Bill S6336-2011

Permits interior designers to enter into joint enterprise or partnership of a design corporation

Permits interior designers to enter into joint enterprise or partnership of a design corporation.

Details

Actions

  • Jun 21, 2012: COMMITTED TO RULES
  • Jun 4, 2012: ADVANCED TO THIRD READING
  • May 31, 2012: 2ND REPORT CAL.
  • May 30, 2012: 1ST REPORT CAL.943
  • Jan 27, 2012: REFERRED TO CORPORATIONS, AUTHORITIES AND COMMISSIONS

Votes

VOTE: COMMITTEE VOTE: - Corporations, Authorities and Commissions - May 30, 2012
Ayes (5): Ranzenhofer, Flanagan, Larkin, Martins, Squadron
Ayes W/R (1): Perkins

Memo

BILL NUMBER:S6336

TITLE OF BILL: An act to amend the business corporation law, the education law and the limited liability company law, in relation to permitting certified interior designers to enter into joint enterprise or partnership of a design corporation

GENERAL IDEA OF BILL: This legislation permits certified interior designers to be included among the professions able to enter into joint enterprise or partnership of a design corporation.

SUMMARY OF SPECIFIC PROVISIONS: Section 1. Amends paragraph (a) of section 1503 of the business corporation law, as added by chapter 974 of the laws of 1970 to include interior design among the professions permitted to form a Professional service corporation.

Section 2 - Section 4. Amends subdivision 4 of section 7209, subdivision 2 of section 7307 and subdivision 2 of section 7327 of the education law, as added by chapter 987 of the laws of 1971, to include interior designers among the professions permitted to join in the formation of a joint enterprise, partnership or a professional service corporation.

Section 5, Renumbers section 8307 of the education law as section 8308 and adds a new section 8307 to permit interior designers to form a professional service corporation, joint enterprise, partnership, limited liability company or Corporation.

Section 6. Amends subdivision (a) of section 1203 of the limited liability company law, as separately amended by chapters 420 and 676 of the laws of 2002, to include interior designers among the professions permitted to join in the partnership or formation of a professional service limited liability company.

Section 7. Sets forth effective date.

PURPOSE AND JUSTIFICATION: The changing needs of the design industry necessitate that certified interior designers be able to form into professional partnerships. In fact, on e practical level, many certified interior designers already engage in substantive business practices at the same level as partners of design corporations certified in other professions. Yet, the inability to officially serve as a partners or principals in such firms inhibits the ability to most effectively conduct business, expand operations and plan for the future. Inclusion of interior design among the list of professions permitted to serve as partners/principals of design

corporations does not permit interior designers to practice any other licensed or certified profession.

PRIOR LEGISLATIVE HISTORY: Previously A.6933A.

FISCAL. IMPLICATIONS: None.

EFFECTIVE DATE: This act shall take effect immediately.


