2006 New York Code - Definitions.

 
    § 455. Definitions. 1. Budget planning, as used in this article, means
  the  making  of  a contract between a person or entity engaged in budget
  planning with a particular debtor whereby the debtor agrees to pay a sum
  or sums of money periodically and the person or entity  engaged  in  the
  budget  planning distributes, or supervises, coordinates or controls the
  distribution  of,  the  same  among  certain  specified   creditors   in
  accordance  with a plan agreed upon and the debtor further agrees to pay
  to such person or entity any valuable consideration for such services or
  for any  other  services  rendered  in  connection  therewith.  For  the
  purposes  of  this  article,  a  person or entity shall be considered as
  engaged in budget planning in New York, and subject to this article  and
  the  licensing and other requirements of article twelve-C of the banking
  law, if such person or entity solicits budget planning  business  within
  this  state  and,  in  connection  with such solicitation, enters into a
  contract for budget planning with an individual then  resident  in  this
  state.
    2.  Person,  as  used  in  this  article,  shall  not include a person
  admitted to practice law in this state.
    3. Entity, as  used  in  this  article,  shall  not  include  a  firm,
  partnership, professional corporation, or other organization, all of the
  members  or  principals  of  which  are admitted to practice law in this
  state.
    4. Person or entity as used in this article shall not include a type B
  not-for-profit corporation as defined in section two hundred one of  the
  not-for-profit   corporation   law   of  this  state,  licensed  by  the
  superintendent, to engage in the activity of budget planning as  defined
  in this section.
    5.  Any attorney licensed to practice law in this state who is engaged
  in budget planning shall (a) negotiate directly with creditors on behalf
  of the client; (b) ensure that all moneys received from the  client  are
  deposited in the attorney's account maintained for client funds; (c) pay
  creditors  from  such  account;  and  (d) offer budget planning services
  through the same legal entity that the attorney uses to practice law.