{"id":"fair-trading-pre-paid-funerals-industry-code-regulations-2011","name":"Fair Trading (Pre-paid Funerals Industry Code) Regulations 2011","slug":"fair-trading-pre-paid-funerals-industry-code-regulations-2011","collection":"regulation","jurisdiction":"sa","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":235492,"registerId":"sa-fair-trading-pre-paid-funerals-industry-code-regulations-2011-current","compilationNumber":null,"startDate":"2026-04-06","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Fair Trading (Pre-paid Funerals Industry Code) Regulations 2011","content":"South Australia\nFair Trading (Pre-paid Funerals Industry Code) Regulations 2011\nunder the Fair Trading Act 1987\n\nContents\n1\tShort title\n2\tInterpretation\n2A\tPrescription of code\n3\tContravention of code subject to civil penalty\nSchedule 1—Pre-paid Funerals Industry Code\n1\tShort title\n2\tInterpretation\n3\tObligations of funeral director\n4\tObligations of approved investment manager\nLegislative history\n\n1—Short title\nThese regulations may be cited as the Fair Trading (Pre-paid Funerals Industry Code) Regulations 2011.\n2—Interpretation\nIn these regulations—\nAct means the Fair Trading Act 1987;\ncivil penalty contravention has the same meaning as in Part 7 Division 3A of the Act;\ncode means the Pre-paid Funerals Industry Code 2011 set out in Schedule 1.\n2A—Prescription of code\n\t(1)\tThe code is prescribed as an industry code for the purposes of Part 3A of the Act.\n\t(2)\tThe Commissioner for Consumer Affairs is responsible for the administration of the code.\nNote—\nUnder clause 37(2) of Schedule 1 of the Small Business Commissioner Act 2011, the code is taken to have been prescribed as an industry code.\n3—Contravention of code subject to civil penalty\n\t(1)\tA contravention of section 28E of the Act constituted of a contravention of the code is to be subject to a civil penalty under Part 7 Division 3A of the Act.\n\t(2)\tThe expiation fee for an alleged civil penalty contravention involving an alleged contravention or attempted contravention of the code (other than an alleged contravention or attempted contravention of clause 3(2) of the code) is $500.\nSchedule 1—Pre-paid Funerals Industry Code\n1—Short title\nThis code may be cited as the Pre-paid Funerals Industry Code 2011.\n2—Interpretation\nIn this code—\napproved investment, in relation to the investment of pre‑paid funeral costs, means a bond, endowment policy or other similar form of investment, the terms of which provide that the investment cannot be realised except on production of—\n\t(a)\ta death certificate relating to the recipient of the funeral; or\n\t(b)\ta duly signed notice of cancellation of the pre‑paid funeral contract;\napproved investment manager means—\n\t(a)\ta body corporate carrying on life insurance business under the Life Insurance Act 1995 of the Commonwealth, as amended from time to time, or an Act of the Commonwealth passed in substitution for that Act; or\n\t(b)\ta friendly society; or\n\t(c)\ta licensed trustee company within the meaning of Chapter 5D of the Corporations Act 2001 of the Commonwealth; or\n\t(d)\tthe Public Trustee; or\n\t(e)\tthe Catholic Church Endowment Society Incorporated; or\n\t(f)\tany other body that—\n\t(i)\tcarries on the business of investing money on behalf of other persons; and\n\t(ii)\tis approved by the Commissioner for the purposes of this code (who must be satisfied that the body has adequate insurance cover for all money received in relation to a pre‑paid funeral);\nclient means a person who enters into a pre‑paid funeral contract with a funeral director;\nfuneral director means a person or body who carries on the business of providing funeral services;\npre-paid funeral contract means a contract (entered into during the life of the recipient) between a client and a funeral director under which the funeral director agrees to arrange a funeral for the recipient, being a funeral that is to be wholly or partly paid for on the making of the contract;\nrecipient means the person whose funeral is to be arranged pursuant to a pre‑paid funeral contract.\n3—Obligations of funeral director\n\t(1)\tA funeral director must ensure that a pre‑paid funeral contract to which the funeral director is a party—\n\t(a)\tis in writing in a print size of not less than 12 points; and\n\t(b)\tis signed by all the parties.\n\t(2)\tIf a pre-paid funeral contract is not to be signed by the recipient on the ground that the recipient lacks legal capacity to enter into the contract, the funeral director must—\n\t(a)\tsight the power of attorney, guardianship order or other instrument that evidences the client's authority to enter into the contract on the recipient's behalf; or\n\t(b)\tif the client does not have any authority to enter into the contract on the recipient's behalf—take reasonable steps to verify the recipient's lack of legal capacity.