S T A T E O F N E W Y O R K
________________________________________________________________________
6933--A
2011-2012 Regular Sessions
I N A S S E M B L Y
April 6, 2011
___________
Introduced by M. of A. BING, JAFFEE, STEVENSON, SCHROEDER, BRONSON,
WEPRIN -- Multi-Sponsored by -- M. of A. GABRYSZAK, GALEF, McDONOUGH,
P. RIVERA, TITONE -- read once and referred to the Committee on Higher
Education -- committee discharged, bill amended, ordered reprinted as
amended and recommitted to said committee
AN ACT to amend the business corporation law, the education law and the
limited liability company law, in relation to permitting 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 added by chapter 974 of the laws of 1970, 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 for pecuniary profit under this article
for the purpose of rendering such professional services as such individ-
uals are authorized to practice.
S 2. Subdivision 4 of section 7209 of the education law, as added by
chapter 987 of the laws of 1971, is amended to read as follows:
4. Engineers, land surveyors, architects, INTERIOR DESIGNERS, and
landscape architects may join in the formation of a joint enterprise, or
a partnership or a professional service corporation or may form any
desired combination of such professions and may use in the name of such
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD07972-04-1
A. 6933--A 2
corporation the title of any of the professions which will be practiced.
After the name of each member his profession shall be indicated.
S 3. Subdivision 2 of section 7307 of the education law, as added by
chapter 987 of the laws of 1971, is amended to read as follows:
2. Engineers, land surveyors, architects, INTERIOR DESIGNERS, and
landscape architects may join in the formation of a joint enterprise, or
a partnership or a professional service corporation or may form any
desired combination 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 profession shall be indicated.
S 4. Subdivision 2 of section 7327 of the education law, as added by
chapter 987 of the laws of 1971, is amended to read as follows:
2. Engineers, land surveyors, architects, INTERIOR DESIGNERS, and
landscape architects may join in the formation of a joint enterprise, or
a partnership or a professional service corporation or may form any
desired combination 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 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. 1. ENGINEERS, LAND SURVEYORS, ARCHITECTS,
INTERIOR DESIGNERS, AND LANDSCAPE ARCHITECTS MAY JOIN IN THE FORMATION
OF A JOINT ENTERPRISE, PARTNERSHIP, PROFESSIONAL SERVICE CORPORATION,
LIMITED LIABILITY PARTNERSHIP OR CORPORATION OR MAY FORM ANY DESIRED
COMBINATION OF SUCH PROFESSIONS AND MAY USE IN THE NAME OF SUCH CORPO-
RATION OR PARTNERSHIP THE TITLE OF ANY OF THE PROFESSIONS WHICH WILL BE
PRACTICED. AFTER THE NAME OF EACH MEMBER HIS PROFESSION SHALL BE INDI-
CATED.
2. A FIRM NAME MAY BE CONTINUED BY EMPLOYEES HAVING AT LEAST FIFTEEN
YEARS OF CONTINUOUS SERVICE IF THE RETIRED MEMBERS AND LEGAL REPRESEN-
TATIVES OF DECEASED MEMBERS CONSENT TO SUCH CONTINUANCE.
3. IT SHALL BE LAWFUL FOR A CORPORATION ORGANIZED AND EXISTING UNDER
THE LAWS OF THE STATE OF NEW YORK, AND WHICH ON OR BEFORE THE FIRST DAY
OF APRIL, NINETEEN HUNDRED SIXTY-ONE WAS LEGALLY INCORPORATED TO PRAC-
TICE INTERIOR DESIGN, WHILE CONFORMING TO THE PROVISIONS OF THIS TITLE,
AND WHICH HAS BEEN CONTINUOUSLY ENGAGED IN SUCH PRACTICE SINCE SUCH TIME
TO CONTINUE SUCH PRACTICE PROVIDED THAT THE CHIEF EXECUTIVE OFFICER OF
SUCH CORPORATION IN THE STATE OF NEW YORK SHALL BE AN INTERIOR DESIGNER
LICENSED UNDER THIS ARTICLE. NO SUCH CORPORATION SHALL BE PERMITTED TO
CHANGE ITS NAME AND CONTINUE TO PRACTICE INTERIOR DESIGN, EXCEPT UPON
THE WRITTEN APPROVAL OF THE DEPARTMENT.
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
A. 6933--A 3
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 of the
education law, each member of such limited liability company must be
licensed pursuant to article 145, article 147 and/or article 148 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 professional 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 liabil-
ity company must be licensed pursuant to article 163 of the education
law to practice creative 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 addition 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 division of the supreme court or the court of
appeals.
S 7. This act shall take effect immediately.