STATE OF NEW YORK
________________________________________________________________________
4391
2015-2016 Regular Sessions
IN ASSEMBLY
January 30, 2015
___________
Introduced by M. of A. O'DONNELL, CURRAN, BENEDETTO, LENTOL, STIRPE,
SKARTADOS, LUPINACCI, GUNTHER, LIFTON, LALOR, ZEBROWSKI -- Multi-Spon-
sored by -- M. of A. KIM, KOLB, McDONOUGH, SALADINO -- read once and
referred to the Committee on Higher Education
AN ACT to amend the limited liability company law, the business corpo-
ration law, the partnership law, the public health law and the educa-
tion law, in relation to allowing doctors of chiropractic licensed
under title VIII, article 132 of the education law to form limited
liability companies
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision (a) of section 1203 of the limited liability
2 company law, as amended by chapter 554 of the laws of 2013, is amended
3 to read as follows:
4 (a) Notwithstanding the education law or any other provision of law,
5 one or more professionals each of whom is authorized by law to render a
6 professional service within the state, or one or more professionals, at
7 least one of whom is authorized by law to render a professional service
8 within the state, may form, or cause to be formed, a professional
9 service limited liability company for pecuniary profit under this arti-
10 cle for the purpose of rendering the professional service or services as
11 such professionals are authorized to practice. With respect to a profes-
12 sional service limited liability company formed to provide medical
13 services as such services are defined in article 131 of the education
14 law, each member of such limited liability company must be licensed
15 pursuant to article 131 of the education law to practice medicine in
16 this state. With respect to a professional service limited liability
17 company formed to provide dental services as such services are defined
18 in article 133 of the education law, each member of such limited liabil-
19 ity company must be licensed pursuant to article 133 of the education
20 law to practice dentistry in this state. With respect to a professional
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD02194-04-5
A. 4391 2
1 service limited liability company formed to provide veterinary services
2 as such services are defined in article 135 of the education law, each
3 member of such limited liability company must be licensed pursuant to
4 article 135 of the education law to practice veterinary medicine in this
5 state. With respect to a professional service limited liability company
6 formed to provide professional engineering, land surveying, architec-
7 tural and/or landscape architectural services as such services are
8 defined in article 145, article 147 and article 148 of the education
9 law, each member of such limited liability company must be licensed
10 pursuant to article 145, article 147 and/or article 148 of the education
11 law to practice one or more of such professions in this state. With
12 respect to a professional service limited liability company formed to
13 provide licensed clinical social work services as such services are
14 defined in article 154 of the education law, each member of such limited
15 liability company shall be licensed pursuant to article 154 of the
16 education law to practice licensed clinical social work in this state.
17 With respect to a professional service limited liability company formed
18 to provide creative arts therapy services as such services are defined
19 in article 163 of the education law, each member of such limited liabil-
20 ity company must be licensed pursuant to article 163 of the education
21 law to practice creative arts therapy in this state. With respect to a
22 professional service limited liability company formed to provide
23 marriage and family therapy services as such services are defined in
24 article 163 of the education law, each member of such limited liability
25 company must be licensed pursuant to article 163 of the education law to
26 practice marriage and family therapy in this state. With respect to a
27 professional service limited liability company formed to provide mental
28 health counseling services as such services are defined in article 163
29 of the education law, each member of such limited liability company must
30 be licensed pursuant to article 163 of the education law to practice
31 mental health counseling in this state. With respect to a professional
32 service limited liability company formed to provide psychoanalysis
33 services as such services are defined in article 163 of the education
34 law, each member of such limited liability company must be licensed
35 pursuant to article 163 of the education law to practice psychoanalysis
36 in this state. With respect to a professional service limited liability
37 company formed to provide applied behavior analysis services as such
38 services are defined in article 167 of the education law, each member of
39 such limited liability company must be licensed or certified pursuant to
40 article 167 of the education law to practice applied behavior analysis
41 in this state. In addition to engaging in such profession or
42 professions, a professional service limited liability company may engage
43 in any other business or activities as to which a limited liability
44 company may be formed under section two hundred one of this chapter.
45 Notwithstanding any other provision of this section, a professional
46 service limited liability company (i) authorized to practice law may
47 only engage in another profession or business or activities or (ii)
48 which is engaged in a profession or other business or activities other
49 than law may only engage in the practice of law, to the extent not
50 prohibited by any other law of this state or any rule adopted by the
51 appropriate appellate division of the supreme court or the court of
52 appeals. Notwithstanding any other provision of this section, with
53 respect to a limited liability company formed to provide integrated,
54 multidisciplinary medical and chiropractic services, as such services
55 are respectively defined under articles 131 and 132 of the education
56 law, (i) each member of such limited liability company must be licensed
A. 4391 3
1 pursuant to article 131 or article 132 of the education law to practice
2 his or her profession in this state, (ii) each member shall only prac-
3 tice his or her profession as specified in his or her respective profes-
4 sional enabling statute under article 131 or article 132 of the educa-
5 tion law, and (iii) the clinical integration of professional practices
6 within an integrated, multidisciplinary entity organized under this
7 section does not alter, expand or curtail the scope of practice of any
8 of the individuals licensed under the statute of his or her respective
9 professional enabling law, provided that: (a) the clinical judgment,
10 management and clinical decision-making of one or more article 131
11 providers in an integrated, multidisciplinary professional service
12 limited liability company shall be controlling, (b) members licensed
13 under article 132 of the education law, shall not, directly or indirect-
14 ly, interfere with the clinical judgment or legitimate clinical practice
15 of a professional licensed under article 131, and (c) individuals
16 licensed under article 131 may not order or direct a professional
17 licensed under article 132 of the education law to practice beyond the
18 scope of his or her license under article 132 of the education law, even
19 if supervised directly or indirectly by a professional licensed under
20 article 131.
21 § 2. Subdivision (b) of section 1207 of the limited liability company
22 law, as amended by chapter 554 of the laws of 2013, is amended to read
23 as follows:
24 (b) With respect to a professional service limited liability company
25 formed to provide medical services as such services are defined in arti-
26 cle 131 of the education law, each member of such limited liability
27 company must be licensed pursuant to article 131 of the education law to
28 practice medicine in this state. With respect to a professional service
29 limited liability company formed to provide dental services as such
30 services are defined in article 133 of the education law, each member of
31 such limited liability company must be licensed pursuant to article 133
32 of the education law to practice dentistry in this state. With respect
33 to a professional service limited liability company formed to provide
34 veterinary services as such services are defined in article 135 of the
35 education law, each member of such limited liability company must be
36 licensed pursuant to article 135 of the education law to practice veter-
37 inary medicine in this state. With respect to a professional service
38 limited liability company formed to provide professional engineering,
39 land surveying, architectural and/or landscape architectural services as
40 such services are defined in article 145, article 147 and article 148 of
41 the education law, each member of such limited liability company must be
42 licensed pursuant to article 145, article 147 and/or article 148 of the
43 education law to practice one or more of such professions in this state.
44 With respect to a professional service limited liability company formed
45 to provide licensed clinical social work services as such services are
46 defined in article 154 of the education law, each member of such limited
47 liability company shall be licensed pursuant to article 154 of the
48 education law to practice licensed clinical social work in this state.
