Lawsuits against NorthStar Memorial Group, the Houston-based funeral and cemetery operator, span wage and commission class actions, an overtime collective action, a wrongful disinterment jury verdict, National Labor Relations Board proceedings, consumer contract complaints tied to its Smart Cremation subsidiary, and a recent California appellate ruling that partially revived a former employee’s claims. Outcomes have ranged from a proposed $2.2 million class settlement to a $200,000 negligence verdict, with several cases settling on undisclosed terms and at least one dismissed outright.
NorthStar, founded in 2004, runs more than 85 funeral homes, cemeteries, and cremation facilities across eleven states, and its growth by acquisition — including properties divested by Service Corporation International in 2014 — has shaped where and how these disputes have arisen.1Federal Trade Commission. Service Corporation International / Stewart Enterprises – Commission Letter Approving Petition for Divestiture to NorthStar2eCondolence. NorthStar Memorial Group
California Wage and Commission Class Action
The largest employment case was filed in California state court in 2018 and removed to the U.S. District Court for the Northern District of California as Case No. 3:18-cv-01039, with NorthStar Memorial Group Shared Services LLC named as defendant. Sales representatives alleged the company illegally withheld commissions through a quota-based point system and failed to reimburse workers who used personal vehicles to visit burial plots and perform other job tasks. Plaintiffs also signaled plans to add claims for breach of contract, minimum wage violations, and intentional misrepresentation.3Top Class Actions. Memorial Services Case Settles Claims of Violation of California Work Laws
A proposed settlement of $2.2 million covered a class of 429 workers, with each eligible class member set to receive roughly $5,000 if the court approved. The settlement was under judicial review as of August 2019.3Top Class Actions. Memorial Services Case Settles Claims of Violation of California Work Laws
Restland Wrongful Disinterment Verdict
In 2015, Restland Funeral Home and Cemetery in Dallas, a property NorthStar acquired from SCI, disinterred the parents of Louis Dorfman and moved their remains to another cemetery without his knowledge or consent. The move was carried out at the request of Dorfman’s niece and nephew, who had claimed to be next of kin.4PR Newswire. Dallas Jury Issues Unanimous Negligence Finding Against Dallas Restland Funeral Home in Wrongful Disinterment Lawsuit
Dorfman sued NorthStar Funeral Services of Texas, LLC in Dallas’ 14th Civil District Court. On February 7, 2019, a unanimous jury found Restland negligent and awarded him $200,000 for mental anguish. At trial, Restland officials testified that the facility’s policy was to accept a person’s claim of being next of kin “on good faith” without verifying it through public records or obituaries, and that management did not plan to change the practice. The Dallas County District Attorney’s Office also appointed a special prosecutor to consider whether the unauthorized movement of the remains was criminal.4PR Newswire. Dallas Jury Issues Unanimous Negligence Finding Against Dallas Restland Funeral Home in Wrongful Disinterment Lawsuit
Tennessee Overtime Collective Action
In 2012, funeral director Demetria Ambrose filed a Fair Labor Standards Act collective action in the U.S. District Court for the Western District of Tennessee (Case No. 2:2012cv02278). She alleged NorthStar required its salaried funeral directors to work more than forty hours a week without paying overtime.5Justia Law. Ambrose v. Northstar Memorial Group
NorthStar moved to dismiss the collective action allegations on the ground that only one plaintiff was named. Judge S. Thomas Anderson denied the motion in August 2012, holding that the complaint stated enough facts to advance to the conditional certification stage and that Ambrose did not have to identify other potential plaintiffs by name so early. The available record does not show whether the case ultimately proceeded to certification, settled, or went to trial.5Justia Law. Ambrose v. Northstar Memorial Group
NLRB Charges at Skylawn
NorthStar’s Skylawn Funeral Home, Crematory and Memorial Park was the subject of two unfair labor practice charges before the National Labor Relations Board: Case 20-CA-227245, filed in September 2018, and Case 20-CA-246635, filed in August 2019. Both alleged violations of Section 8(a)(5) of the National Labor Relations Act through unilateral changes to contract terms.6National Labor Relations Board. Case 20-CA-2272457National Labor Relations Board. Case 20-CA-246635
The 2019 charge was resolved through a bilateral settlement agreement in November 2019.7National Labor Relations Board. Case 20-CA-246635 The 2018 charge went to a full Board decision on July 30, 2020. The NLRB found NorthStar violated the Act by unilaterally changing employee work schedules after the expiration of a collective bargaining agreement without giving the union notice and a chance to bargain. The Board ruled in NorthStar’s favor on a separate allegation, concluding that a grounds superintendent’s request that an employee remove a pro-union sign from his motorcycle did not violate the Act. It reasoned that funeral homes and cemeteries, like hospitals, maintain environments where restrictions on solicitation can be justified by the need for “quiet and peace of mind.”8National Labor Relations Board. Summary of NLRB Decisions for Week of July 27-31, 2020
Kolstad Appeal Partially Revived
In December 2025, the California Court of Appeal issued its ruling in Kolstad v. Northstar Memorial Group (Case No. A172312). Former employee Ryan Kolstad had sued NorthStar in San Mateo County Superior Court in February 2024, bringing ten causes of action that included breach of contract, defamation, and claims under California’s Fair Employment and Housing Act. The trial court dismissed all ten without allowing him to amend.9CaseMine. Kolstad v. Northstar Memorial Group
The appellate court largely upheld the dismissal but reversed on the breach of contract claim, ruling that Kolstad should be allowed to amend to try to state a valid cause of action. The case was returned to the trial court for further proceedings on that single count.9CaseMine. Kolstad v. Northstar Memorial Group
Smart Cremation Consumer Disputes
NorthStar’s Smart Cremation subsidiary has drawn consumer complaints and one commercial lawsuit. In a 2014 report by ABC7’s “7 On Your Side,” a San Mateo consumer alleged that a Smart Cremation sales representative had her sign a blank contract that was later filled in with a price of $1,652 instead of the $1,200 she said she had agreed to pay. Smart Cremation provided a full refund after the station intervened, saying it had “processed the contract as written” but offering to honor the terms the customer recalled or return her money.10ABC7 News. 7 On Your Side Helps Woman Locked in Contract She Couldn’t Afford
In 2020, two plaintiffs filed a commercial contract lawsuit against Smart Cremation and NorthStar in Los Angeles County Superior Court, Burris et al. v. Smart Cremation, LLC, et al. The parties reached a conditional settlement in June 2022, and the case was dismissed with prejudice in August 2022. The settlement terms were not publicly disclosed.11UniCourt. Erika Burris, et al. v. Smart Cremation, LLC, et al.
Aguirre Dismissed Early
An employment discrimination case, Aguirre v. Northstar Memorial Group, et al. (Case No. 3:18-cv-01030), was filed in Alameda County Superior Court and removed to the Northern District of California in February 2018. The named defendants included NorthStar Memorial Group, NSMG Shared Services, and Chapel of the Chimes. After the plaintiff withdrew a motion to send the case back to state court, the parties filed a stipulation for dismissal with prejudice in June 2018, ending the matter.12PACER Monitor. Aguirre v. Northstar Memorial Group, et al.