News

Preliminary Approval of Settlements in the Grandview Cemetery Class Action

On October 7, 2008, the Marion Superior Court preliminarily approved class action settlements relating to missing pre-need trust funds associated with the Grandview Memorial Gardens Cemetery in Madison, IN. Cohen & Malad, LLP filed the class action lawsuit in 2007 on behalf of thousands of individuals who pre-paid for burial goods (such as headstones, caskets, and burial containers) at the cemetery.

The lawsuit alleged that the cemetery owners had, among other things, failed to place those pre-payments into trust as required by Indiana law and had improperly withdrawn trust funds, leaving inadequate funds to provide the goods owed. The lawsuit also alleged that the banks who served as trustees failed to properly account for the trust funds and improperly disbursed money from the trust.

Under the settlements, Defendant Carriage Cemetery Services, Inc., a former cemetery owner, has agreed, among other things, to provide burial goods to all the customers pursuant to the terms of their contracts. This portion of the settlement essentially makes the class members whole with respect to the cemetery goods because it provides for them to receive all the various items that they originally purchased, with no claim process.

The settlement establishes a claims process for a subset of class members whose contracts appear to be in default or otherwise invalid, with an expedited arbitration procedure to determine the eligibility of those claims.

In addition, the banks who served as trustees have agreed to a cash settlement of $216,000 to resolve the claims against them.

If you have questions about the Grandview Cemetery Class Action Settlements or you require information on Cohen & Malad, LLP's class action practice contact Richard E. Shevitz, Class Action Practice Group Chair @317.636.6481 or via email: rshevitz@cohenandmalad.com