§ 1506-a. Cemetery corporations; restrictions.

(a) No cemetery corporation shall, directly or indirectly:

(1) sell, or have, enter into or perform a lease of any of its real
property to a funeral entity, or use any of its property for location of
a funeral entity;

(2) commingle its funds with a funeral entity;

(3) direct or carry on its business or affairs with a funeral entity;

(4) authorize control of its business or affairs by a funeral entity;

(5) engage in any sale or cross-marketing of goods or services with a
funeral entity;

(6) have or enter into or perform a management or service contract for
cemetery operations with a funeral entity; or

(7) have, enter into or perform a management contract with any entity
other than a not-for-profit cemetery corporation; provided, however,
that a not-for-profit cemetery corporation may enter into or perform a
management contract with a private cemetery corporation for the
operational management of a mausoleum or columbarium by such private
cemetery corporation provided such contract shall have first been
authorized by the board of the not-for-profit cemetery corporation.

(b) Only the provisions of subdivisions one and two of paragraph (a)
of this section shall apply to cemetery corporations with thirty acres
or less of real property dedicated to cemetery purposes, and only to the
extent the sale or lease is of real property dedicated to cemetery
purposes, and such cemeteries shall not engage in the sale of funeral
home goods or services, except if such goods and services are otherwise
permitted to be sold by cemeteries, nor shall a majority of the members
of the board of directors or trustees of such cemeteries be made up of
the representatives of a funeral entity.

(c) For the purposes of this section, "funeral entity" means a person,
partnership, corporation, limited liability company or other form of
business organization providing funeral home services, or owning,
controlling, conducting or affiliated with a funeral home, any
subsidiary thereof or an officer, director or stockholder having a ten
per centum or greater proprietary, beneficial, equitable or credit
interest in a funeral home.