\n\t(3)\tA pre-paid funeral contract must set out—\n\t(a)\tthe date of the contract; and\n\t(b)\tthe name, business address and telephone number of the funeral director; and\n\t(c)\tthe name, business address and telephone number of the approved investment manager with whom the costs of the funeral are to be deposited; and\n\t(d)\tthe name and residential address of the client; and\n\t(e)\tif the client is not the recipient—the name and residential address of the recipient; and\n\t(f)\tthe name, address and, if available, telephone number of the person or persons to be contacted in the event of the recipient's death.\n\t(4)\tA pre-paid funeral contract must contain—\n\t(a)\tthe following particulars of the funeral to be arranged by the funeral director on the death of the recipient:\n\t(i)\tthe name and address of the church, crematorium, funeral chapel or other place at which the funeral service is to be held;\n\t(ii)\tthe manner of disposal of the recipient's remains;\n\t(iii)\tif the recipient's remains are to be interred—the name and address of the cemetery at which they are to be interred;\n\t(iv)\tthe type and style of coffin or other container to be used, the materials of which it is made and details of linings, fittings and mountings;\n\t(v)\tif the recipient's remains are to be cremated and interred in an urn or other container—the type and style of urn or other container and the materials of which it is made;\n\t(vi)\tif there is an interment right in force for the benefit of the recipient—\n\t(A)\tthe name of the holder of the interment right; and\n\t(B)\tthe name of the cemetery authority that granted the right; and\n\t(C)\tthe period for which the interment right was granted; and\n\t(D)\tthe nature and location of the interment site;\n\t(vii)\tif there is a separate contract for a pre‑paid memorial for the recipient—\n\t(A)\tthe names of the parties; and\n\t(B)\ta description of the memorial to be provided; and\n\t(C)\ta statement as to whether the costs of the memorial have been fully paid; and\n\t(b)\tparticulars of the following matters associated with the funeral:\n\t(i)\tfloral arrangements;\n\t(ii)\tdeath and funeral notices;\n\t(iii)\tmourning coaches;\n\t(iv)\tthe funeral service, including use of clergy or a funeral celebrant;\n\t(v)\tmemorial work; and\n\t(c)\tparticulars of any other requirements associated with the funeral.\n\t(5)\tA pre-paid funeral contract must set out—\n\t(a)\tthe total cost of the funeral to be arranged under the contract; and\n\t(b)\tthe costs associated with each matter in relation to which particulars are provided under subclause (4); and\n\t(c)\tthe costs associated with any documentary material required in connection with funeral arrangements, such as a copy of the certificate of cause of death; and\n\t(d)\tany charges that may be levied for transportation of the recipient's remains and the circumstances in which they will apply; and\n\t(e)\tany amount to be retained by the funeral director for expenses to be incurred in advance of the recipient's death (such as the issue of an interment right); and\n\t(f)\tthe financial and other arrangements that will apply—\n\t(i)\tif the funeral director ceases to carry on business before the contract is performed; or\n\t(ii)\tif the funeral director is unable for any other reason to perform the contract; and\n\t(g)\tif there is to be a right of cancellation—\n\t(i)\tthe person who may exercise the right; and\n\t(ii)\tthe manner in which the right may be exercised; and\n\t(iii)\tthe financial arrangements that will apply, including the period of notice required for the withdrawal of funds deposited with the approved investment manager; and\n\t(iv)\tthe following note in bold type:\nNOTE—FOR INFORMATION OF CANCELLING PARTY\nIt will be important to consider the taxation and social security implications of cancellation of the contract.; and\n\t(h)\tthe following note in bold type:\nNOTE: Clients are advised to ensure that the recipient's next‑of‑kin and executor are aware of the existence of the pre‑paid funeral contract.\n\t(6)\tA funeral director who enters into a pre-paid funeral contract must ensure that, on the signing of the contract, a signed copy of it is given to all the parties.\n\t(7)\tA funeral director who enters into a pre-paid funeral contract must, within 7 days of receiving money from a client (other than an amount referred to in subclause (5)(e))—\n\t(a)\ttransfer the money to the approved investment manager specified in the contract; and\n\t(b)\tgive the approved investment manager a notice in writing setting out the provisions of the contract relating to the matters referred to in subclause (5)(f) and (g)(i), (ii) and (iii).