite: 12]

What power of attorney contains explicit provisions that keep the agent's authority active even after the principal becomes disabled or mentally incapacitated?

A durable power of attorney[cite: 12]

What power of attorney only takes effect upon the occurrence of a specific future event, such as a medical professional attesting to the principal's mental incapacity?

A springing power of attorney[cite: 12]

At what time does all authority granted to an agent under any type of power of attorney legally terminate?

Immediately upon the death of the principal[cite: 12]

What is a natural or green burial?

A method of final disposition that buries human remains without chemical preservatives (such as embalming fluid) or non-biodegradable materials, utilizing eco-friendly products that minimize energy consumption[cite: 14]

What are common tort claims brought against funeral directors in cremation cases?

Claims arising from misidentification of human remains, cremating the wrong body, or improper handling and commingling of cremated remains[cite: 14]

What power allows a government entity to seize private property—including private cemetery land—for public use, provided just compensation is paid to the owner?

Eminent domain[cite: 14]

What happens to buried remains when a private cemetery is taken by a government under eminent domain?

The government must provide just compensation and pay for the disinterment and reinterment of the remains in a designated replacement cemetery space[cite: 14]

What four primary disposition options exist for handling cremated remains following cremation?

1) Earth burial (inurnment); 2) Entombment in a niche within a columbarium; 3) Retention at a private residence as a keepsake; or 4) Scattering on land or in water where permitted[cite: 14]

What constitutes the crime of cemetery desecration?

Treating burial plots or places of final disposition with disrespect, contempt, vandalism, or stealing personal property and fixtures from cemetery grounds[cite: 14]

Which government agency regulates civilian burials at sea in the United States?

The Environmental Protection Agency (EPA)[cite: 14]

What are the minimum location and depth requirements set by the EPA for conducting a burial at sea?

The burial must occur in ocean waters at least 600 feet deep and at least three nautical miles from shore[cite: 14]

Which branch of the military conducts sea burials for active-duty personnel, honorably discharged veterans, and eligible dependents?

The U.S. Navy[cite: 14]

What is the legal status of cremation and earth burial within state statutory frameworks?

Both cremation and earth burial are recognized by law as acts of final disposition[cite: 14]

What legal complications arise if a third party interferes with the distribution of assets designated under a last will and testament?

Interference can lead to probate litigation, will contests, judicial review, and civil tort liability for intentional interference with an expectancy of inheritance[cite: 13]

What is a columbarium?

A structure, room, or space in a building containing niches used for the permanent placement of cremated remains[cite: 14]

What is a mausoleum?

A building or above-ground structure containing crypts or vaults used for the entombment of casketed human remains[cite: 14]

What is entombment?

The act of placing casketed human remains into a crypt inside a mausoleum[cite: 14]

What is a niche?

A recessed space or compartment in a columbarium used for the permanent placement of an urn containing cremated remains[cite: 14]

What is a crypt?

A chamber in a mausoleum of sufficient size to contain the casketed remains of a deceased person[cite: 14]

What is a codicil?

A legal instrument executed as an addition or amendment to an existing last will and testament, which may partially or completely alter its original terms[cite: 13]

What is revocation in estate law?

The formal act of cancelling, voiding, or rescinding a legal instrument, such as a last will and testament[cite: 13]

What is alkaline hydrolysis?

A final disposition process that utilizes water, alkaline chemicals, heat, and pressure to accelerate natural decomposition, leaving behind liquid residue and bone fragments[cite: 14]

What is cremation?

The mechanical or thermal process that reduces human remains to bone fragments through intense heat and consumption of organic material[cite: 14]

What title is given to a person who makes and executes a last will and testament?

A testator[cite: 12, 13]

What is testamentary capacity?

The legal mental capacity and sound mind required for a person to create and execute a valid last will and testament[cite: 13]

What is a devise?

A gift of real or personal property transferred to an heir or beneficiary by means of a last will and testament[cite: 13]

What is the significance of the year 1984 in funeral service regulation?

1984 is the year the FTC Funeral Rule went into effect, establishing requirements for price disclosure and General Price Lists[cite: 15]

What is the significance of the year 2006 regarding anatomical gifts?

