(a) The trustee shall be held responsible for all payments received for deposit in the perpetual care fund and pre-need trust. The trustee shall not withdraw money from the income of the perpetual care fund unless the cemetery authority submits a certified statement that withdrawals shall be used for the perpetual care of the cemetery, including reasonable administrative expenses incurred in connection with operating a perpetual care cemetery. Further, the trustee shall not withdraw money from the principal of the pre-need trust unless the cemetery or pre-need funeral authority submits a certified statement that the person entitled to the pre-need services or the assignee has received the services or that the purchaser has requested a refund of moneys.

Terms Used In Hawaii Revised Statutes 441-40

  • Cemetery: means any property, or part interest therein, dedicated to and used or intended to be used for the permanent interment of human remains. See Hawaii Revised Statutes 441-1
  • Perpetual care cemetery: means any cemetery or section of a cemetery, the plots, crypts, or niches of which are sold or disposed of, or are offered for sale or disposition, upon the representation that the plots, crypts, or niches will receive perpetual care. See Hawaii Revised Statutes 441-1
  • Perpetual care fund: means a fund separately maintained to provide for the perpetual care of a cemetery in conformity with this chapter. See Hawaii Revised Statutes 441-1
  • Person: means an individual, partnership, corporation, county, association, or any other group however organized. See Hawaii Revised Statutes 441-1
  • Pre-need funeral authority: means any person who is engaged in the business of selling pre-need funeral services, or holds money in trust to provide for future funeral services; provided that this shall not apply to the designated trustee of the funds. See Hawaii Revised Statutes 441-1
  • Pre-need trust: means a fund separately maintained to provide for the future services agreed to or contracted for by the pre-need funeral service plan participant or the pre-need interment service plan participant. See Hawaii Revised Statutes 441-1
  • Trustee: means a bank or a trust company, authorized to transact such business in the State, or a board of trustees appointed by the governing body of the cemetery and pre-need funeral authority, designated as trustee pursuant to a written trust agreement under the terms of this chapter for the funds deposited by an authority. See Hawaii Revised Statutes 441-1
  • Trustee: A person or institution holding and administering property in trust.
(b) For the purposes of asset management and safekeeping of the funds, the trustee shall have the authority to inquire into the propriety of expenditures made by a cemetery and pre-need funeral authority in connection with the operation of the authority’s business.
(c) The cemetery and pre-need funeral authority shall provide the trustee with the findings of the annual audit and actuarial study, which shall serve as guidelines in the management and safekeeping of the funds.

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