New York A 2588: Authorizes certain licensed health service professionals to form limited liability companies

Bill Text

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A02588 Summary:

BILL NOA02588A

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SAME ASSAME AS S03350-A

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SPONSORPeoples-Stokes

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COSPNSRBenedetto, Steck, Lupardo, Woerner, Stirpe, Buttenschon, Hevesi, Taylor, Cruz, Griffin, Clark,
 Lemondes, Berger, Simon, Simpson

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MLTSPNSR

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Amd §§1203, 1207 & 1301, Lim Lil L; amd §1503, BC L; amd §§121-1500 & 121-1502, Partn L; amd §§6509-a, 6530 &
6531, Ed L; amd §2801, Pub Health L

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Authorizes certain licensed health service professionals to form limited liability companies.

Go to top A02588 Actions:

BILL NOA02588A

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01/21/2025referred to higher education

01/07/2026referred to higher education

02/03/2026amend and recommit to higher education

02/03/2026print number 2588a

Go to topA02588 Committee&nbspVotes:

Go to topA02588 Floor&nbspVotes:

There are no Assembly votes for this bill in this legislative session.

Go to topA02588 Text:

 STATE OF NEW YORK
 ________________________________________________________________________

 2588--A

 2025-2026 Regular Sessions

 IN ASSEMBLY

 January 21, 2025
 ___________

 Introduced by M. of A. PEOPLES-STOKES, BENEDETTO, STECK, LUPARDO, WOER-
 NER, STIRPE, BUTTENSCHON, HEVESI, TAYLOR, CRUZ, GRIFFIN, CLARK,
 LEMONDES -- read once and referred to the Committee on Higher Educa-
 tion -- recommitted to the Committee on Higher Education in accordance
 with Assembly Rule 3, sec. 2 -- committee discharged, bill amended,
 ordered reprinted as amended and recommitted to said committee

 AN ACT to amend the limited liability company law, the business corpo-
 ration law, the partnership law, the education law and the public
 health law, in relation to authorizing certain licensed health
 services professionals 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 475 of the laws of 2014, 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. Notwithstanding any other provision of this section, any
 17 person licensed pursuant to article 131 of the education law to practice
 18 medicine and any person licensed pursuant to articles 132, 137, 140,
 19 141, 143, 144, 153, 154, 155, 156, 163, 167 or subdivision 3 of section

 EXPLANATION--Matter in italics (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD03034-02-6

 A. 2588--A 2

 1 6902 of article 139 of the education law may form, or cause to be
 2 formed, a professional service limited liability company to provide
 3 multidisciplinary services with one or more licensed professionals,
 4 subject to the following conditions: (i) each member of such limited
 5 liability company must be licensed pursuant to title eight of the educa-
 6 tion law to practice such member's profession in this state; (ii) each
 7 member shall only practice such member's profession as specified in such
 8 member's respective professional enabling statute under title eight of
 9 the education law; and (iii) any clinical integration of professional
 10 practices under this section shall not alter, expand or curtail the
 11 scope of practice of any of the members; provided further that: (A) no
 12 member shall, directly or indirectly, interfere with the clinical judg-
 13 ment or legitimate clinical practice of another member; and (B) no
 14 member shall order or d