A Bill for an Act
Page 1, Line 101Concerning protections for consumers who utilize funeral
Page 1, Line 102services, and, in connection therewith, distinguishing
Page 1, Line 103transportation protection agreements from preneed
Page 1, Line 104contracts and establishing a violation under the
Page 1, Line 105"Colorado Consumer Protection Act" and under the
Page 1, Line 106"Mortuary Science Code" for a funeral director who
Page 1, Line 107commits theft of a client's money.
Bill Summary
(Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov.)
Under current law, a "preneed contract" is a contract, agreement, or mutual understanding, or any security or other instrument that is convertible into a contract, agreement, or mutual understanding, whereby, upon the death of the preneed contract beneficiary, a final resting place, merchandise, or services are provided or performed in connection with the final disposition of the beneficiary's body. The bill states that a preneed contract does not include a transportation protection agreement, which is an agreement that primarily provides for the coordination or arrangement, by a third party that is not a general provider, of services related to:
- The preparation of human remains for the purpose of transportation; or
- The transportation of human remains.
The bill also makes it a deceptive trade practice under the "Colorado Consumer Protection Act" as well as an unlawful act under the "Mortuary Science Code" for a funeral director to commit theft of money that a client paid for funeral services.
Page 2, Line 1Be it enacted by the General Assembly of the State of Colorado:
Page 2, Line 2SECTION 1. In Colorado Revised Statutes, 10-15-102, amend (13)(b); and add (16.5) as follows:
Page 2, Line 310-15-102. Definitions. As used in this article 15, unless the context otherwise requires:
Page 2, Line 4(13) (b) "Preneed contract" does not include:
Page 2, Line 5(I) A contract for merchandise whereby the buyer takes physical possession of the merchandise at the time of entering into the contract; or
Page 2, Line 6(II) A transportation protection agreement.
Page 2, Line 7(16.5) "Transportation protection agreement" means an
Page 2, Line 8agreement that primarily provides for the coordination and
Page 2, Line 9arrangement, by a third party that is not a general provider, of services related to:
Page 2, Line 10(a) The preparation of human remains for the purpose of
Page 2, Line 11transportation; or
(b) The transportation of human remains.
Page 3, Line 1SECTION 2. In Colorado Revised Statutes, add 6-1-737 as follows:
Page 3, Line 26-1-737. Funeral directors - theft of client funds - deceptive
Page 3, Line 3trade practice.A funeral director, as defined in section
Page 3, Line 412-135-103 (15), engages in a deceptive trade practice when the
Page 3, Line 5funeral director commits theft, as described in section 18-4-401,
Page 3, Line 6of money that a client or prospective client has paid to the
Page 3, Line 7funeral director in exchange for funeral services, as defined in section 12-135-103 (18).
Page 3, Line 8SECTION 3. In Colorado Revised Statutes, 6-1-105, add (1)(iiii) as follows:
Page 3, Line 96-1-105. Unfair or deceptive trade practices - definitions.
Page 3, Line 10(1) A person engages in a deceptive trade practice when, in the course of the person's business, vocation, or occupation, the person:
Page 3, Line 11(iiii) Violates section 6-1-737.
Page 3, Line 12SECTION 4. In Colorado Revised Statutes, 12-135-105, add (1)(t) as follows:
Page 3, Line 1312-135-105. Unlawful acts. (1) It is unlawful:
(t) For a funeral director to violate section 6-1-737.
Page 3, Line 14SECTION 5. Act subject to petition - effective date -
Page 3, Line 15applicability. (1) This act takes effect at 12:01 a.m. on the day following
Page 3, Line 16the expiration of the ninety-day period after final adjournment of the
Page 3, Line 17general assembly; except that, if a referendum petition is filed pursuant
Page 3, Line 18to section 1 (3) of article V of the state constitution against this act or an
Page 3, Line 19item, section, or part of this act within such period, then the act, item,
Page 3, Line 20section, or part will not take effect unless approved by the people at the
Page 4, Line 1general election to be held in November 2026 and, in such case, will take
Page 4, Line 2effect on the date of the official declaration of the vote thereon by the governor.
Page 4, Line 3(2) This act applies to offenses committed on or after the applicable effective date of this act.