49 With respect to a professional service limited liability company formed
50 to provide creative arts therapy services as such services are defined
51 in article 163 of the education law, each member of such limited liabil-
52 ity company must be licensed pursuant to article 163 of the education
53 law to practice creative arts therapy in this state. With respect to a
54 professional service limited liability company formed to provide
55 marriage and family therapy services as such services are defined in
56 article 163 of the education law, each member of such limited liability
A. 4391 4
1 company must be licensed pursuant to article 163 of the education law to
2 practice marriage and family therapy in this state. With respect to a
3 professional service limited liability company formed to provide mental
4 health counseling services as such services are defined in article 163
5 of the education law, each member of such limited liability company must
6 be licensed pursuant to article 163 of the education law to practice
7 mental health counseling in this state. With respect to a professional
8 service limited liability company formed to provide psychoanalysis
9 services as such services are defined in article 163 of the education
10 law, each member of such limited liability company must be licensed
11 pursuant to article 163 of the education law to practice psychoanalysis
12 in this state. With respect to a professional service limited liability
13 company formed to provide applied behavior analysis services as such
14 services are defined in article 167 of the education law, each member of
15 such limited liability company must be licensed or certified pursuant to
16 article 167 of the education law to practice applied behavior analysis
17 in this state. Notwithstanding any other provision of this section,
18 with respect to a professional service limited liability company formed
19 to provide integrated, multidisciplinary medical and chiropractic
20 services, as such services are respectively defined under articles 131
21 and 132 of the education law, (i) each member of such limited liability
22 company must be licensed pursuant to article 131 or article 132 of the
23 education law to practice his or her profession in this state, (ii) each
24 member shall only practice his or her profession as specified in his or
25 her respective professional enabling statute under article 131 or arti-
26 cle 132 of the education law, and (iii) the clinical integration of
27 professional practices within an integrated, multidisciplinary entity
28 organized under this section does not alter, expand or curtail the scope
29 of practice of any of the individuals licensed under the statute of his
30 or her respective professional enabling law, provided that: (a) the
31 clinical judgment, management and clinical decision-making of one or
32 more article 131 providers in an integrated, multidisciplinary profes-
33 sional service limited liability company shall be controlling, (b)
34 members licensed under article 132 of the education law, shall not,
35 directly or indirectly, interfere with the clinical judgment or legiti-
36 mate clinical practice of a professional licensed under article 131, and
37 (c) individuals licensed under article 131 may not order or direct a
38 professional licensed under article 132 of the education law to practice
39 beyond the scope of his or her license under article 132 of the educa-
40 tion law, even if supervised directly or indirectly by a professional
41 licensed under article 131.
42 § 3. Subdivision (a) of section 1301 of the limited liability company
43 law, as amended by chapter 554 of the laws of 2013, is amended to read
44 as follows:
45 (a) "Foreign professional service limited liability company" means a
46 professional service limited liability company, whether or not denomi-
47 nated as such, organized under the laws of a jurisdiction other than
48 this state, (i) each of whose members and managers, if any, is a profes-
49 sional authorized by law to render a professional service within this
50 state and who is or has been engaged in the practice of such profession
51 in such professional service limited liability company or a predecessor
52 entity, or will engage in the practice of such profession in the profes-
53 sional service limited liability company within thirty days of the date
54 such professional becomes a member, or each of whose members and manag-
55 ers, if any, is a professional at least one of such members is author-
56 ized by law to render a professional service within this state and who
A. 4391 5
1 is or has been engaged in the practice of such profession in such
2 professional service limited liability company or a predecessor entity,
3 or will engage in the practice of such profession in the professional
4 service limited liability company within thirty days of the date such
5 professional becomes a member, or (ii) authorized by, or holding a
6 license, certificate, registration or permit issued by the licensing
7 authority pursuant to, the education law to render a professional
8 service within this state; except that all members and managers, if any,
9 of a foreign professional service limited liability company that
10 provides health services in this state shall be licensed in this state.
11 With respect to a foreign professional service limited liability company
12 which provides veterinary services as such services are defined in arti-
13 cle 135 of the education law, each member of such foreign professional
14 service limited liability company shall be licensed pursuant to article
15 135 of the education law to practice veterinary medicine. With respect
16 to a foreign professional service limited liability company which
17 provides medical services as such services are defined in article 131 of
18 the education law, each member of such foreign professional service
19 limited liability company must be licensed pursuant to article 131 of
20 the education law to practice medicine in this state. With respect to a
21 foreign professional service limited liability company which provides
22 dental services as such services are defined in article 133 of the
23 education law, each member of such foreign professional service limited
24 liability company must be licensed pursuant to article 133 of the educa-
25 tion law to practice dentistry in this state. With respect to a foreign
26 professional service limited liability company which provides profes-
27 sional engineering, land surveying, architectural and/or landscape
28 architectural services as such services are defined in article 145,
29 article 147 and article 148 of the education law, each member of such
30 foreign professional service limited liability company must be licensed
31 pursuant to article 145, article 147 and/or article 148 of the education
32 law to practice one or more of such professions in this state. With
33 respect to a foreign professional service limited liability company
34 which provides licensed clinical social work services as such services
35 are defined in article 154 of the education law, each member of such
36 foreign professional service limited liability company shall be licensed
37 pursuant to article 154 of the education law to practice clinical social
38 work in this state. With respect to a foreign professional service
39 limited liability company which provides creative arts therapy services
40 as such services are defined in article 163 of the education law, each
41 member of such foreign professional service limited liability company
42 must be licensed pursuant to article 163 of the education law to prac-
43 tice creative arts therapy in this state. With respect to a foreign
44 professional service limited liability company which provides marriage
45 and family therapy services as such services are defined in article 163
46 of the education law, each member of such foreign professional service
47 limited liability company must be licensed pursuant to article 163 of
48 the education law to practice marriage and family therapy in this state.
49 With respect to a foreign professional service limited liability company
50 which provides mental health counseling services as such services are
51 defined in article 163 of the education law, each member of such foreign
52 professional service limited liability company must be licensed pursuant
53 to article 163 of the education law to practice mental health counseling
54 in this state. With respect to a foreign professional service limited
55 liability company which provides psychoanalysis services as such
56 services are defined in article 163 of the education law, each member of
A. 4391 6
1 such foreign professional service limited liability company must be
2 licensed pursuant to article 163 of the education law to practice
3 psychoanalysis in this state. With respect to a foreign professional
4 service limited liability company which provides applied behavior analy-
5 sis services as such services are defined in article 167 of the educa-
6 tion law, each member of such foreign professional service limited
7 liability company must be licensed or certified pursuant to article 167
8 of the education law to practice applied behavior analysis in this
9 state. With respect to a foreign professional service limited liability
10 company formed to provide integrated, multi-disciplinary medical and
11 chiropractic services, as such services are respectively defined under
12 article 131 and article 132 of the education law, (i) each member of
13 such limited liability company must be licensed pursuant to article 131
14 or article 132 of the education law to practice his or her profession in
15 this state, (ii) each member shall only practice his or her profession
16 as specified in his or her respective professional enabling statute
17 under article 131 or article 132 of the education law, and (iii) the
18 clinical integration of professional practices within an integrated,
19 multidisciplinary entity organized under this section does not alter,
20 expand or curtail the scope of practice of any of the individuals
21 licensed under the statute of his or her respective professional enabl-
22 ing law, provided that: (a) the clinical judgment, management and clin-
23 ical decision-making of one or more article 131 providers in an inte-
24 grated, multidisciplinary professional service limited liability company
25 shall be controlling, (b) members licensed under article 132 of the
26 education law, shall not, directly or indirectly, interfere with the
27 clinical judgment or legitimate clinical practice of a professional
28 licensed under article 131, and (c) individuals licensed under article
29 131 may not order or direct a professional licensed under article 132 of
30 the education law to practice beyond the scope of his or her license
31 under article 132 of the education law, even if supervised directly or
32 indirectly by a professional licensed under article 131.
