2012 New York Consolidated Laws
BSC - Business Corporation
Article 15 - (1501 - 1516) PROFESSIONAL SERVICE CORPORATIONS
1509 - Disqualification of shareholders, directors, officers and employees.


NY Bus Corp L § 1509 (2012) What's This?
 
  § 1509. Disqualification   of   shareholders,  directors,  officers  and
            employees.
    If any shareholder, director, officer or employee  of  a  professional
  service   corporation,   including   a   design   professional   service
  corporation, who has been rendering professional service to  the  public
  becomes  legally  disqualified  to  practice  his profession within this
  state, he shall sever  all  employment  with,  and  financial  interests
  (other  than  interests as a creditor) in, such corporation forthwith or
  as otherwise provided in section 1510 of this article. All provisions of
  law regulating the  rendering  of  professional  services  by  a  person
  elected  or  appointed  to  a  public  office  shall  be applicable to a
  shareholder, director, officer and employee of such corporation  in  the
  same  manner  and  to the same extent as if fully set forth herein. Such
  legal disqualification to practice  his  profession  within  this  state
  shall  be  deemed to constitute an irrevocable offer by the disqualified
  shareholder to sell his shares  to  the  corporation,  pursuant  to  the
  provisions  of  section  1510  of  this article or of the certificate of
  incorporation, by-laws  or  agreement  among  the  corporation  and  all
  shareholders, whichever is applicable. Compliance with the terms of such
  offer  shall  be specifically enforceable in the courts of this state. A
  professional service corporation's failure to  enforce  compliance  with
  this   provision  shall  constitute  a  ground  for  forfeiture  of  its
  certificate of incorporation and its dissolution.

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