Title XIII, COMMERCE (Ch. 505 - 554I)

1. A financial institution may serve as a trustee if granted those powers under the laws of this state or of the United States. A financial institution acting as a trustee of trust funds under this chapter shall invest the funds in accordance with applicable law. 2. A financial i…

1. A preneed seller shall file an annual report with the commissioner not later than April 15 on a form prescribed by the commissioner. 2. A preneed seller filing an annual report shall pay a filing fee of ten dollars per purchase agreement sold during the year covered by the rep…

1. A financial institution shall file with the commissioner not later than March 1 of each year an annual report on a form prescribed by the commissioner showing all funds deposited by a seller under a trust agreement during the previous year. Each report shall contain all inform…

1. The commissioner may conduct an examination under this chapter of any seller as often as the commissioner deems appropriate. If a seller has a trust arrangement, the commissioner shall conduct an examination of such seller doing business in this state not less than once every …

1. A purchase agreement shall not be sold or transferred as part of the sale of a business, or of the assets of a business, until the seller of the business has provided all of the following to the buyer of the business: a. A copy of the most recent annual report filed with the c…

As used in sections 523A.302 and 523A.303 , “director” means the director of health and human services. 2001 Acts, ch 118, §25 ; 2023 Acts, ch 19, §1219

If a burial trust fund identifies, either in the trust fund records or in a related purchase agreement, the seller who will provide the cemetery merchandise, funeral merchandise, funeral services, or a combination thereof, the trust fund records or the related purchase agreements…

1. If funds remain in a nonguaranteed irrevocable burial trust fund or from the proceeds of an insurance policy or annuity made payable or assigned to the seller or a provider after the payment of funeral and burial expenses in accordance with the conditions and terms of the purc…

1. A purchase agreement may be funded by insurance proceeds derived from a new or existing insurance policy issued by an insurance company authorized to do business and doing business within this state. 2. Such funding may be in lieu of the trusting requirements of this chapter w…

1. A purchase agreement may be funded by proceeds derived from a new or existing annuity issued by an insurance company authorized to do business and doing business within this state. 2. Such funding may be in lieu of the trust requirements of this chapter when the purchaser assi…

1. A purchase agreement may be funded by proceeds derived from a certificate of deposit in the name of the purchaser made payable to the seller upon the purchaser’s death. 2. The seller of a purchase agreement subject to this chapter which is to be funded by a certificate of depo…

1. Trust requirements do not apply to payments made pursuant to a purchase agreement executed prior to July 1, 2007, for outer burial containers made of either polystyrene or polypropylene or cemetery merchandise delivered to the purchaser or stored in an independent third-party …

The commissioner shall, by rule, establish terms and conditions under which a seller may, in lieu of trust requirements, file with the commissioner a surety bond issued by a surety company authorized to do business and doing business in this state. 2001 Acts, ch 118, §32 ; 2001 A…

1. A person shall not advertise, sell, promote, or offer to furnish cemetery merchandise, funeral merchandise, funeral services, or a combination thereof when performance or delivery may be more than one hundred twenty days following the initial payment on the account unless the …

1. A person shall not advertise, sell, promote, or offer to furnish cemetery merchandise, funeral merchandise, funeral services, or a combination thereof when performance or delivery may be more than one hundred twenty days following initial payment on the account unless the pers…

1. No later than April 15, a sales agent shall file an annual report with the commissioner on a form prescribed by the commissioner describing each purchase agreement sold by the sales agent during the year. An annual report must be filed whether or not a sales agent sold any pur…

1. The commissioner may, pursuant to chapter 17A , deny any license application, or immediately suspend, revoke, or otherwise impose disciplinary action related to any license issued under section 523A.501 or 523A.502 for several reasons, including but not limited to: a. Committi…

1. A sales agent, and any person who owns at least five percent of a preneed seller business, shall have an ongoing duty to disclose to the commissioner all felony crimes and those misdemeanor-level crimes involving dishonesty or false statement for which the sales agent or perso…

A preneed seller shall establish, implement, and maintain written procedures relating to business continuity and succession planning. The business continuity and succession plan shall be based upon the specific facts and circumstances of the preneed seller’s business model includ…

1. A purchase agreement for cemetery merchandise, funeral merchandise, funeral services, or a combination thereof shall be written in clear, understandable language, and shall be printed or typed in an easy-to-read font, size, and style, and shall: a. Identify the preneed seller …

1. A seller shall furnish the purchaser with a completed copy of a purchase agreement pertaining to the sale at the time the purchase agreement is signed. The seller shall comply with the following terms: a. The same language shall be used in both the oral sales representation an…

1. If a purchase agreement is funded with an insurance policy or an annuity, the purchaser shall receive a notice thereof from the insurance company within sixty days of making payment. The notice shall include the name and address of the insurance company, the policy number of t…