\n4—Obligations of approved investment manager\nAn approved investment manager must, within 28 days of receiving money from a funeral director for a pre‑paid funeral—\n\t(a)\tinvest the money in an approved investment; and\n\t(b)\tgive the client and funeral director a written notice specifying—\n\t(i)\tthe name of the funeral director; and\n\t(ii)\tthe name of the client; and\n\t(iii)\tif the client is not the recipient—the name of the recipient; and\n\t(iv)\tthe name of the approved investment manager; and\n\t(v)\tthe amount of money received; and\n\t(vi)\tthe amount of money paid for initial management expenses and commission to the approved investment manager or any other person; and\n\t(vii)\tthe amount of money invested; and\n\t(viii)\tparticulars of the form of the approved investment in which the money has been invested.\nLegislative history\nNotes\n\t•\tFor further information relating to the Act and subordinate legislation made under the Act see the Index of South Australian Statutes or www.legislation.sa.gov.au.\nFormerly\nFair Trading (Pre-paid Funerals Code of Practice) Regulations 2011\nLegislation revoked by principal regulations\nThe Fair Trading (Pre-paid Funerals Industry Code) Regulations 2011 revoked the following:\nFair Trading (Pre-paid Funerals Code of Practice) Regulations 1996\nPrincipal regulations and variations\nNew entries appear in bold.\nYear\nNo\nReference\nCommencement\n2011\n194\nGazette 11.8.2011 p3433\n1.9.2011: r 2\n2012\n15\nGazette 15.3.2012 p1002\n22.3.2012: r 2\nProvisions varied\nNew entries appear in bold.\nEntries that relate to provisions that have been deleted appear in italics.\nProvision\nHow varied\nCommencement\nr 1\nvaried by 15/2012 r 4\n22.3.2012\nr 2\nsubstituted by 15/2012 r 5\n22.3.2012\nr 2A\ninserted by 15/2012 r 5\n22.3.2012\nr 3\nsubstituted by 15/2012 r 5\n22.3.2012\nSch 1\n\n\nheading\nsubstituted by 15/2012 r 6\n22.3.2012\ncl 1\nvaried by 15/2012 r 7\n22.3.2012\nSch 2\nomitted under Legislation Revision and Publication Act 2002\n22.3.2012\n","sortOrder":0}],"analysis":{"issue_detection":{"absurdities":[],"contradictions":[]},"kimi_summary":{"content_quality":"ok","complexity_score":4,"scope_assessment":{"changed":false,"description":"The legislation appears consistent with its original intent. The 2012 amendments were technical in nature (updating references, inserting administration provisions, and removing an obsolete Schedule 2) rather than expanding the scope beyond consumer protection in pre-paid funeral arrangements. The code maintains its focused purpose of regulating contract standards and fund security for pre-paid funerals."},"complexity_factors":["Moderate length with 2 main operative sections (funeral director obligations and investment manager obligations) plus interpretation provisions","14 defined terms across the regulations and code, including nested definitions (e.g., 'approved investment' defined by reference to 'pre-paid funeral costs')","Cross-references to multiple external statutes: Fair Trading Act 1987 (SA), Life Insurance Act 1995 (Cth), Corporations Act 2001 (Cth), Small Business Commissioner Act 2011 (SA)","Detailed prescriptive requirements in clause 3(4)-(5) with 7 sub-paragraphs and multiple sub-sub-paragraphs specifying exact contract contents","Conditional logic in clause 3(2) regarding recipients lacking legal capacity, requiring verification of authority or incapacity","Specific procedural timeframes (7 days for funeral directors to transfer money, 28 days for investment managers to invest)","Exception for retention amounts in clause 3(5)(e) and specific exclusion from expiation fee for clause 3(2) breaches","Administrative overlay with Commissioner for Consumer Affairs responsible for approving additional investment managers"],"plain_english_summary":"**What this legislation does:**\n\nThese regulations create a mandatory **industry code** (a set of rules) for the pre-paid funeral industry in South Australia. They protect consumers who pay for their funerals in advance by setting strict rules about how funeral directors and investment managers must handle the money and paperwork.\n\n**Who it affects:**\n\n- **Funeral directors** – must follow detailed rules about contracts, disclosure, and handling client money\n- **Approved investment managers** – the financial institutions (like life insurers, friendly societies, or trustee companies) that hold the pre-paid funeral money\n- **Clients** – people paying for funerals in advance (either for themselves or someone else)\n- **Recipients** – the person whose funeral is being paid for\n\n**Key protections:**\n\n- **Written contracts required** – must be in 12-point font or larger, signed by all parties, and include specific details about the funeral services, costs, and cancellation rights\n- **Money must be protected** – funeral directors must transfer client money to approved investment managers within 7 days, and managers must invest it in secure \"approved investments\" (like bonds or