33 § 4. Paragraph (a) of section 1503 of the business corporation law, as
34 amended by chapter 550 of the laws of 2011, is amended to read as
35 follows:
36 (a) Notwithstanding any other provision of law, (i) one or more indi-
37 viduals duly authorized by law to render the same professional service
38 within the state may organize, or cause to be organized, a professional
39 service corporation for pecuniary profit under this article for the
40 purpose of rendering the same professional service, except that one or
41 more individuals duly authorized by law to practice professional engi-
42 neering, architecture, landscape architecture or land surveying within
43 the state may organize, or cause to be organized, a professional service
44 corporation or a design professional service corporation for pecuniary
45 profit under this article for the purpose of rendering such professional
46 services as such individuals are authorized to practice, and, (ii) one
47 or more individuals duly licensed to practice medicine and one or more
48 chiropractors licensed under article 132 of the education law, who may
49 be board certified or qualified by his or her respective professional
50 specialty boards, may organize, or cause to be organized, for business
51 purposes only, a multidisciplinary professional service corporation
52 formed for pecuniary profit under this article for the purpose of
53 rendering integrated and non-integrated professional services within
54 such a corporation as such individuals are authorized to practice indi-
55 vidually in his or her respective professions, provided that the clin-
56 ical integration of professional practices within an entity organized
A. 4391 7
1 under this section does not alter, expand or curtail the scope of prac-
2 tice of any of the individuals licensed under the statute of his or her
3 respective professional enabling law; that the clinical judgment,
4 management and clinical decision-making of one or more article 131
5 providers in an integrated, multidisciplinary practice shall be control-
6 ling; that members licensed under article 132 of the education law,
7 shall not, directly or indirectly, interfere with the clinical judgment
8 or legitimate clinical practice of a professional licensed under article
9 131; and that individuals licensed under article 131 may not order or
10 direct a professional licensed under article 132 of the education law to
11 practice beyond the scope of his or her license under article 132 of the
12 education law in a professional service limited liability company, even
13 if supervised directly or indirectly by a professional licensed under
14 article 131.
15 § 5. Subdivision (q) of section 121-1500 of the partnership law, as
16 amended by chapter 554 of the laws of 2013, is amended to read as
17 follows:
18 (q) Each partner of a registered limited liability partnership formed
19 to provide medical services in this state must be licensed pursuant to
20 article 131 of the education law to practice medicine in this state and
21 each partner of a registered limited liability partnership formed to
22 provide dental services in this state must be licensed pursuant to arti-
23 cle 133 of the education law to practice dentistry in this state. Each
24 partner of a registered limited liability partnership formed to provide
25 veterinary services in this state must be licensed pursuant to article
26 135 of the education law to practice veterinary medicine in this state.
27 Each partner of a registered limited liability partnership formed to
28 provide professional engineering, land surveying, architectural and/or
29 landscape architectural services in this state must be licensed pursuant
30 to article 145, article 147 and/or article 148 of the education law to
31 practice one or more of such professions in this state. Each partner of
32 a registered limited liability partnership formed to provide licensed
33 clinical social work services in this state must be licensed pursuant to
34 article 154 of the education law to practice clinical social work in
35 this state. Each partner of a registered limited liability partnership
36 formed to provide creative arts therapy services in this state must be
37 licensed pursuant to article 163 of the education law to practice crea-
38 tive arts therapy in this state. Each partner of a registered limited
39 liability partnership formed to provide marriage and family therapy
40 services in this state must be licensed pursuant to article 163 of the
41 education law to practice marriage and family therapy in this state.
42 Each partner of a registered limited liability partnership formed to
43 provide mental health counseling services in this state must be licensed
44 pursuant to article 163 of the education law to practice mental health
45 counseling in this state. Each partner of a registered limited liability
46 partnership formed to provide psychoanalysis services in this state must
47 be licensed pursuant to article 163 of the education law to practice
48 psychoanalysis in this state. Each partner of a registered limited
49 liability partnership formed to provide applied behavior analysis
50 service in this state must be licensed or certified pursuant to article
51 167 of the education law to practice applied behavior analysis in this
52 state. Each partner of a registered limited liability partnership
53 formed to provide integrated, multidisciplinary medical and chiropractic
54 services, as such services are respectively defined under article 131
55 and article 132 of the education law, (i) must be licensed pursuant to
56 article 131 or article 132 of the education law to practice his or her
A. 4391 8
1 profession in this state, (ii) shall only practice his or her profession
2 as specified in his or her respective professional enabling statute
3 under article 131 or article 132 of the education law, and (iii) the
4 clinical integration of professional practices within an integrated,
5 multi-disciplinary entity organized under this section does not alter,
6 expand or curtail the scope of practice of any of the individuals
7 licensed under the statute of his or her respective professional enabl-
8 ing law, provided that: (a) the clinical judgment, management and clin-
9 ical decision-making of one or more article 131 providers in an inte-
10 grated, multidisciplinary professional service limited liability company
11 shall be controlling, (b) members licensed under article 132 of the
12 education law, shall not, directly or indirectly, interfere with the
13 clinical judgment or legitimate clinical practice of a professional
14 licensed under article 131, and (c) individuals licensed under article
15 131 may not order or direct a professional licensed under article 132 of
16 the education law to practice beyond the scope of his or her license
17 under article 132 of the education law, even if supervised directly or
18 indirectly by a professional licensed under article 131.
