Cases of bodies being mixed up or stored in chicken sheds, and funeral service operators drunk on the job have been reported around the country.
Now the funeral industry itself is calling for government regulation.
But while state governments are looking at new laws to improve standards in the industry, the New South Wales Government has just rejected a mandatory code of conduct that had the backing of the funeral industry as well as pensioner and welfare groups.
Most operators have high professional standards and adhere to a voluntary code of conduct set down by the two main industry bodies.
But then there are the horror stories of mix-ups in which the wrong bodies are buried or cremated, and grieving relatives are given a dead stranger during viewings instead of a lost loved one.
There have been cases of bodies stored in chicken coups and unrefrigerated sheds and services operators showing up to collect bodies drunk.
Darren Eddy is a funeral operator and president of the NSW branch of the Australian Funeral Directors Association.
"There were cases where the deceased had been prepared in the backyard, there were inadequate mortuary facilities, deceased being transferred in station wagons," he said.
"It portrays funeral directors... in a very bad light. In the majority of the cases that's not the case - funeral directors are an important part of the community, particularly in country towns.
"I come from Albury, which is still considered a country town. We're involved in the community and for these sorts of allegations to come up, it reflects badly on us all."
Industry bodies like the Australian Funeral Directors Association, as well as consumer and pensioner groups, have been demanding state governments regulate the industry by introducing a mandatory code of conduct.
Many states including Tasmania, Victoria and Queensland, are considering or have adopted new regulations.
Code rejection
The NSW Government has just introduced a law that requires a breakdown of charges for a funeral service, but it blocked attempts being pushed by the state's Opposition to introduce a mandatory code of conduct.
Opposition spokeswoman for fair trade Catherine Cusack says the state government's actions defy belief.
"I was astounded - we had an Upper House inquiry into this exact issue two years ago, which was actually chaired by the Labor Party, represented all parties and it unanimously recommended a mandatory code of conduct for the funeral industry."
The State Government says it was concerned a mandatory code of conduct would only add to the cost of the funeral.
It also said there were not enough complaints about funeral services to warrant tougher regulations and that certain concerns about shonky dealers were more a health than a fair trade issue.
NSW fair trading minister Linda Gurney says the new law will ensure costs are made clear.
"We do have a mandatory standard now under this legislation, and that means that when you go to a funeral parlour to organise a funeral you'll get really clear information about what the costs are, what's involved, and you can actually compare prices. At the moment you can't," she said.
Mr Eddy says he is bitterly disappointed. He also says when it comes to funeral services, health issues and fair trade go hand in hand.
"My belief is that one complaint against a grieving family [sic] is one too many," he said.
"At the moment there is no mechanism to basically say you've done the wrong thing as a funeral director and we're going to take this action against you."
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