Purchase agreements for cemetery merchandise, funeral merchandise, funeral services, or a combination thereof shall be sequentially numbered by each seller in compliance with procedures specified by the commissioner by rules adopted under chapter 17A . 2007 Acts, ch 175, §24

If a purchase agreement funded by insurance proceeds under section 523A.401 or by annuity proceeds under section 523A.402 includes nonguaranteed merchandise or services, the purchaser, beneficiary, or the beneficiary’s estate shall receive a credit for, and the benefit of, any gr…

It is unlawful for a person to make or cause to be made, in any document filed with the commissioner or in any proceeding under this chapter , any statement of material fact which is, at the time and in the light of the circumstances under which it is made, false or misleading, o…

It is unlawful for a seller under this chapter to represent or imply in any manner that the seller has been sponsored, recommended, or approved, or that the seller’s abilities or qualifications have in any respect been passed upon, by the commissioner. 2001 Acts, ch 118, §39

Except as otherwise provided in section 523A.704 , a person who willfully commits any of the following acts commits a fraudulent practice and is punishable as provided in chapter 714 : 1. Fails to comply with any requirement of this chapter , or any rule adopted or order issued u…

A person who willfully violates section 523A.501, subsection 1 , or section 523A.502, subsection 1 , is guilty of a class “D” felony. 2007 Acts, ch 175, §26 Referred to in §523A.703

1. This chapter shall be administered by the commissioner. The commissioner may employ officers, attorneys, accountants, and other employees as needed for administering this chapter . 2. It is unlawful for the commissioner or any administrative staff to use for personal benefit a…

1. This chapter applies to any advertisement, sale, promotion, or offer made by a person to furnish, upon the future death of a person named or implied in a purchase agreement, cemetery merchandise, funeral merchandise, funeral services, or a combination thereof. Burial accounts …

Service of process made on the commissioner as the agent for service of process shall be made as provided in section 505.30 . 2018 Acts, ch 1018, §15

1. The commissioner may, for the purpose of discovering violations of this chapter , implementing rules, or orders issued under this chapter : a. Make such public or private investigations within or outside of this state as the commissioner deems necessary to determine whether an…

1. The commissioner may order a seller to participate in mediation in any dispute regarding a purchase agreement. Mediation performed under this section shall be conducted by a mediator appointed by the commissioner and shall comply with the provisions of chapter 679C . 2. Mediat…

If it appears to the commissioner that a person has engaged or is about to engage in an act or practice constituting a violation of this chapter , implementing rules, or orders issued under this chapter , the commissioner or the attorney general may do either or both of the follo…

1. If a person fails or refuses to file any statement or report or to produce any books, accounts, papers, correspondence, memoranda, purchase agreements, files, or other documents or records, or to obey any subpoena issued by the commissioner, the commissioner may refer the matt…

1. A violation of this chapter or rules adopted or orders issued under this chapter is a violation of section 714.16, subsection 2 , paragraph “a” . The remedies and penalties provided by section 714.16 , including but not limited to injunctive relief and penalties, apply to viol…

1. To encourage uniform interpretation and administration of this chapter and effective regulation of the sale of cemetery merchandise, funeral merchandise, and funeral services, the commissioner may cooperate with any governmental law enforcement or regulatory agency. 2. This co…

1. Under chapter 17A , the commissioner may from time to time make, amend, and rescind such rules, forms, and orders as are necessary or appropriate for the protection of purchasers and the public and to administer the provisions of this chapter , its implementing rules, and orde…

1. A document is filed when it is received by the commissioner. 2. Requests for interpretive opinions may be granted in the commissioner’s discretion. 2001 Acts, ch 118, §50

The commissioner shall, by rule, develop a system and procedures and a format for electronic filing of documents required to be filed with the commissioner under this chapter . 2008 Acts, ch 1103, §9

1. The commissioner may notify the attorney general of the potential need for establishment of a receivership if a receivership is requested or consented to by a seller subject to this chapter . 2. The commissioner shall notify the attorney general of the potential need for estab…

The insurance division may authorize the creation of a special revenue fund in the state treasury, to be known as the insurance division regulatory fund. The commissioner shall allocate annually from the filing fees paid pursuant to section 523A.204 , two dollars for each purchas…

Upon a determination by the commissioner that grounds exist for an administrative license revocation or suspension action by the board of mortuary science under chapter 156 , the commissioner may forward to the board the grounds for the determination, including all evidence in th…

In addition to the filing fee paid pursuant to section 523A.204, subsection 2 , a seller filing an annual report shall pay an examination fee in the amount of five dollars for each purchase agreement subject to a filing fee that is sold between July 1, 2005, and December 31, 2007…

1. Grounds for liquidation. The commissioner may petition the district court for an order directing the commissioner to liquidate the business of a seller on either of the following grounds: a. The seller did not deposit funds pursuant to section 523A.201 or withdrew funds in a m…