Dear website visitor,
Welcome to the new
issue of our newsletter. The two articles this month reflect divergent views
surrounding the lawsuit that has been filed against us regarding Profits of Death
and my recent appearance on CBS Television's 60 Minutes.
The first article is
from Albion Monitor/News:
"Funeral Industry Goliath Sues Small
Publisher"
The second article is
from The American Funeral Director:
"Industry Reacts to '60 Minutes' Segment -- 'Same Old
Story'"
Darryl
J. Roberts
This article first appeared in the Albion Monitor/News (http://www.monitor.net/monitor) and is reprinted
here in its entirety with permission.
by Terril Shorb
Sued over quote
that appeared in 1986 magazine |
|
PHOENIX -- The world's largest funeral
enterprise is suing a tiny book publisher, claiming that a nine-word statement -- quoted
from a magazine article -- isn't true and severely harms Service Corporation International
(SCI) and its Chief Executive Officer. The remark was reportedly made in 1986 by CEO
Robert L.Waltrip, saying that the company's network of funeral homes, cemeteries, and
crematoria will make SCI "the True Value Hardware of the funeral-service
industry."
The alleged quote appears in "Profits of Death: An Insider Exposes the Death Care
Industries," and was culled from a 1986 Business Week profile of Waltrip. The quote
was used verbatim in the book, though not attributed to the magazine. SCI's suit pleads
that the quote threatens the industry giant, which owns more than 3,300 funeral homes and
cemeteries and reported a 1997 revenue of $2.5 billion. |
Wiley said he has
no knowledge of SCI challenging the quote when it appeared in Business Week |
|
Rob L. Wiley, one of the lawyers representing
Waltrip and SCI, told the Monitor that Waltrip denies that he made that statement at the
time of the Business Week story, and he denies it now. "The basic reason that Mr.
Waltrip feels this is defamatory is that the suggestion that he wants to do business the
same way as True Value Hardware does is so at odds with the way he structures the company
and the way in which SCI operates." Did SCI sue or complain when the quote
originally appeared in Business Week? Wiley said he has no knowledge of SCI challenging
the quote at that time. "We looked at that and decided it was not an impediment to
the present lawsuit because (Waltrip) contends that he didn't say it. The issue is still
whether he said it or not and he's going to maintain that he didn't say it."
Author Darryl J. Roberts, a longtime owner of a funeral conglomerate, told the Monitor
from his home in Scottsdale, Arizona that his research did not find "any other
denunication of that (quote). We reviewed the business journals and we had no reason at
all to believe that it was not true."
The owner of Five Star Publications, Linda Radke, said she "stands behind the
book" which has had modest sales. "I stand behind educating consumers about the
(death care) industry. At some point, each of us is going to have to answer that phone
(when a death occurs in our family)." The Chandler, Arizona independent publisher
also said the essence of the book is its approachable style and straight-forward
presentation of how the industry works. "In order to cut costs (associated with a
funeral) you need to understand how the industry works. You need to become educated so you
would know if you're being sold a bill of goods."
She added that the publishing industry should also be interested in this case,
"because it questions our rights to help consumers to be informed."
While Rob Wiley says the book "just slams the industry almost
indiscriminately," Karen Leonard, a death rights activist and research assistant to
the late Jessica Mitford, feels the book "is the best of its kind that I've seen.
There was nothing in the book I hadn't heard of before, as a person who has researched
this industry intensely for the past ten years." The power of the book, Leonard
feels, is that it comes from an industry insider.
"(Roberts) is someone who has succeeded at all these practices. When he comes out
and says it is a rip-off, he's potentially more dangerous to the industry. He's not just
some disgruntled employee."
Executive Director of the Funeral and Memorial Societies of America, Lisa Carlson, said
though she laments the book's strong endorsement of pre-paid funerals, "any reporting
of the mischief in the industry is a service to the consumer." |
"They say
(the book) defames them, but they don't say that there's a word in there that's not true,
except for this quote" |
|
Attorney Wiley said his law firm is starting
the discovery process, and a trial date has been set for January of 1999. But will it
get to trial? "We are prepared to pursue the litigation," Wiley said. "This
is not about the size of the corporation, or money. It's about the fact that a man who for
over 30 years has been a part of building an extremely successful business organization
has a modus operandi completely at odds with the way he is characterized in this book and
that's what he is upset about." Wiley acknowledged that if the author and publisher
were to come forward with an apology, that might "go a long way toward helping to
resolve this."
Roberts strongly responds, "there is nothing to apologize for. The book is about
the industry in general...one of the interesting things about the suit is they say (the
book) defames them, but they don't say that there's a word in there that's not true,
except for this quote." The suit, Roberts told the Monitor, "denigrates my whole
book."
Publisher Radke has similar strong feelings about the integrity and importance of the
book, "In this lifetime you hope you'll make a difference. You hope you'll be able to
do something that makes it better for everyone." The book, she says, gives her that
hope. |
The following article appeared in the March 1998 issue of the The
American Funeral Director and is reprinted here in its entirety with permission.
Funeral Service consolidators go into towns,
buy "mom and pop" funeral homes, raise prices, and the public is none-the-wiser.
This was the portrait of funeral service painted by CBS-TV's "60 Minutes"
in a segment that aired Feb. 1.
"Chances are when you die, it's going to
cost you a whole lot more than you think," said correspondent Lesley Stahl. The
segment featured an interview with Darryl Roberts, a former funeral director/cemeterian
who sold his operation to Stewart Enterprises. Now Roberts is the author of a book
entitled "Profits of Death," billed as a whistle-blowing, industry tell-all
book.
"Typically, as soon as the big
conglomerate comes into town and they take over a facility, they will raise prices fairly
quickly," Roberts told Stahl.
SCI issued a statement calling the report,
"irresponsible, biased, and a totally inaccurate representation of the industry and
SCI." The segment included a look at a price list at one funeral home in
Florida before and after its acquisition by SCI. In December 1995, the price of a
standard, full-service funeral, not including casket or burial was reported to be just
over $1,600. Within 18 months, this price jumped approximately$1,000. Industry
insiders point out that the "60 Minutes" report failed to examine pricing
structure or where the profit source was for the funeral home. "Some funeral
homes build in profit in the casket price, but others, especially located in close
proximity to a discount casket operation, build the profit in the cost of service, such as
embalming," said one industry spokesman.
The SCI statement continued: "As
the industry knows, you cannot run a successful business by gouging the American public.
Every customer is provided with a general price list. SCI provided
comprehensive background information to CBS, including in-depth discussions with senior
executives of the company, none of which was used."
NFDA was quick to respond to the report.
In a letter written by Robert Harden, NFDA executive director, to Stahl and
"60 Minutes" producer Rome Hartman, NFDA said: "The National Funeral
Directors Association (NFDA) believes it is a shame that such negative and one-sided
coverage was given in your segment "The High Cost of Dying" on Feb. 1, 1998.
NFDA does not consider Darryl Roberts a spokesperson for the profession and it is
unfortunate that you chose him, given his biased background and current controversy.
The segment was not representative of what is going on in funeral service. In
my experience, the majority of funeral directors are hardworking, caring, and show
exceptional strides to meet their families' every need despite the ownership of their
funeral home.
"NFDA advocates that consumers shop
around and find a funeral director they are comfortable with to discuss the many personal
options involved in planning a service. NFDA is an advocate of consumer education as
seen in our many consumer resources including our consumer section of NFDA Online,
consumer education brochure series and Consumer Preneed Bill of Rights."
Analyst Steven Saltzman of Chicago
Corporation called the "60 Minutes" segment a "non-event from an investment
perspective."