Text

STATE OF NEW YORK ________________________________________________________________________ S. 6336 A. 9132 S E N A T E - A S S E M B L Y January 27, 2012 ___________
IN SENATE -- Introduced by Sen. RITCHIE -- read twice and ordered print- ed, and when printed to be committed to the Committee on Corporations, Authorities and Commissions IN ASSEMBLY -- Introduced by M. of A. LAVINE -- Multi-Sponsored by -- M. of A. BRONSON, GABRYSZAK, GALEF, JAFFEE, McDONOUGH, P. RIVERA, STEVEN- SON, TITONE, WEPRIN -- read once and referred to the Committee on Corporations, Authorities and Commissions AN ACT to amend the business corporation law, the education law and the limited liability company law, in relation to permitting certified interior designers to enter into joint enterprise or partnership of a design corporation THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Paragraph (a) of section 1503 of the business corporation law, as amended by chapter 550 of the laws of 2011, is amended to read as follows: (a) Notwithstanding any other provision of law, one or more individ- uals duly authorized by law to render the same professional service within the state may organize, or cause to be organized, a professional service corporation for pecuniary profit under this article for the purpose of rendering the same professional service, except that one or more individuals duly authorized by law to practice professional engi- neering, architecture, landscape architecture, INTERIOR DESIGN or land surveying within the state may organize, or cause to be organized, a professional service corporation or a design professional service corpo- ration for pecuniary profit under this article for the purpose of rendering such professional services as such individuals are authorized to practice. S 2. Subdivision 4 of section 7209 of the education law, as amended by chapter 550 of the laws of 2011, is amended to read as follows: 4. Engineers, land surveyors, architects, CERTIFIED INTERIOR DESIGN- ERS, and landscape architects may join in the formation of a joint enterprise, or a partnership or a professional service corporation or a
design professional service corporation or may form any desired combina- tion of such professions and may use in the name of such corporation the title of any of the professions which will be practiced. After the name of each member his or her profession shall be indicated. S 3. Subdivision 2 of section 7307 of the education law, as amended by chapter 550 of the laws of 2011, is amended to read as follows: 2. Engineers, land surveyors, architects, CERTIFIED INTERIOR DESIGN- ERS, and landscape architects may join in the formation of a joint enterprise, or a partnership or a professional service corporation or a design professional service corporation or may form any desired combina- tion of such professions and may use in the name of such corporation the title of any of the professions which will be practiced. After the name of each member his or her profession shall be indicated. S 4. Subdivision 2 of section 7327 of the education law, as amended by chapter 550 of the laws of 2011, is amended to read as follows: 2. Engineers, land surveyors, architects, CERTIFIED INTERIOR DESIGN- ERS, and landscape architects may join in the formation of a joint enterprise, or a partnership or a professional service corporation or a design professional service corporation or may form any desired combina- tion of such professions and may use in the name of such corporation the title of any of the professions which will be practiced. After the name of each member his or her profession shall be indicated. S 5. Section 8307 of the education law is renumbered section 8308 and a new section 8307 is added to read as follows: S 8307. SPECIAL PROVISIONS. ENGINEERS, LAND SURVEYORS, ARCHITECTS, CERTIFIED INTERIOR DESIGNERS, AND LANDSCAPE ARCHITECTS MAY JOIN IN THE FORMATION OF A JOINT ENTERPRISE, OR A PARTNERSHIP, OR A PROFESSIONAL SERVICE CORPORATION, OR A LIMITED LIABILITY PARTNERSHIP OR MAY FORM ANY DESIRED COMBINATION OF SUCH PROFESSIONS AND MAY USE IN THE NAME OF SUCH CORPORATION OR PARTNERSHIP THE TITLE OF ANY OF THE PROFESSIONS WHICH WILL BE PRACTICED. AFTER THE NAME OF EACH MEMBER HIS OR HER PROFESSION SHALL BE INDICATED. S 6. Subdivision (a) of section 1203 of the limited liability company law, as separately amended by chapters 420 and 676 of the laws of 2002, is amended to read as follows: (a) Notwithstanding the education law or any other provision of law, one or more professionals each of whom is authorized by law to render a professional service within the state, or one or more professionals, at least one of whom is authorized by law to render a professional service within the state, may form, or cause to be formed, a professional service limited liability company for pecuniary profit under this arti- cle for the purpose of rendering the professional service or services as such professionals are authorized to practice. With respect to a profes- sional service limited liability company formed to provide medical services as such services are defined in article 131 of the education law, each member of such limited liability company must be licensed pursuant to article 131 of the education law to practice medicine in this state. With respect to a professional service limited liability company formed to provide dental services as such services are defined in article 133 of the education law, each member of such limited liabil- ity company must be licensed pursuant to article 133 of the education law to practice dentistry in this state. With respect to a professional service limited liability company formed to provide veterinary services as such services are defined in article 135 of the education law, each member of such limited liability company must be licensed pursuant to article 135 of the education law to practice veterinary medicine in this
state. With respect to a professional service limited liability company formed to provide professional engineering, INTERIOR DESIGN, land surveying, architectural and/or landscape architectural services as such services are defined in article 145, article 147 [and], article 148 AND ARTICLE 161 of the education law, each member of such limited liability company must be licensed pursuant to article 145, article 147 [and/or], article 148 AND/OR ARTICLE 161 of the education law to practice one or more of such professions in this state. With respect to a professional service limited liability company formed to provide licensed clinical social work services as such services are defined in article 154 of the education law, each member of such limited liability company shall be licensed pursuant to article 154 of the education law to practice licensed clinical social work in this state. With respect to a profes- sional service limited liability company formed to provide creative arts therapy services as such services are defined in article 163 of the education law, each member of such limited liability company must be licensed pursuant to article 163 of the education law to practice crea- tive arts therapy in this state. With respect to a professional service limited liability company formed to provide marriage and family therapy services as such services are defined in article 163 of the education law, each member of such limited liability company must be licensed pursuant to article 163 of the education law to practice marriage and family therapy in this state. With respect to a professional service limited liability company formed to provide mental health counseling services as such services are defined in article 163 of the education law, each member of such limited liability company must be licensed pursuant to article 163 of the education law to practice mental health counseling in this state. With respect to a professional service limited liability company formed to provide psychoanalysis services as such services are defined in article 163 of the education law, each member of such limited liability company must be licensed pursuant to article 163 of the education law to practice psychoanalysis in this state. In addi- tion to engaging in such profession or professions, a professional service limited liability company may engage in any other business or activities as to which a limited liability company may be formed under section two hundred one of this chapter. Notwithstanding any other provision of this section, a professional service limited liability company (i) authorized to practice law may only engage in another profession or business or activities or (ii) which is engaged in a profession or other business or activities other than law may only engage in the practice of law, to the extent not prohibited by any other law of this state or any rule adopted by the appropriate appellate divi- sion of the supreme court or the court of appeals. S 7. This act shall take effect immediately.

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