19 § 6. Subdivision (q) of section 121-1502 of the partnership law, as
20 amended by chapter 554 of the laws of 2013, is amended to read as
21 follows:
22 (q) Each partner of a foreign limited liability partnership which
23 provides medical services in this state must be licensed pursuant to
24 article 131 of the education law to practice medicine in the state and
25 each partner of a foreign limited liability partnership which provides
26 dental services in the state must be licensed pursuant to article 133 of
27 the education law to practice dentistry in this state. Each partner of a
28 foreign limited liability partnership which provides veterinary service
29 in the state shall be licensed pursuant to article 135 of the education
30 law to practice veterinary medicine in this state. Each partner of a
31 foreign limited liability partnership which provides professional engi-
32 neering, land surveying, architectural and/or landscape architectural
33 services in this state must be licensed pursuant to article 145, article
34 147 and/or article 148 of the education law to practice one or more of
35 such professions. Each partner of a foreign limited liability partner-
36 ship which provides licensed clinical social work services in this state
37 must be licensed pursuant to article 154 of the education law to prac-
38 tice licensed clinical social work in this state. Each partner of a
39 foreign limited liability partnership which provides creative arts ther-
40 apy services in this state must be licensed pursuant to article 163 of
41 the education law to practice creative arts therapy in this state. Each
42 partner of a foreign limited liability partnership which provides
43 marriage and family therapy services in this state must be licensed
44 pursuant to article 163 of the education law to practice marriage and
45 family therapy in this state. Each partner of a foreign limited liabil-
46 ity partnership which provides mental health counseling services in this
47 state must be licensed pursuant to article 163 of the education law to
48 practice mental health counseling in this state. Each partner of a
49 foreign limited liability partnership which provides psychoanalysis
50 services in this state must be licensed pursuant to article 163 of the
51 education law to practice psychoanalysis in this state. Each partner of
52 a foreign limited liability partnership which provides applied behavior
53 analysis services in this state must be licensed or certified pursuant
54 to article 167 of the education law to practice applied behavior analy-
55 sis in this state. Each partner of a foreign limited liability partner-
56 ship formed to provide integrated, multidisciplinary medical and chirop-
A. 4391 9
1 ractic services, as such services are defined under article 131 or
2 article 132 of the education law, (i) must be licensed pursuant to arti-
3 cle 131 or article 132 of the education law to practice his or her
4 profession in this state, (ii) shall only practice his or her profession
5 as specified in his or her respective professional enabling statute
6 under article 131 or article 132 of the education law, and (iii) the
7 clinical integration of professional practices within an integrated,
8 multidisciplinary entity organized under this section does not alter,
9 expand or curtail the scope of practice of any of the individuals
10 licensed under the statute of his or her respective professional enabl-
11 ing law, provided that: (a) the clinical judgment, management and clin-
12 ical decision-making of one or more article 131 providers in an inte-
13 grated, multidisciplinary professional service limited liability company
14 shall be controlling, (b) members not licensed under article 131 of the
15 education law, shall not, directly or indirectly, interfere with the
16 clinical judgment or legitimate clinical practice of a professional
17 licensed under article 131, and (c) individuals licensed under article
18 131 may not order or direct a professional licensed under article 132 of
19 the education law to practice beyond the scope of his or her license
20 under article 132 of the education law, even if supervised directly or
21 indirectly by a professional licensed under article 131.
22 § 7. Subdivision (a) of section 1203 of the limited liability company
23 law, as amended by chapter 475 of the laws of 2014, is amended to read
24 as follows:
25 (a) Notwithstanding the education law or any other provision of law,
26 one or more professionals each of whom is authorized by law to render a
27 professional service within the state, or one or more professionals, at
28 least one of whom is authorized by law to render a professional service
29 within the state, may form, or cause to be formed, a professional
30 service limited liability company for pecuniary profit under this arti-
31 cle for the purpose of rendering the professional service or services as
32 such professionals are authorized to practice. With respect to a profes-
33 sional service limited liability company formed to provide medical
34 services as such services are defined in article 131 of the education
35 law, each member of such limited liability company must be licensed
36 pursuant to article 131 of the education law to practice medicine in
37 this state. With respect to a professional service limited liability
38 company formed to provide dental services as such services are defined
39 in article 133 of the education law, each member of such limited liabil-
40 ity company must be licensed pursuant to article 133 of the education
41 law to practice dentistry in this state. With respect to a professional
42 service limited liability company formed to provide veterinary services
43 as such services are defined in article 135 of the education law, each
44 member of such limited liability company must be licensed pursuant to
45 article 135 of the education law to practice veterinary medicine in this
46 state. With respect to a professional service limited liability company
47 formed to provide professional engineering, land surveying, architec-
48 tural, landscape architectural and/or geological services as such
49 services are defined in article 145, article 147 and article 148 of the
50 education law, each member of such limited liability company must be
51 licensed pursuant to article 145, article 147 and/or article 148 of the
52 education law to practice one or more of such professions in this state.
53 With respect to a professional service limited liability company formed
54 to provide licensed clinical social work services as such services are
55 defined in article 154 of the education law, each member of such limited
56 liability company shall be licensed pursuant to article 154 of the
A. 4391 10
1 education law to practice licensed clinical social work in this state.
2 With respect to a professional service limited liability company formed
3 to provide creative arts therapy services as such services are defined
4 in article 163 of the education law, each member of such limited liabil-
5 ity company must be licensed pursuant to article 163 of the education
6 law to practice creative arts therapy in this state. With respect to a
7 professional service limited liability company formed to provide
8 marriage and family therapy services as such services are defined in
9 article 163 of the education law, each member of such limited liability
10 company must be licensed pursuant to article 163 of the education law to
11 practice marriage and family therapy in this state. With respect to a
12 professional service limited liability company formed to provide mental
13 health counseling services as such services are defined in article 163
14 of the education law, each member of such limited liability company must
15 be licensed pursuant to article 163 of the education law to practice
16 mental health counseling in this state. With respect to a professional
17 service limited liability company formed to provide psychoanalysis
18 services as such services are defined in article 163 of the education
19 law, each member of such limited liability company must be licensed
20 pursuant to article 163 of the education law to practice psychoanalysis
21 in this state. With respect to a professional service limited liability
22 company formed to provide applied behavior analysis services as such
23 services are defined in article 167 of the education law, each member of
24 such limited liability company must be licensed or certified pursuant to
25 article 167 of the education law to practice applied behavior analysis
26 in this state. In addition to engaging in such profession or
27 professions, a professional service limited liability company may engage
28 in any other business or activities as to which a limited liability
29 company may be formed under section two hundred one of this chapter.
30 Notwithstanding any other provision of this section, a professional
31 service limited liability company (i) authorized to practice law may
32 only engage in another profession or business or activities or (ii)
33 which is engaged in a profession or other business or activities other
34 than law may only engage in the practice of law, to the extent not
35 prohibited by any other law of this state or any rule adopted by the
36 appropriate appellate division of the supreme court or the court of
37 appeals. Notwithstanding any other provision of this section, with
38 respect to a limited liability company formed to provide integrated,
39 multidisciplinary medical and chiropractic services, as such services
40 are respectively defined under articles 131 and 132 of the education
41 law, (i) each member of such limited liability company must be licensed
42 pursuant to article 131 or article 132 of the education law to practice
43 his or her profession in this state, (ii) each member shall only prac-
44 tice his or her profession as specified in his or her respective profes-
45 sional enabling statute under article 131 or article 132 of the educa-
46 tion law, and (iii) the clinical integration of professional practices
47 within an integrated, multidisciplinary entity organized under this
48 section does not alter, expand or curtail the scope of practice of any
49 of the individuals licensed under the statute of his or her respective
50 professional enabling law, provided that: (a) the clinical judgment,
51 management and clinical decision-making of one or more article 131
52 providers in an integrated, multidisciplinary professional service
53 limited liability company shall be controlling, (b) members licensed
54 under article 132 of the education law, shall not, directly or indirect-
55 ly, interfere with the clinical judgment or legitimate clinical practice
56 of a professional licensed under article 131, and (c) individuals
A. 4391 11
1 licensed under article 131 may not order or direct a professional
2 licensed under article 132 of the education law to practice beyond the
3 scope of his or her license under article 132 of the education law, even
4 if supervised directly or indirectly by a professional licensed under
5 article 131.
