Okla. Stat. tit. 36, § 36-7126

trust funds

A. Each organization shall establish and maintain a cemetery

merchandise trust fund with a financial institution having trust

powers. A cemetery merchandise trust fund shall at all times be in

the custody of a financial institution. Any cemetery merchandise

trust funds may be invested, reinvested, exchanged, retained, sold

and managed as a part of common trust funds in the manner provided

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in the Oklahoma Trust Act, Sections 175.1 through 175.57 of Title 60

of the Oklahoma Statutes, and any amendments thereto. A copy of

each contract or a written notice containing all relevant

information regarding the prepaid cemetery merchandise contracts for

which deposits are made shall be furnished to the financial

institution. The financial institution shall serve as trustee for

the purposes of the Cemetery Merchandise Trust Act.

B. Deposits to a cemetery merchandise trust fund shall be

carried in the name of the organization and the amounts deposited

therein may be commingled. Provided, however, the accounting

records shall establish a separate account for each prepaid cemetery

merchandise contract and shall show the amounts deposited, and the

income or loss accruing thereon, with respect to each prepaid

cemetery merchandise contract. The trustee shall reimburse the

organization for all income taxes and costs incurred with respect to

the operation of the fund, and the trustee shall be reimbursed from

the earnings of the fund for all reasonable costs incurred in

serving as trustee, including a reasonable fee for its services.

The taxes and costs shall be paid from earnings for the fund prior

to the allocation of earnings to the individual accounts.

C. An organization entering into a prepaid cemetery merchandise

contract shall be entitled to retain all of the purchase price under

the prepaid cemetery merchandise contract until it has received an

amount equal to thirty-five percent (35%) of the purchase price of

the cemetery merchandise sold in a prepaid cemetery merchandise

contract.

D. After an organization has received the amount it is entitled

to receive, in accordance with subsection C of this section, all

payments of the purchase price to the organization pursuant to a

prepaid cemetery merchandise contract shall be deposited by the

organization in a cemetery merchandise trust fund until such time as

the requirements of subsection E of this section have been satisfied

or delivery is made of the cemetery merchandise, or until an amount

satisfying the minimum funding requirement has been deposited.

Thereafter, all payments of the purchase price in excess of the

minimum funding requirement may be retained by the organization.

Deposits shall be made within ten (10) business days after the end

of the month in which such deposits are received by the

organization.

E. Annually, as of December 31 of each year, each organization

shall determine the wholesale cost for all cemetery merchandise

covered by a prepaid cemetery merchandise contract for which funds

are then held in a cemetery merchandise trust or in an individual

merchandise account. If the amount held with respect to a prepaid

cemetery merchandise contract exceeds the minimum funding required,

the excess shall be paid by the trustee of the cemetery merchandise

trust to the organization. In such event, no further deposit shall

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be required with respect to the prepaid cemetery merchandise

contract until such time as the amount held no longer exceeds the

minimum funding requirement. If the minimum funding requirement is

not satisfied, no amount shall be paid to or withdrawn by the

organization and the organization shall continue or shall resume, as

the case may be, making the deposits required by subsection D of

this section.

F. No part of the monies required to be held in a cemetery
t until such time as the amount held no longer exceeds the

minimum funding requirement. If the minimum funding requirement is

not satisfied, no amount shall be paid to or withdrawn by the

organization and the organization shall continue or shall resume, as

the case may be, making the deposits required by subsection D of

this section.

F. No part of the monies required to be held in a cemetery

merchandise trust fund pursuant to the provisions of the Cemetery

Merchandise Trust Act shall ever be used for any other purpose other

than investment as authorized by this section until delivery of the

cemetery merchandise is made.

G. Delivery of cemetery merchandise for the purposes of this

subsection may be accomplished in one of the following ways:

1. Actual and physical delivery of the cemetery merchandise to

the purchaser;

2. Physical attachment of the cemetery merchandise to realty or

cemetery space owned by the purchaser;

3. Certification by an approved manufacturer to the purchaser

that the organization has paid the wholesale price of the cemetery

merchandise and that the cemetery merchandise shall be delivered

upon request of the purchaser;

4. Written notification to the purchaser by the organization

that the cemetery merchandise is in the possession of the

organization and may be removed by the purchaser upon full payment

for the cemetery merchandise; and

5. When construction or permanent installation of the cemetery

merchandise has been completed, with respect to cemetery merchandise

which is affixed to realty.

H. Upon delivery of the cemetery merchandise pursuant to a

prepaid cemetery merchandise trust contract, the organization shall

present the trustee with a verified statement that delivery has been

made, and upon the presentation, the trustee shall pay to the

organization the amount of any funds held in trust with respect to

the cemetery merchandise delivered and no further deposits shall be

made with respect to the cemetery merchandise.

I. Should the buyer move to a community in which the cemetery

does not accept transfers of outer enclosures from the cemetery

which the buyer has entered into a cemetery merchandise contract,

the selling organization will refund sixty-five percent (65%) of the

retail price plus interest equal to the annual interest computed

from the date that the contract was paid in full based on the

passbook interest rate of the financial institution at the time that

the refund is requested.