SECTIONS 2536-2537.5 - California Statutes

BUSINESS AND PROFESSIONS CODE

SECTION 2536-2537.5

2536. A speech-language pathology corporation or an audiology
corporation is a corporation which is authorized to render
professional services, as defined in Section 13401 of the
Corporations Code, so long as that corporation and its shareholders,
officers, directors, and employees rendering professional services
who are speech-language pathologists or audiologists are in
compliance with the Moscone-Knox Professional Corporation Act, this
article, and all other statutes and regulations now or hereafter
enacted or adopted pertaining to the corporation and the conduct of
its affairs.
With respect to a speech-language pathology corporation or an
audiology corporation, the governmental agency referred to in the
Moscone-Knox Professional Corporation Act is the Speech-Language
Pathology and Audiology Board.

2537. It shall constitute unprofessional conduct and a violation of
this chapter for any person licensed under this chapter to violate,
attempt to violate, directly or indirectly, or assist in or abet the
violation of, or conspire to violate, any provision or term of this
article, the Moscone-Knox Professional Corporation Act, or any
regulations duly adopted under those laws.

2537.1. A speech-language pathology corporation or an audiology
corporation shall not do or fail to do any act that the doing or
failing to do would constitute unprofessional conduct under any
statute or regulation now or hereafter in effect. In the conduct of
its practice, it shall observe and be bound by those statutes and
regulations to the same extent as a person holding a license under
this chapter.

2537.2. Except as provided in Sections 13401.5 and 13403 of the
Corporations Code, each shareholder, director and officer of a
speech-language pathology corporation or an audiology corporation,
except an assistant secretary and an assistant treasurer, shall be a
licensed person as defined in Section 13401.

2537.3. The income of a speech-language pathology corporation or an
audiology corporation attributable to professional services rendered
while a shareholder is a disqualified person, as defined in Section
13401 of the Corporations Code, shall not in any manner accrue to the
benefit of that shareholder or his or her shares in the
speech-language pathology or audiology corporation.

2537.4. (a) The name of a speech-language pathology corporation
under which it may render professional services shall include one of
the words specified in subdivision (a) of Section 2530.3 and the word
"corporation" or wording or abbreviations denoting corporate
existence.
(b) The name of an audiology corporation under which it may render
professional services shall include one of the words specified in
subdivision (b) of Section 2530.3 and the word "corporation" or
wording or abbreviations denoting corporate existence.

2537.5. The board may adopt and enforce regulations to carry out
the purposes and objectives of this article, and the Moscone-Knox
Professional Corporation Act, including regulations requiring any of
the following:
(a) That the bylaws of a speech-language pathology corporation or
an audiology corporation shall include a provision whereby the
capital stock of the corporation owned by a disqualified person as
defined in Section 13401 of the Corporations Code, or by the estate
of a deceased person shall be sold to the corporation or to the
remaining shareholders of the corporation within that time as the
regulations may provide.
(b) That a speech-language pathology corporation or an audiology
corporation shall provide adequate security by insurance or otherwise
for claims against it by its patients arising out of the rendering
of professional services.