What rights does a seller have regarding cancellation of a trust or joint account preneed?

A seller has specific rights concerning the cancellation of a trust or joint account preneed, particularly when it comes to the obligations of the purchaser. In Kentucky, if a purchaser is in default for more than 60 days, the seller is authorized to cancel the preneed agreement. This provision protects sellers by allowing them to address situations where a buyer fails to meet their payment obligations for an extended period.

The rationale behind this regulation is to maintain fairness and ensure that sellers can manage their financial risks associated with preneed contracts. Allowing cancellation after a clear period of default serves both the interests of the seller and promotes accountability among buyers. It ensures that preneed agreements are honored and upheld, providing a balance between the rights of sellers and the responsibilities of purchasers.