Professional Corporation Bylaws California For Couples
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FAQ
One of the key differences between a corporation and a professional corporation is that the shareholders of a professional corporation must be licensed professionals who are authorized to provide professional services in their respective fields. This requirement does not apply to a regular corporation.
In California, you're required to form a professional corporation if you provide professional services that require a license, certification, or registration.
A partnership which has a professional corporation as a partner must clearly designate the corporate status of the partner when such a partner is listed on its letterheads, announcements, cards, signs, and other written notices.
The California Corporations Code does not explicitly state that corporations must have corporate bylaws. However, the necessity of bylaws is implied in several places, including CA Corp Code § 213, which requires corporations to keep a copy of their bylaws on file at their principal executive office.
A professional corporation conveys limited liability to its members just as a regular corporation. However, in most cases, the corporation does not convey limited liability for the malpractice of the individual members. Ideally, professionals manage that type of risk through malpractice insurance policies.