2012 -- S 2285

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LC01071

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STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2012

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A N A C T

RELATING TO CORPORATIONS - ASSOCIATIONS AND PARTNERSHIPS -

PROFESSIONAL SERVICE CORPORATIONS

     Introduced By: Senators Ottiano, Jabour, Bates, Cote, and Lynch

     Date Introduced: February 01, 2012

     Referred To: Senate Health & Human Services

It is enacted by the General Assembly as follows:

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     SECTION 1. Sections 7-5.1-2 and 7-5.1-3 of the General Laws in Chapter 7-5.1 entitled

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"Professional Service Corporations" are hereby amended to read as follows:

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     7-5.1-2. Definitions. -- As used in this chapter:

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     (1) "Professional services" means the rendering of personal services by a person

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authorized to practice as one of the following professions as defined:

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     (i) Physicians;

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     (ii) Dentists;

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     (iii) Attorneys at law;

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     (iv) [Deleted by P.L. 2000, ch. 328, section 1, and by P.L. 2000, ch. 513, section 1.]

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     (v) Professional engineers;

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     (vi) Architects;

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     (vii) Certified public accountants and licensed public accountants;

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     (viii) Veterinarians;

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     (ix) Chiropractors;

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     (x) Podiatrists;

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     (xi) Registered nurses;

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     (xii) Optometrists;

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     (xiii) Physical therapists;

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     (xiv) Landscape architects;

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     (xv) Land surveyors;

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     (xvi) Opticians; or

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     (xvii) Physician assistants.;

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     (xviii) Psychologists; or

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     (xix) Midwives or nurse-midwives.

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     (2) "Regulatory agency" means:

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     (i) The division of professional regulation licensing board contained within the

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department of health, as set forth in title 5 of the general laws when referring to physicians,

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dentists, chiropractors, podiatrists, registered nurses, optometrists, physical therapists, opticians,

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or physician assistants;, or midwives or nurse-midwives;

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     (ii) The Supreme Court when referring to attorneys at law;

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     (iii) The board of registration of professional engineers and land surveyors when referring

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to professional engineers and/or land surveyors;

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     (iv) The board of examination and registration of architects when referring to architects;

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     (v) The board of accountancy when referring to certified public accountants, and licensed

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public accountants;

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     (vi) The board of veterinarians when referring to veterinarians;

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     (vii) The board of examiners of landscape architects when referring to landscape

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architects;

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     (viii) The board of psychology when referring to psychologists.

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     (3) "Authorized to practice" means duly licensed, certified, or registered by the proper

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regulatory agency.

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     7-5.1-3. Authority to practice. -- (a) Except as specifically provided in subsection (b) of

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this section, any corporation organized under this chapter may engage in rendering professional

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services of not more than one of the professions enumerated in section 7-5.1-2, provided that

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every officer, director, and shareholder of the corporation is an individual authorized to practice

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the profession and is employed by the corporation in that practice. No individual may be an

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officer, shareholder, director, or employee of any other corporation engaged in the practice of the

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same profession without the prior written approval of the applicable regulatory agency or

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agencies.

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     (b) Nothing in these provisions is to be construed to prohibit a corporation organized

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under this chapter from engaging in the practice of the following combination of professions:

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     (1) Physicians, dentists, registered nurses, podiatrists, optometrists, physician assistants,

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chiropractic physicians;, physical therapists, psychologists, midwives or nurse-midwives;

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     (2) Landscape architects, professional engineers, architects, and land surveyors; and

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     (3) Certified public accountants and licensed public accountants.

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     SECTION 2. This act shall take effect upon passage.

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LC01071

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO CORPORATIONS - ASSOCIATIONS AND PARTNERSHIPS -

PROFESSIONAL SERVICE CORPORATIONS

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     This act would add psychologists, midwives and nurse-midwives to the list of professions

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included in the definition of professional services in the provisions of the general laws regulating

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professional service corporations.

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     This act would take effect upon passage.

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LC01071

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