6 § 8. Subdivision (b) of section 1207 of the limited liability company
7 law, as amended by chapter 475 of the laws of 2014, is amended to read
8 as follows:
9 (b) With respect to a professional service limited liability company
10 formed to provide medical services as such services are defined in arti-
11 cle 131 of the education law, each member of such limited liability
12 company must be licensed pursuant to article 131 of the education law to
13 practice medicine in this state. With respect to a professional service
14 limited liability company formed to provide dental services as such
15 services are defined in article 133 of the education law, each member of
16 such limited liability company must be licensed pursuant to article 133
17 of the education law to practice dentistry in this state. With respect
18 to a professional service limited liability company formed to provide
19 veterinary services as such services are defined in article 135 of the
20 education law, each member of such limited liability company must be
21 licensed pursuant to article 135 of the education law to practice veter-
22 inary medicine in this state. With respect to a professional service
23 limited liability company formed to provide professional engineering,
24 land surveying, architectural, landscape architectural and/or geological
25 services as such services are defined in article 145, article 147 and
26 article 148 of the education law, each member of such limited liability
27 company must be licensed pursuant to article 145, article 147 and/or
28 article 148 of the education law to practice one or more of such
29 professions in this state. With respect to a professional service limit-
30 ed liability company formed to provide licensed clinical social work
31 services as such services are defined in article 154 of the education
32 law, each member of such limited liability company shall be licensed
33 pursuant to article 154 of the education law to practice licensed clin-
34 ical social work in this state. With respect to a professional service
35 limited liability company formed to provide creative arts therapy
36 services as such services are defined in article 163 of the education
37 law, each member of such limited liability company must be licensed
38 pursuant to article 163 of the education law to practice creative arts
39 therapy in this state. With respect to a professional service limited
40 liability company formed to provide marriage and family therapy services
41 as such services are defined in article 163 of the education law, each
42 member of such limited liability company must be licensed pursuant to
43 article 163 of the education law to practice marriage and family therapy
44 in this state. With respect to a professional service limited liability
45 company formed to provide mental health counseling services as such
46 services are defined in article 163 of the education law, each member of
47 such limited liability company must be licensed pursuant to article 163
48 of the education law to practice mental health counseling in this state.
49 With respect to a professional service limited liability company formed
50 to provide psychoanalysis services as such services are defined in arti-
51 cle 163 of the education law, each member of such limited liability
52 company must be licensed pursuant to article 163 of the education law to
53 practice psychoanalysis in this state. With respect to a professional
54 service limited liability company formed to provide applied behavior
55 analysis services as such services are defined in article 167 of the
56 education law, each member of such limited liability company must be
A. 4391 12
1 licensed or certified pursuant to article 167 of the education law to
2 practice applied behavior analysis in this state. Notwithstanding any
3 other provision of this section, with respect to a professional service
4 limited liability company formed to provide integrated, multidiscipli-
5 nary medical and chiropractic services, as such services are respective-
6 ly defined under articles 131 and 132 of the education law, (i) each
7 member of such limited liability company must be licensed pursuant to
8 article 131 or article 132 of the education law to practice his or her
9 profession in this state, (ii) each member shall only practice his or
10 her profession as specified in his or her respective professional enabl-
11 ing statute under article 131 or article 132 of the education law, and
12 (iii) the clinical integration of professional practices within an inte-
13 grated, multidisciplinary entity organized under this section does not
14 alter, expand or curtail the scope of practice of any of the individuals
15 licensed under the statute of his or her respective professional enabl-
16 ing law, provided that: (a) the clinical judgment, management and clin-
17 ical decision-making of one or more article 131 providers in an inte-
18 grated, multidisciplinary professional service limited liability company
19 shall be controlling, (b) members licensed under article 132 of the
20 education law, shall not, directly or indirectly, interfere with the
21 clinical judgment or legitimate clinical practice of a professional
22 licensed under article 131, and (c) individuals licensed under article
23 131 may not order or direct a professional licensed under article 132 of
24 the education law to practice beyond the scope of his or her license
25 under article 132 of the education law, even if supervised directly or
26 indirectly by a professional licensed under article 131.
27 § 9. Subdivision (a) of section 1301 of the limited liability company
28 law, as amended by chapter 475 of the laws of 2014, is amended to read
29 as follows:
30 (a) "Foreign professional service limited liability company" means a
31 professional service limited liability company, whether or not denomi-
32 nated as such, organized under the laws of a jurisdiction other than
33 this state, (i) each of whose members and managers, if any, is a profes-
34 sional authorized by law to render a professional service within this
35 state and who is or has been engaged in the practice of such profession
36 in such professional service limited liability company or a predecessor
37 entity, or will engage in the practice of such profession in the profes-
38 sional service limited liability company within thirty days of the date
39 such professional becomes a member, or each of whose members and manag-
40 ers, if any, is a professional at least one of such members is author-
41 ized by law to render a professional service within this state and who
42 is or has been engaged in the practice of such profession in such
43 professional service limited liability company or a predecessor entity,
44 or will engage in the practice of such profession in the professional
45 service limited liability company within thirty days of the date such
46 professional becomes a member, or (ii) authorized by, or holding a
47 license, certificate, registration or permit issued by the licensing
48 authority pursuant to, the education law to render a professional
49 service within this state; except that all members and managers, if any,
50 of a foreign professional service limited liability company that
51 provides health services in this state shall be licensed in this state.
52 With respect to a foreign professional service limited liability company
53 which provides veterinary services as such services are defined in arti-
54 cle 135 of the education law, each member of such foreign professional
55 service limited liability company shall be licensed pursuant to article
56 135 of the education law to practice veterinary medicine. With respect
A. 4391 13
1 to a foreign professional service limited liability company which
2 provides medical services as such services are defined in article 131 of
3 the education law, each member of such foreign professional service
4 limited liability company must be licensed pursuant to article 131 of
5 the education law to practice medicine in this state. With respect to a
6 foreign professional service limited liability company which provides
7 dental services as such services are defined in article 133 of the
8 education law, each member of such foreign professional service limited
9 liability company must be licensed pursuant to article 133 of the educa-
10 tion law to practice dentistry in this state. With respect to a foreign
11 professional service limited liability company which provides profes-
12 sional engineering, land surveying, geologic architectural and/or land-
13 scape architectural services as such services are defined in article
14 145, article 147 and article 148 of the education law, each member of
15 such foreign professional service limited liability company must be
16 licensed pursuant to article 145, article 147 and/or article 148 of the
17 education law to practice one or more of such professions in this state.