endowment policies) within 28 days\n- **Money locked away** – investments can only be accessed when the person dies or the contract is cancelled\n- **Clear information** – contracts must include notes about tax/social security implications of cancellation and advise clients to tell their family about the contract\n- **Penalties apply** – breaking the rules can result in civil penalties (fines), with a $500 on-the-spot fine for most breaches\n\n**Why it matters:**\n\nPre-paid funerals involve vulnerable consumers dealing with emotionally difficult decisions and significant sums of money that may sit untouched for years or decades. This legislation ensures the money is kept safe, properly invested, and only used for its intended purpose – protecting grieving families from discovering that funds have disappeared or been misused."},"flash_summary":{"complexity_score":4,"scope_assessment":{"changed":true,"description":"The 2011 regulations replace the earlier 1996 Code (legislative history) and formally prescribe the Pre-paid Funerals Industry Code as an industry code under Part 3A of the Fair Trading Act (r 2A). They centralise administration with the Commissioner for Consumer Affairs, introduce civil penalty exposure and a $500 expiation fee for most alleged contraventions (r 3), and set specific operational duties for funeral directors (contract form, transfer of client funds within 7 days (Sch 1 cl 3(7))) and approved investment managers (invest in approved investments and notify parties within 28 days (Sch 1 cl 4))."},"complexity_factors":["Cross-references to multiple other Acts (Fair Trading Act 1987, Life Insurance Act 1995, Corporations Act 2001) increasing legal interplay","Multiple defined categories and roles (client, recipient, funeral director, approved investment manager) with eligibility and approval criteria","Detailed contractual disclosure requirements (many mandatory items and notices) raising compliance burden for funeral directors (Sch 1 cl 3(3)–(6))","Time-sensitive operational duties: transfer of funds within 7 days by funeral directors (Sch 1 cl 3(7)) and investment/notice by managers within 28 days (Sch 1 cl 4)","Enforcement via civil penalties and a fixed expiation fee, including an exception for one clause (r 3(1)–(2))","Commissioner discretion to approve other investment managers subject to insurance adequacy (Sch 1 cl 2 definition of approved investment manager)"],"plain_english_summary":"These regulations prescribe the Pre-paid Funerals Industry Code 2011 as a legally enforceable industry code under the Fair Trading Act 1987, make the Commissioner for Consumer Affairs the administrator, and subject breaches to civil penalty proceedings (with a $500 expiation fee for most alleged breaches). The code sets binding rules on funeral directors (written, signed contracts, detailed mandatory disclosures, transfer of client money within 7 days) and on approved investment managers (invest funds in specified instruments within 28 days and notify parties of amounts and fees)."},"flash_summary_failed":{"failed":true,"reason":"Unauthenticated. Configure AI_GATEWAY_API_KEY or use a provider module. Learn more: https://ai-sdk.dev/unauthenticated-ai-gateway","source":"analysis-cron"},"summary":{"complexity_score":1,"scope_assessment":{"changed":false,"description":"Scope cannot be assessed as the legislative text was not available. No comparison between original intent and final form is possible from the retrieved content."},"complexity_factors":["Legislative text was not retrievable — only the page title and a 'Page Not Found' error were returned","No substantive content available to assess regulatory complexity, cross-references, definitions, or obligations","Complexity score of 1 reflects the absence of analysable content, not an assessment of the actual legislation"],"plain_english_summary":"This South Australian regulation sets an industry code for businesses that sell pre‑paid funeral plans, imposing rules under the Fair Trading Act to protect consumers who pay for funerals in advance.  \n\nIt matters to anyone who has bought or is considering a pre‑paid funeral plan in SA because it aims to ensure providers handle funds properly and honour their promises for a service bought years before it’s needed."}},"importantCases":[],"_links":{"self":"/api/acts/fair-trading-pre-paid-funerals-industry-code-regulations-2011","history":"/api/acts/fair-trading-pre-paid-funerals-industry-code-regulations-2011/history","analysis":"/api/acts/fair-trading-pre-paid-funerals-industry-code-regulations-2011/analysis","conflicts":"/api/acts/fair-trading-pre-paid-funerals-industry-code-regulations-2011/conflicts","importantCases":"/api/acts/fair-trading-pre-paid-funerals-industry-code-regulations-2011/important-cases","documents":"/api/acts/fair-trading-pre-paid-funerals-industry-code-regulations-2011/documents"}}