Texas 2009 - 81st Regular

Texas House Bill HB2369 Compare Versions

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1	1	81R9500 YDB-F
2	2	By: Flynn H.B. No. 2369
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the sale of a cemetery plot; providing a criminal
8	8	penalty.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Section 711.001, Health and Safety Code, is
11	11	amended by adding Subdivision (2-a) to read as follows:
12	12	(2-a) "Cemetery broker" means a person who sells the
13	13	exclusive right of sepulture for another person. The term does not
14	14	include a person who:
15	15	(A) is an officer, agent, or employee of the
16	16	cemetery organization in which the plot is located; or
17	17	(B) originally purchased the exclusive right of
18	18	sepulture for personal use.
19	19	SECTION 2. Section 711.012(a), Health and Safety Code, is
20	20	amended to read as follows:
21	21	(a) The Finance Commission of Texas may adopt rules to
22	22	enforce and administer Sections 711.003, 711.008, 711.021-711.024,
23	23	711.032-711.035, 711.038, 711.0381, 711.040-711.042, 711.052,
24	24	711.061, and 711.062 relating to perpetual care cemeteries.
25	25	SECTION 3. The heading to Section 711.038, Health and
26	26	Safety Code, is amended to read as follows:
27	27	Sec. 711.038. SALE OF PLOTS BY CEMETERY ORGANIZATIONS.
28	28	SECTION 4. Section 711.038(e), Health and Safety Code, is
29	29	amended to read as follows:
30	30	(e) A person who is an officer, agent, or employee of the
31	31	cemetery organization or its affiliate is not required to be
32	32	licensed to sell a plot in a dedicated cemetery.
33	33	SECTION 5. Subchapter C, Chapter 711, Health and Safety
34	34	Code, is amended by adding Section 711.0381 to read as follows:
35	35	Sec. 711.0381. SALE OF PLOTS BY CERTAIN PERSONS. (a) A
36	36	person who is not an officer, agent, or employee of the cemetery
37	37	organization in which a plot is located may act as a cemetery broker
38	38	in the sale of the exclusive right of sepulture in the plot:
39	39	(1) if the person is:
40	40	(A) the person named as grantee in the quitclaim
41	41	agreement or other instrument of conveyance;
42	42	(B) an heir of the grantee as described by
43	43	Section 711.039; or
44	44	(C) the grantee's agent who is registered with
45	45	the commission;
46	46	(2) subject to the rules of the cemetery organization
47	47	and the restrictions in the quitclaim agreement or other instrument
48	48	of conveyance;
49	49	(3) after a quitclaim agreement or other instrument of
50	50	conveyance that is acceptable to the cemetery organization is filed
51	51	and recorded with the cemetery organization;
52	52	(4) after payment in full to the cemetery organization
53	53	of any fees related to the transfer of ownership of the exclusive
54	54	right of sepulture in the plot; and
55	55	(5) after payment in full of the purchase price of the
56	56	exclusive right of sepulture in the plot.
57	57	(b) A quitclaim agreement or other instrument evidencing
58	58	the conveyance of the exclusive right of sepulture must be filed
59	59	with the cemetery organization not later than the third business
60	60	day after the date of the sale, and must be signed by the person
61	61	named in the original instrument of conveyance as the transferor or
62	62	the transferee and by any agent assisting in the transfer of the
63	63	interment rights.
64	64	(c) The sale of the exclusive right of sepulture in a group
65	65	of interment rights that were conveyed collectively may not be
66	66	divided without the consent of the cemetery organization.
67	67	(d) A person selling the right of sepulture in a plot shall
68	68	collect and remit to the cemetery organization all fees required
69	69	under Section 712.028.
70	70	(e) A person selling the right of sepulture in a plot must
71	71	collect and remit all other fees as required by the rules of the
72	72	cemetery organization. Fees required by the rules of the cemetery
73	73	organization for the sale of the right of sepulture in a plot under
74	74	this section may not exceed the fees charged on the sale of the
75	75	right of sepulture in a plot by the cemetery organization under
76	76	Section 711.038.
77	77	(f) A cemetery broker must keep a record of each sale under
78	78	this section. The record must include:
79	79	(1) the name and address of the purchaser;
80	80	(2) the date of the purchase;
81	81	(3) a copy of the purchase agreement, with the name and
82	82	address of the cemetery;
83	83	(4) a specific description of the interment rights;
84	84	(5) the purchase price;
85	85	(6) the amount of fees collected and remitted in
86	86	accordance with Subsection (d); and
87	87	(7) information on the disposal of the purchase
88	88	agreement, including whether the agreement was conveyed, canceled,
89	89	or voided.
90	90	(g) A person acting as a cemetery broker may only use the
91	91	quitclaim agreement or other instrument conveying ownership that is
92	92	authorized by the cemetery organization in which the plot is
93	93	located.
94	94	(h) A person who is not an officer, agent, or employee of the
95	95	cemetery organization in which the plot is located must register
96	96	with the Finance Commission of Texas to act as a cemetery broker in
97	97	the sale of the exclusive right of sepulture in a plot.
98	98	SECTION 6. Section 711.052(a), Health and Safety Code, is
99	99	amended to read as follows:
100	100	(a) A person who is an individual, firm, association,
101	101	corporation, or municipality, or an officer, agent, or employee of
102	102	an individual, firm, association, corporation, or municipality,
103	103	commits an offense if the person:
104	104	(1) engages in a business for cemetery purposes in
105	105	this state other than through a corporation organized for that
106	106	purpose, if a corporation is required by law;
107	107	(2) fails or refuses to keep records of interment as
108	108	required by Sections 711.003 and 711.004;
109	109	(3) sells, offers to sell, or advertises for sale a
110	110	plot or the exclusive right of sepulture in a plot for purposes of
111	111	speculation or investment; [or]
112	112	(4) represents through advertising or printed
113	113	material that a retail department will be established for the
114	114	resale of the plots of plot purchasers, that specific improvements
115	115	will be made in the cemetery, or that specific merchandise or
116	116	services will be furnished to a plot owner, unless adequate funds or
117	117	reserves are created by the cemetery organization for the
118	118	represented purpose; or
119	119	(5) fails or refuses to keep records of sales or fails
120	120	or refuses to collect and remit fees as required by Section
121	121	711.0381.
122	122	SECTION 7. This Act takes effect immediately if it receives
123	123	a vote of two-thirds of all the members elected to each house, as
124	124	provided by Section 39, Article III, Texas Constitution. If this
125	125	Act does not receive the vote necessary for immediate effect, this
126	126	Act takes effect September 1, 2009.