18 With respect to a foreign professional service limited liability company
19 which provides licensed clinical social work services as such services
20 are defined in article 154 of the education law, each member of such
21 foreign professional service limited liability company shall be licensed
22 pursuant to article 154 of the education law to practice clinical social
23 work in this state. With respect to a foreign professional service
24 limited liability company which provides creative arts therapy services
25 as such services are defined in article 163 of the education law, each
26 member of such foreign professional service limited liability company
27 must be licensed pursuant to article 163 of the education law to prac-
28 tice creative arts therapy in this state. With respect to a foreign
29 professional service limited liability company which provides marriage
30 and family therapy services as such services are defined in article 163
31 of the education law, each member of such foreign professional service
32 limited liability company must be licensed pursuant to article 163 of
33 the education law to practice marriage and family therapy in this state.
34 With respect to a foreign professional service limited liability company
35 which provides mental health counseling services as such services are
36 defined in article 163 of the education law, each member of such foreign
37 professional service limited liability company must be licensed pursuant
38 to article 163 of the education law to practice mental health counseling
39 in this state. With respect to a foreign professional service limited
40 liability company which provides psychoanalysis services as such
41 services are defined in article 163 of the education law, each member of
42 such foreign professional service limited liability company must be
43 licensed pursuant to article 163 of the education law to practice
44 psychoanalysis in this state. With respect to a foreign professional
45 service limited liability company which provides applied behavior analy-
46 sis services as such services are defined in article 167 of the educa-
47 tion law, each member of such foreign professional service limited
48 liability company must be licensed or certified pursuant to article 167
49 of the education law to practice applied behavior analysis in this
50 state. With respect to a foreign professional service limited liability
51 company formed to provide integrated, multi-disciplinary medical and
52 chiropractic services, as such services are respectively defined under
53 article 131 and article 132 of the education law, (i) each member of
54 such limited liability company must be licensed pursuant to article 131
55 or article 132 of the education law to practice his or her profession in
56 this state, (ii) each member shall only practice his or her profession
A. 4391 14
1 as specified in his or her respective professional enabling statute
2 under article 131 or article 132 of the education law, and (iii) the
3 clinical integration of professional practices within an integrated,
4 multidisciplinary entity organized under this section does not alter,
5 expand or curtail the scope of practice of any of the individuals
6 licensed under the statute of his or her respective professional enabl-
7 ing law, provided that: (a) the clinical judgment, management and clin-
8 ical decision-making of one or more article 131 providers in an inte-
9 grated, multidisciplinary professional service limited liability company
10 shall be controlling, (b) members licensed under article 132 of the
11 education law, shall not, directly or indirectly, interfere with the
12 clinical judgment or legitimate clinical practice of a professional
13 licensed under article 131, and (c) individuals licensed under article
14 131 may not order or direct a professional licensed under article 132 of
15 the education law to practice beyond the scope of his or her license
16 under article 132 of the education law, even if supervised directly or
17 indirectly by a professional licensed under article 131.
18 § 10. Paragraph (a) of section 1503 of the business corporation law,
19 as amended by chapter 475 of the laws of 2014, is amended to read as
20 follows:
21 (a) Notwithstanding any other provision of law, (i) one or more indi-
22 viduals duly authorized by law to render the same professional service
23 within the state may organize, or cause to be organized, a professional
24 service corporation for pecuniary profit under this article for the
25 purpose of rendering the same professional service, except that one or
26 more individuals duly authorized by law to practice professional engi-
27 neering, architecture, landscape architecture, land surveying or geology
28 within the state may organize, or cause to be organized, a professional
29 service corporation or a design professional service corporation for
30 pecuniary profit under this article for the purpose of rendering such
31 professional services as such individuals are authorized to practice,
32 and, (ii) one or more individuals duly licensed to practice medicine and
33 one or more chiropractors licensed under article 132 of the education
34 law, who may be board certified or qualified by his or her respective
35 professional specialty boards, may organize, or cause to be organized,
36 for business purposes only, a multidisciplinary professional service
37 corporation formed for pecuniary profit under this article for the
38 purpose of rendering integrated and non-integrated professional services
39 within such a corporation as such individuals are authorized to practice
40 individually in his or her respective professions, provided that the
41 clinical integration of professional practices within an entity organ-
42 ized under this section does not alter, expand or curtail the scope of
43 practice of any of the individuals licensed under the statute of his or
44 her respective professional enabling law; that the clinical judgment,
45 management and clinical decision-making of one or more article 131
46 providers in an integrated, multidisciplinary practice shall be control-
47 ling; that members licensed under article 132 of the education law,
48 shall not, directly or indirectly, interfere with the clinical judgment
49 or legitimate clinical practice of a professional licensed under article
50 131; and that individuals licensed under article 131 may not order or
51 direct a professional licensed under article 132 of the education law to
52 practice beyond the scope of his or her license under article 132 of the
53 education law in a professional service limited liability company, even
54 if supervised directly or indirectly by a professional licensed under
55 article 131.
A. 4391 15
1 § 11. Subdivision (q) of section 121-1500 of the partnership law, as
2 amended by chapter 475 of the laws of 2014, is amended to read as
3 follows:
4 (q) Each partner of a registered limited liability partnership formed
5 to provide medical services in this state must be licensed pursuant to
6 article 131 of the education law to practice medicine in this state and
7 each partner of a registered limited liability partnership formed to
8 provide dental services in this state must be licensed pursuant to arti-
9 cle 133 of the education law to practice dentistry in this state. Each
10 partner of a registered limited liability partnership formed to provide
11 veterinary services in this state must be licensed pursuant to article
12 135 of the education law to practice veterinary medicine in this state.
13 Each partner of a registered limited liability partnership formed to
14 provide professional engineering, land surveying, geological services,
15 architectural and/or landscape architectural services in this state must
16 be licensed pursuant to article 145, article 147 and/or article 148 of
17 the education law to practice one or more of such professions in this
18 state. Each partner of a registered limited liability partnership formed
19 to provide licensed clinical social work services in this state must be
20 licensed pursuant to article 154 of the education law to practice clin-
21 ical social work in this state. Each partner of a registered limited
22 liability partnership formed to provide creative arts therapy services
23 in this state must be licensed pursuant to article 163 of the education
24 law to practice creative arts therapy in this state. Each partner of a
25 registered limited liability partnership formed to provide marriage and
26 family therapy services in this state must be licensed pursuant to arti-
27 cle 163 of the education law to practice marriage and family therapy in
28 this state. Each partner of a registered limited liability partnership
29 formed to provide mental health counseling services in this state must
30 be licensed pursuant to article 163 of the education law to practice
31 mental health counseling in this state. Each partner of a registered
32 limited liability partnership formed to provide psychoanalysis services
33 in this state must be licensed pursuant to article 163 of the education
34 law to practice psychoanalysis in this state. Each partner of a regis-
35 tered limited liability partnership formed to provide applied behavior
36 analysis service in this state must be licensed or certified pursuant to
37 article 167 of the education law to practice applied behavior analysis
38 in this state. Each partner of a registered limited liability partner-
39 ship formed to provide integrated, multidisciplinary medical and chirop-
40 ractic services, as such services are respectively defined under article
41 131 and article 132 of the education law, (i) must be licensed pursuant
42 to article 131 or article 132 of the education law to practice his or
43 her profession in this state, (ii) shall only practice his or her
44 profession as specified in his or her respective professional enabling
45 statute under article 131 or article 132 of the education law, and (iii)
46 the clinical integration of professional practices within an integrated,
47 multi-disciplinary entity organized under this section does not alter,
48 expand or curtail the scope of practice of any of the individuals
49 licensed under the statute of his or her respective professional enabl-
50 ing law, provided that: (a) the clinical judgment, management and clin-
51 ical decision-making of one or more article 131 providers in an inte-
52 grated, multidisciplinary professional service limited liability company
53 shall be controlling, (b) members licensed under article 132 of the
54 education law, shall not, directly or indirectly, interfere with the
55 clinical judgment or legitimate clinical practice of a professional
56 licensed under article 131, and (c) individuals licensed under article
A. 4391 16
1 131 may not order or direct a professional licensed under article 132 of
2 the education law to practice beyond the scope of his or her license
3 under article 132 of the education law, even if supervised directly or
4 indirectly by a professional licensed under article 131.
