Attorney General's News Release

June 4, 2008

Nixon obtains $7,000 judgment against Kansas Cremation Society for soliciting pre-need plans in Missouri without license

Kansas City, Mo. - A Prairie Village, Kan. cremation society that allegedly offered and/or sold pre-paid funeral plans to Missouri consumers without complying with Missouri pre-need funeral laws has registered as a pre-need seller in Missouri, has agreed to comply with all Missouri laws, and has paid $7,000 to the state under a consent judgment obtained today by Attorney General Jay Nixon. The court order against Cremation Society of Kansas and Missouri (CSKM) was filed today in Jackson County Circuit Court.

Nixon filed a lawsuit against CSKM in November 2007, alleging that the business failed to comply with Missouri law and continued to operate in the state without a pre-need registration after being notified to stop. Missouri law requires that businesses that sell and provide pre-need funeral plans must be registered with the State Board of Embalmers and Funeral Directors. On May 18, 2007, the Attorney General sent CSKM, which services metropolitan Kansas City on both sides of the state line, a cease and desist letter advising the business that it was not in compliance with Missouri law and that it had to stop all activity involving Missouri residents until it was properly registered.

Nixon also alleged that CSKM failed to properly protect the funds paid by consumers who may have purchased pre-paid funeral plans because the business had not deposited the funds into a trust account as required by Missouri law.

The Attorney General's office received complaints about CSKM, stating that the business misrepresented to them that it was properly registered and licensed to sell pre-need funeral plans and provide funeral services to Missouri consumers.

Under today's judgment, CSKM agrees to abide by Missouri's consumer protection laws, and its pre-need funeral plan and funeral establishment laws. The business will also comply with the following specific conditions:

• To maintain all applicable licenses and registration current and active with the state board as long as it sells and provides pre-need contracts to Missouri consumers;
• To appear before the state board upon its request and fully cooperate with any inspection or request for information with respect to the selling and providing of pre-need funeral plans;
• To make available upon request complete access to its books and records relating to the sale of Missouri pre-need contracts to the Attorney General's Office;
• To promptly report to the state board any violation of today's consent judgment.

In addition, CSKM has made a payment of $7,000 to the state to cover the costs of the investigation and enforcement of the case.

Read funeral arrangements section of the "Life Choices" publication

Inquiries from consumers should be directed to consumer@ago.mo.gov or 1-800-392-8222 (from within Missouri) or 573-751-3321 (outside Missouri).

All media inquiries should be directed to Press Secretary John Fougere.

E-mail      Phone: 573-751-8844         Fax: 573-751-5818