2006 is the year the Uniform Anatomical Gift Act (UAGA) was updated to eliminate witness requirements for donor signatures and mandate uniform donor cards across states[cite: 14]

What was the national cremation rate milestone reached in the year 2016?

2016 marked the year the U.S. national cremation rate reached 50 percent[cite: 14]

What is the significance of the year 2017 regarding organ donation laws?

By 2017, all 50 U.S. states had officially adopted the core elements of the revised Uniform Anatomical Gift Act (UAGA)[cite: 14]

What legislative action occurred in New York State in 2021 regarding veteran cemeteries?

In 2021, New York approved the construction of its very first state veteran cemetery[cite: 14]

What was the legal status and adoption level of alkaline hydrolysis in the United States by early 2021?

By early 2021, approximately 20 states had legally approved alkaline hydrolysis as an authorized method of final disposition[cite: 14]

What calculation date is used by a personal representative as the base baseline for evaluating all estate assets and liabilities?

The date of death (or 60 to 90 days after death in certain state jurisdictions)[cite: 12]

What four valuation methods may a personal representative use to inventory estate property?

Fair market value, comparison value, book value, or professional appraisal[cite: 12]

What accounting formula is commonly used during probate to determine the value of marketable securities held by an estate?

Value plus income minus expenses[cite: 12]

What is the minimum age required to execute a valid last will and testament across the United States?

Age 18 in 48 states, age 14 in Georgia, no minimum age limit in Louisiana, and age 17 for active members of the U.S. Armed Forces[cite: 13]

What four mental requirements must a testator meet to demonstrate testamentary capacity?

1) Know the nature and extent of estate assets; 2) Know the natural objects of their bounty (closest surviving blood relatives); 3) Know the intended disposition of the property; and 4) Possess the ability to connect these elements into a coherent plan[cite: 13]

What three methods can be used to legally revoke a last will and testament?

1) An intentional act of the testator (destroying the will or writing a new one); 2) By operation of law (automatic changes following divorce, marriage, or birth/adoption of a child); or 3) By executing a codicil or amendment[cite: 13]

What is abatement in probate distribution?

The proportional reduction or decrease of a devise when total estate assets are insufficient to pay all legacies in full[cite: 13]

What is ademption in probate distribution?

The extinction or cancellation of a specific devise because the decedent no longer owned the named property at the time of death[cite: 13]

What legal protection prevents a surviving spouse from being completely disinherited from an estate?

Spousal election (elective share laws)[cite: 13]

What happens if a testator leaves a natural heir completely out of a will without any explicit statement of intent?

Courts may deem the omission an accidental error rather than intentional disinheritance and restore inheritance rights to the excluded party[cite: 13]

What FTC rule applies when a preneed arrangement conference is held at a location outside the funeral establishment, such as the consumer's home?

The FTC Cooling-off Rule, which regulates door-to-door sales and gives buyers the right to cancel the contract within a specified time frame[cite: 15]

What single non-declinable fee appears on a funeral customer's Statement of Funeral Goods and Services Selected?

The fee for basic services of the funeral director and staff[cite: 15]

Which four specific funeral services are exempt from the non-declinable basic services fee under the FTC Funeral Rule?

1) Direct cremation; 2) Immediate burial; 3) Forwarding of human remains; and 4) Receiving of human remains[cite: 15]

What happens to remaining preneed funds in an irrevocable Medicaid contract after the beneficiary dies and the funeral bill is fully paid?

Any remaining funds must be remitted to the county supervising the Medicaid case as reimbursement[cite: 15]

What three expenses are strictly prohibited under an irrevocable preneed contract created for Medicaid qualification?

1) Food, lodging, and guest transportation; 2) Obituaries and flowers; and 3) Burial plots and urns[cite: 15]

What happens if a pre-selected funeral good or service is unavailable at the time of need under a preneed contract?

State regulations require the funeral establishment to substitute items of equal or greater value with the agreement of the contracting parties[cite: 15]

What three steps are taken to prepare the residue of alkaline hydrolysis before returning it to the family?

1) Liquid and metal waste products are removed and discarded; 2) Remaining bone fragments are ground into a powdery ash; and 3) The ash is placed into a temporary container for presentation[cite: 14]