5 § 12. Subdivision (q) of section 121-1502 of the partnership law, as
6 amended by chapter 475 of the laws of 2014, is amended to read as
7 follows:
8 (q) Each partner of a foreign limited liability partnership which
9 provides medical services in this state must be licensed pursuant to
10 article 131 of the education law to practice medicine in the state and
11 each partner of a foreign limited liability partnership which provides
12 dental services in the state must be licensed pursuant to article 133 of
13 the education law to practice dentistry in this state. Each partner of a
14 foreign limited liability partnership which provides veterinary service
15 in the state shall be licensed pursuant to article 135 of the education
16 law to practice veterinary medicine in this state. Each partner of a
17 foreign limited liability partnership which provides professional engi-
18 neering, land surveying, geological services, architectural and/or land-
19 scape architectural services in this state must be licensed pursuant to
20 article 145, article 147 and/or article 148 of the education law to
21 practice one or more of such professions. Each partner of a foreign
22 limited liability partnership which provides licensed clinical social
23 work services in this state must be licensed pursuant to article 154 of
24 the education law to practice licensed clinical social work in this
25 state. Each partner of a foreign limited liability partnership which
26 provides creative arts therapy services in this state must be licensed
27 pursuant to article 163 of the education law to practice creative arts
28 therapy in this state. Each partner of a foreign limited liability part-
29 nership which provides marriage and family therapy services in this
30 state must be licensed pursuant to article 163 of the education law to
31 practice marriage and family therapy in this state. Each partner of a
32 foreign limited liability partnership which provides mental health coun-
33 seling services in this state must be licensed pursuant to article 163
34 of the education law to practice mental health counseling in this state.
35 Each partner of a foreign limited liability partnership which provides
36 psychoanalysis services in this state must be licensed pursuant to arti-
37 cle 163 of the education law to practice psychoanalysis in this state.
38 Each partner of a foreign limited liability partnership which provides
39 applied behavior analysis services in this state must be licensed or
40 certified pursuant to article 167 of the education law to practice
41 applied behavior analysis in this state. Each partner of a foreign
42 limited liability partnership formed to provide integrated, multidisci-
43 plinary medical and chiropractic services, as such services are defined
44 under article 131 or article 132 of the education law, (i) must be
45 licensed pursuant to article 131 or article 132 of the education law to
46 practice his or her profession in this state, (ii) shall only practice
47 his or her profession as specified in his or her respective professional
48 enabling statute under article 131 or article 132 of the education law,
49 and (iii) the clinical integration of professional practices within an
50 integrated, multidisciplinary entity organized under this section does
51 not alter, expand or curtail the scope of practice of any of the indi-
52 viduals licensed under the statute of his or her respective professional
53 enabling law, provided that: (a) the clinical judgment, management and
54 clinical decision-making of one or more article 131 providers in an
55 integrated, multidisciplinary professional service limited liability
56 company shall be controlling, (b) members not licensed under article 131
A. 4391 17
1 of the education law, shall not, directly or indirectly, interfere with
2 the clinical judgment or legitimate clinical practice of a professional
3 licensed under article 131, and (c) individuals licensed under article
4 131 may not order or direct a professional licensed under article 132 of
5 the education law to practice beyond the scope of his or her license
6 under article 132 of the education law, even if supervised directly or
7 indirectly by a professional licensed under article 131.
8 § 13. Subdivision 1 of section 2801 of the public health law, as sepa-
9 rately amended by chapters 297 and 416 of the laws of 1983, is amended
10 to read as follows:
11 1. "Hospital" means a facility or institution engaged principally in
12 providing services by or under the supervision of a physician or, in the
13 case of a dental clinic or dental dispensary, of a dentist, for the
14 prevention, diagnosis or treatment of human disease, pain, injury,
15 deformity or physical condition, including, but not limited to, a gener-
16 al hospital, public health center, diagnostic center, treatment center,
17 dental clinic, dental dispensary, rehabilitation center other than a
18 facility used solely for vocational rehabilitation, nursing home, tuber-
19 culosis hospital, chronic disease hospital, maternity hospital, lying-
20 in-asylum, out-patient department, out-patient lodge, dispensary and a
21 laboratory or central service facility serving one or more such insti-
22 tutions, but the term hospital shall not include an institution, sani-
23 tarium or other facility engaged principally in providing services for
24 the prevention, diagnosis or treatment of mental disability and which is
25 subject to the powers of visitation, examination, inspection and inves-
26 tigation of the department of mental hygiene except for those distinct
27 parts of such a facility which provide hospital service. The provisions
28 of this article shall not apply to a facility or institution engaged
29 principally in providing services by or under the supervision of the
30 bona fide members and adherents of a recognized religious organization
31 whose teachings include reliance on spiritual means through prayer alone
32 for healing in the practice of the religion of such organization and
33 where services are provided in accordance with those teachings or to a
34 business corporation, limited liability corporation or partnership
35 between a medical doctor and a duly licensed title VIII healthcare
36 professional.
