In a recent episode of Funeral Nation, Poul Lemasters, a noted expert in the deathcare legal landscape and author of “Cover Your Ass,” shared insights on three significant federal developments affecting the deathcare profession. His perspectives offer a deep dive into the legal intricacies and potential implications of these emerging rules.
1. The Funeral Rule
The Federal Trade Commission’s (FTC) Funeral Rule, aimed at promoting price transparency and preventing deceptive practices in the funeral profession, is undergoing revisions. Lemasters, who recently met with FTC officials, anticipates new proposals focusing on online price disclosures. This move towards digital transparency aligns with the broader trend of consumer empowerment, although it may pose challenges for smaller, less technologically adept funeral homes.
2. Non-Compete Clauses
A startling development is the potential invalidation of existing and future non-compete agreements. Lemasters highlights the profound implications for the deathcare sector, especially concerning the valuation of funeral homes with legacy names. The proposed changes could drastically affect the dynamics of business sales and succession, possibly diminishing the value of established funeral home names.
3. Junk Fee Rule
The proposed “Junk Fee Rule” aims to eradicate hidden fees across all industries. Lemasters notes the ironic twist for the deathcare profession: its existing regulation under the Funeral Rule has long mandated clear fee disclosures. This broader initiative could standardize transparency across various sectors, aligning them with practices the deathcare profession has already adopted.
Lemasters also touched on the importance of transparency in business practices, a consistent theme in his consultations. He stresses that while these regulatory changes aim to protect consumers, they also present a landscape where businesses must adapt swiftly to maintain compliance and competitiveness.
The potential impact of these regulatory changes on the deathcare profession is profound. From the way prices are displayed online to the legal agreements that bind business transactions, each element signifies a shift towards greater transparency and consumer protection. However, these shifts also bring challenges, especially for smaller or less technologically equipped funeral homes.
As the profession awaits further details and final rulings on these issues, Lemasters’ insights offer a valuable perspective for funeral homes navigating these evolving legal waters. His advice: embracing transparency and preparing for changes is key to staying ahead in a profession marked by both tradition and inevitable transformation.
