senate Bill S1955

2013-2014 Legislative Session

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

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Archive: Last Bill Status - In Committee


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jan 08, 2014 referred to corporations, authorities and commissions
Jan 09, 2013 referred to corporations, authorities and commissions

S1955 - Bill Details

Current Committee:
Senate Corporations, Authorities And Commissions
Law Section:
Business Corporation Law
Laws Affected:
Amd §1503, BC L; amd §§7209, 7307 & 7327, add §8307, Ed L; amd §1203, Lim Lil L
Versions Introduced in 2011-2012 Legislative Session:
S6336

S1955 - Bill Texts

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

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BILL NUMBER:S1955

TITLE OF BILL: An act to amend the business corporation law, the educa-
tion law and the limited liability company law, in relation to permit-
ting 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 corpo-
ration law, as added by chapter 974 of the laws of 1970 to include inte-
rior 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 liabil-
ity 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: S6336 of 2012 - 3rd reading

FISCAL. IMPLICATIONS: None.

EFFECTIVE DATE: This act shall take effect immediately.

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                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  1955

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                               (PREFILED)

                             January 9, 2013
                               ___________

Introduced  by  Sen. RITCHIE -- read twice and ordered printed, and when
  printed to be committed 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-

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06542-01-3

S. 1955                             2

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

S. 1955                             3

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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