                                 CODE OF VIRGINIA

SPECIFIC FUNDS AND INCOME TO REMAIN IN PRENEED TRUST ACCOUNT; EXCEPTION (§
54.1-2330)

Specific funds shall remain intact until the property is delivered or services
performed as specified in the contract. The net income from the preneed trust
account, after payment of any appropriate trustee fees, commissions, and costs,
shall remain in the account and be reinvested and compounded. Any trustee fees,
commissions, and costs in excess of income shall be paid by the cemetery company
and not from the trust. However, the trustee shall, as of the close of the
cemetery company&#8217;s fiscal year, upon written assurance to the trustee of a
certified public accountant employed by the seller, return to the seller any
income in the seller&#8217;s account which, when added to the specific funds, is
in excess of the current cost requirements for all undelivered property or
services included in the seller&#8217;s preneed burial contracts. The
seller&#8217;s cost requirements shall be certified in its records by an
affidavit sworn by the compliance agent and shall be determined by the seller as
of the close of the cemetery company&#8217;s fiscal year.

HISTORY: 1998, cc. 708, 721.