California attorneys who practice law are permitted to form professional corporations here in California. The statutory authority is set forth in the Moscone-Knox Professional Corporation Act (the “Moscone-Knox Act”). See Cal. Corp. Code, §13400 et seq. Like all types of corporate entities, a Law Corporation is formed by filing articles of incorporation with the California Secretary of State.

It is often better to form a Law Corporation than to operate a practice as a sole proprietorship. The corporate form protects personal assets from being seized by business creditors and creating a California Professional Law Corporation greatly facilitates adding licensed partners to a practice. The corporate form shields each of the partners from liability that may be alleged against the other(s). If you have questions about the requirements of forming a Professional Law Corporation, or whether a Law Corporation is the best entity type for your situation, reach out to the trusted corporate attorneys experienced in working with attorneys.

Pursuant to California law, a Professional Law Corporation has certain naming requirements that must be met when the corporation is formed. These name options include:

Law: 6171. “(c) That the name of the law corporation and any name or names under which it renders legal services shall be in compliance with the rules and regulations.

(d) That the law corporation shall obtain from the State Bar, and maintain current, a fictitious name permit when required by the rules and regulations; that the permit may be obtained, maintained, suspended, and revoked pursuant to procedures set forth in the rules and regulations; and that the law corporation shall pay an application and renewal fee for the permit in such amounts as may be determined by the State Bar.

            Rule 3.152 Application to register as a law corporation (B) The name under which the law corporation intends to practice law must include a designation of corporate existence such as “A Professional Corporation”, “A Professional Law Corporation”, “Professional Corporation”, “Professional Law Corporation”, “Law Corporation”, “APC”, A.P.C.”, “PC”, “P.C.” “Prof. Corp.”, “A Professional Legal Corporation”, “Professional Legal Corporation”, “A Legal Corporation”,  “Corporation,” “A California Professional Corporation” “Incorporated”, or “Inc.”

Consult with the experienced San Diego corporate attorneys to ensure that the name you want for your Professional Law Corporation is compliant.

When forming a Professional Law Corporation, retain an experienced San Diego corporate attorney to provide advice and assistance. There are special rules under the Moscone-Knox Act with respect to who may be shareholders — owners — in a Professional Law Corporation. Likewise, there are limitations on who may be on the board of directors and who may serve as senior management. A Professional Law Corporation is unique in this way.

The corporation may have employees — such as a receptionist or a book-keeper — who are not licensed as long as those employees are not providing any sort of professional legal services.

Contact San Diego Corporate Law Today

For more information, contact attorney Michael J. Leonard, Esq., or Christina Gandy-Delgadillo, Esq., of San Diego Corporate Law. Michael and Christina can be reached at (858) 483-9200 or via email. These experienced corporate attorneys can ensure your Professional Law Corporation is set up correctly and can assist with the annual maintenance of your California Professional Law Corporation. San Diego Corporate Law provides a host of legal services for businesses including formation of other types of corporate entities.