Media Release

4 October

Hon Sir Grant Hammond KNZM
President
Law Commission

Law Commission Assesses Case For Licensing Funeral Sector

The Law Commission is asking for public feedback on whether there is a case for stronger consumer protections for the bereaved when engaging the services of the funeral sector.

Among the options put forward in the Law Commission’s latest Issues Paper, The Legal Framework for Burial and Cremation in New Zealand: A First Principles Review is a requirement for all those providing professional funeral services to be licensed.

At present there is no industry-specific oversight of the funeral sector and although most of those providing such services are appropriately qualified and belong to their own professional body there is no legal requirement for them to do so.

Other options discussed in the paper include requiring funeral firms to proactively disclose information about their qualifications and the prices of the individual components of the services they offer.

The project’s lead Commissioner Dr Wayne Mapp said the market for funeral services was unique:

“Those making final arrangements are often faced with making sensitive decisions at a time when they are emotionally vulnerable and when they lack the time and information consumers normally have when making such significant expenditure decisions.”Dr Mapp said historically New Zealanders have been well served by family-based funeral directors who perform a vital role in their communities. While such businesses remain a feature of the sector, changes are occurring at both ends of the market.

“During our consultation with cemetery providers and funeral directors we were informed of a growth in the number of small (one or two-person) businesses, sometimes with little or no industry experience or formal training. In some cases these may be focusing on providing lower cost alternatives or servicing specific niche markets.

“In contrast, some evidence suggests that large corporations may play an increasingly significant role in the market, providing a range of funeral services through various subsidiaries, including operating several funeral homes, operating cremators and importing caskets.”

The objective of the Commission’s proposed reforms is to ensure that individuals remain free to make their own arrangements – including potentially dealing directly with the managers of cemeteries and crematoria – but that when they chose to engage professionals, they have access to the information and quality assurance systems to ensure they have the necessary consumer protections.

The Issues Paper is divided into four Parts, each of which focuses on different aspects of the review:

• Part 1 discusses the values and public interests which underpin the review and introduces some of the cultural and religious customs and practices which influence how different groups in New Zealand approach death.

• Part 2 focuses on the Burial and Cremation Act 1964 and assesses how well it is meeting New Zealanders’ needs with respect to the provision of places for burial and cremation.

• Part 3 focuses on the funeral services sector and examines the case for improving consumer protections.

• Part 4 focuses on the legal and customary frameworks within which decisions are made and disagreements resolved at the time of death. It asks whether there is a need to modernise the law and develop a more accessible mechanism for resolving difficult inter-cultural and inter-personal disputes which can arise among families at the time of death.

A stand-alone Summary is also available for download and is intended to be used as a public consultation document. It includes the key questions posed by the Commission in relation to the various options for reform contained in each Part of the Issues Paper.The Commission’s President Sir Grant Hammond says the Commission hoped New Zealanders from all walks of life will take this opportunity to make submissions on the paper and its reform proposals and thereby help inform the development of our laws in this important and sensitive area.

Submissions close on the 20th of December 2013 and can be made online at www.lawcom.govt.nz, emailed to burialreview@lawcom.govt.nz or posted to Burial Review, Law Commission, PO Box 2590, DX SP 23534, Wellington 6140.

The full Issues Paper, including a summary, can be found on the Commission’s website at http://www.lawcom.govt.nz/project/review-burial-and-cremation-act-1964/issues-paper/34 .

-ENDS-

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