Section 331-16-1 - Creation of Mortuary TrustA mortuary trust subject to 32 MRSA §1401 is created when:
1. Funds are entrusted by a payor to a funeral home as payee under an agreement that the funds will be used for expenses associated with funeral and burial services to be performed in the future upon the death of a designated beneficiary; or2. An existing life insurance policy has been assigned to the funeral home as beneficiary, or owner and beneficiary, under an agreement that the policy proceeds will be used for expenses associated with funeral and burial services to be performed in the future upon the death of the person insured. The funeral home has the obligations of a trustee with respect to the funds or the insurance policy and policy proceeds.
02-331 C.M.R. ch. 16, § 1