37 § 14. Subdivision 19 of section 6530 of the education law, as added by
38 chapter 606 of the laws of 1991, is amended to read as follows:
39 19. Permitting any person to share in the fees for professional
40 services, other than: a partner, employee, associate in a professional
41 firm or corporation, professional subcontractor or consultant authorized
42 to practice medicine, or a legally authorized trainee practicing under
43 the supervision of a licensee or a chiropractor providing professional
44 services in the same practice. This prohibition shall include any
45 arrangement or agreement whereby the amount received in payment for
46 furnishing space, facilities, equipment or personnel services used by a
47 licensee constitutes a percentage of, or is otherwise dependent upon,
48 the income or receipts of the licensee from such practice, except as
49 otherwise provided by law with respect to a facility licensed pursuant
50 to article twenty-eight of the public health law or article thirteen of
51 the mental hygiene law;
52 § 15. Section 6509-a of the education law, as amended by chapter 555
53 of the laws of 1993, is amended to read as follows:
54 § 6509-a. Additional definition of professional misconduct; limited
55 application. Notwithstanding any inconsistent provision of this article
56 or of any other provision of law to the contrary, the license or regis-
A. 4391 18
1 tration of a person subject to the provisions of articles one hundred
2 thirty-two, one hundred thirty-three, one hundred thirty-six, one
3 hundred thirty-seven, one hundred thirty-nine, one hundred forty-one,
4 one hundred forty-three, one hundred forty-four, one hundred fifty-six,
5 one hundred fifty-nine and one hundred sixty-four of this chapter may be
6 revoked, suspended or annulled or such person may be subject to any
7 other penalty provided in section sixty-five hundred eleven of this
8 article in accordance with the provisions and procedure of this article
9 for the following:
10 That any person subject to the above enumerated articles, has directly
11 or indirectly requested, received or participated in the division,
12 transference, assignment, rebate, splitting or refunding of a fee for,
13 or has directly requested, received or profited by means of a credit or
14 other valuable consideration as a commission, discount or gratuity in
15 connection with the furnishing of professional care, or service, includ-
16 ing x-ray examination and treatment, or for or in connection with the
17 sale, rental, supplying or furnishing of clinical laboratory services or
18 supplies, x-ray laboratory services or supplies, inhalation therapy
19 service or equipment, ambulance service, hospital or medical supplies,
20 physiotherapy or other therapeutic service or equipment, artificial
21 limbs, teeth or eyes, orthopedic or surgical appliances or supplies,
22 optical appliances, supplies or equipment, devices for aid of hearing,
23 drugs, medication or medical supplies or any other goods, services or
24 supplies prescribed for medical diagnosis, care or treatment under this
25 chapter, except payment, not to exceed thirty-three and one-third per
26 centum of any fee received for x-ray examination, diagnosis or treat-
27 ment, to any hospital furnishing facilities for such examination, diag-
28 nosis or treatment. Nothing contained in this section shall prohibit
29 such persons from practicing as partners, in groups or as a professional
30 corporation or as a university faculty practice corporation nor from
31 pooling fees and moneys received, either by the partnerships, profes-
32 sional corporations, university faculty practice corporations or groups
33 by the individual members thereof, for professional services furnished
34 by any individual professional member, or employee of such partnership,
35 corporation or group, nor shall the professionals constituting the part-
36 nerships, corporations or groups be prohibited from sharing, dividing or
37 apportioning the fees and moneys received by them or by the partnership,
38 corporation or group in accordance with a partnership or other agree-
39 ment; provided that no such practice as partners, corporations or in
40 groups or pooling of fees or moneys received or shared, division or
41 apportionment of fees shall be permitted with respect to care and treat-
42 ment under the workers' compensation law except as expressly authorized
43 by the workers' compensation law. Nothing contained in this section,
44 shall prohibit a multidisciplinary medical and chiropractic practice
45 formed pursuant to subdivision (a) or (b) of section twelve hundred
46 three of the limited liability company law, subdivision (a) of section
47 thirteen hundred one of the limited liability company law, paragraph (a)
48 of section fifteen hundred three of the business corporation law, subdi-
49 vision (q) of section 121-1500 of the partnership law, or subdivision
50 (q) of section 121-1502 of the partnership law from pooling fees or
51 monies received. Nothing contained in this chapter shall prohibit a
52 medical or dental expense indemnity corporation pursuant to its contract
53 with the subscriber from prorationing a medical or dental expense indem-
54 nity allowance among two or more professionals in proportion to the
55 services rendered by each such professional at the request of the
56 subscriber, provided that prior to payment thereof such professionals
A. 4391 19
1 shall submit both to the medical or dental expense indemnity corporation
2 and to the subscriber statements itemizing the services rendered by each
3 such professional and the charges therefor.
4 § 16. Section 6531 of the education law, as amended by chapter 555 of
5 the laws of 1993, is amended to read as follows:
6 § 6531. Additional definition of professional misconduct, limited
7 application. Notwithstanding any inconsistent provision of this article
8 or any other provisions of law to the contrary, the license or registra-
9 tion of a person subject to the provisions of this article and article
10 one hundred thirty-one-B of this chapter may be revoked, suspended, or
11 annulled or such person may be subject to any other penalty provided in
12 section two hundred thirty-a of the public health law in accordance with
13 the provisions and procedures of this article for the following:
14 That any person subject to the above-enumerated articles has directly
15 or indirectly requested, received or participated in the division,
16 transference, assignment, rebate, splitting, or refunding of a fee for,
17 or has directly requested, received or profited by means of a credit or
18 other valuable consideration as a commission, discount or gratuity, in
19 connection with the furnishing of professional care or service, includ-
20 ing x-ray examination and treatment, or for or in connection with the
21 sale, rental, supplying, or furnishing of clinical laboratory services
22 or supplies, x-ray laboratory services or supplies, inhalation therapy
23 service or equipment, ambulance service, hospital or medical supplies,
24 physiotherapy or other therapeutic service or equipment, artificial
25 limbs, teeth or eyes, orthopedic or surgical appliances or supplies,
26 optical appliances, supplies, or equipment, devices for aid of hearing,
27 drugs, medication, or medical supplies, or any other goods, services, or
28 supplies prescribed for medical diagnosis, care, or treatment under this
29 chapter, except payment, not to exceed thirty-three and one-third
30 percent of any fee received for x-ray examination, diagnosis, or treat-
31 ment, to any hospital furnishing facilities for such examination, diag-
32 nosis, or treatment. Nothing contained in this section shall prohibit
33 such persons from practicing as partners, in groups or as a professional
34 corporation or as a university faculty practice corporation, nor from
35 pooling fees and moneys received, either by the partnerships, profes-
36 sional corporations, or university faculty practice corporations or
37 groups by the individual members thereof, for professional services
38 furnished by an individual professional member, or employee of such
39 partnership, corporation, or group, nor shall the professionals consti-
40 tuting the partnerships, corporations or groups be prohibited from shar-
41 ing, dividing, or apportioning the fees and moneys received by them or
42 by the partnership, corporation, or group in accordance with a partner-
43 ship or other agreement; provided that no such practice as partners,
44 corporations, or groups, or pooling of fees or moneys received or
45 shared, division or apportionment of fees shall be permitted with
46 respect to and treatment under the workers' compensation law. Nothing
47 contained in this section, shall prohibit a multidisciplinary medical
48 and chiropractic practice formed pursuant to subdivision (a) or (b) of
49 section twelve hundred three of the limited liability company law,
50 subdivision (a) of section thirteen hundred one of the limited liability
51 company law, paragraph (a) of section fifteen hundred three of the busi-
52 ness corporation law, subdivision (q) of section 121-1500 of the part-
53 nership law, or subdivision (q) of section 121-1502 of the partnership
54 law from pooling fees or monies received. Nothing contained in this
55 chapter shall prohibit a corporation licensed pursuant to article
56 forty-three of the insurance law pursuant to its contract with the
A. 4391 20
1 subscribed from prorationing a medical or dental expenses indemnity
2 allowance among two or more professionals in proportion to the services
3 rendered by each such professional at the request of the subscriber,
4 provided that prior to payment thereof such professionals shall submit
5 both to the corporation licensed pursuant to article forty-three of the
6 insurance law and to the subscriber statements itemizing the services
7 rendered by each such professional and the charges therefor.
8 § 17. This act shall take effect on the thirtieth day after it shall
9 have became a law; provided, however that sections seven, eight, nine,
10 ten, eleven and twelve of this act shall take effect on the same date
11 and in the same manner as section 28 of chapter 475 of the laws of 2014,
12 takes effect.
