AN ACT RELATIVE TO THE PUBLIC DISCLOSURE OF OWNERSHIP OF A CEMETERY CORPORATION.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
SECTION 1. Section 1A of chapter 114 of the General Laws, as appearing in the 2002 Official Edition, is hereby amended by adding the following paragraph:-
Nothing in this section shall affect or modify the liability of any person subject to this section for financial misconduct or fraud in the use of the assets of the corporation.
SECTION 2. Said chapter 114 is hereby further amended by inserting after section 2 the following section:-
Section 2A. A cemetery corporation organized under this chapter or created by special act or charter shall disclose to its clients whether an owner, director or trustee of the cemetery corporation owns 10 per cent or more of a business that sells products or services to the cemetery corporation of which he is owner, director or trustee. The information shall be available for review by the public during the business hours of the cemetery at the cemetery's place of business. Whoever violates this section shall be punished by a fine of $50 for each day of the violation.
SECTION 3. Said chapter 114 is hereby further amended by inserting after section 5B the following section:-
Section 5C. The corporation and its officers shall owe a fiduciary duty to a contributor to the trust fund, his heirs and legal representatives to hold and expend the funds strictly consistent with the purposes of section 5. A contributor to the trust fund, his heirs and legal representatives who were required to invest in the trust fund as a condition of purchasing a right of burial shall have all rights and protections of chapter 110A.