SECTIONS 4987.5-4988.2 - California Statutes

BUSINESS AND PROFESSIONS CODE

SECTION 4987.5-4988.2

4987.5. A marriage and family therapy corporation is a corporation
that 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 marriage and family therapists,
physicians and surgeons, psychologists, licensed clinical social
workers, registered nurses, chiropractors, or acupuncturists are in
compliance with the Moscone-Knox Professional Corporation Act (Part 4
(commencing with Section 13400) of Division 3 of Title 1 of the
Corporations Code), this article, and any other statute or regulation
pertaining to that corporation and the conduct of its affairs. With
respect to a marriage and family therapy corporation, the
governmental agency referred to in the Moscone-Knox Professional
Corporation Act is the Board of Behavioral Sciences.

4987.6. 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 (Part
4 (commencing with Section 13400) of Division 3 of Title 1 of the
Corporations Code), or any regulations duly adopted under those laws.

4987.7. The name of a marriage and family therapy corporation shall
contain one or more of the words "marriage," "family," or "child"
together with one or more of the words "counseling," "counselor,"
"therapy," or "therapist," and wording or abbreviations denoting
corporate existence. A marriage and family therapy corporation that
conducts business under a fictitious business name shall not use any
name that is false, misleading or deceptive, and shall inform the
patient, prior to the commencement of treatment, that the business is
conducted by a marriage and family therapy corporation.

4987.8. Except as provided in Section 13403 of the Corporations
Code, each director, shareholder, and officer of a marriage and
family therapy corporation shall be a licensed person as defined in
the Moscone-Knox Professional Corporation Act.

4988. The income of a marriage and family therapy corporation
attributable to professional services rendered while a shareholder is
a disqualified person (as defined in the Moscone-Knox Professional
Corporation Act) shall not in any manner accrue to the benefit of
that shareholder or his or her shares in the marriage and family
therapy corporation.

4988.1. A marriage and family therapy corporation shall not do or
fail to do any act the doing of which or the failure to do which
would constitute unprofessional conduct under any statute, rule or
regulation now or hereafter in effect. In the conduct of its
practice, it shall observe and be bound by statutes, rules and
regulations to the same extent as a person holding a license as a
marriage and family therapist.

4988.2. The board may formulate and enforce rules and regulations
to carry out the purposes and objectives of this article, including
rules and regulations requiring (a) that the articles of
incorporation or bylaws of a marriage and family therapy corporation
shall include a provision whereby the capital stock of the
corporation owned by a disqualified person (as defined in the
Moscone-Knox Professional Corporation Act), or a deceased person,
shall be sold to the corporation or to the remaining shareholders of
the corporation within the time that rules and regulations may
provide, and (b) that a marriage and family therapy corporation shall
provide adequate security by insurance or otherwise for claims
against it by its patients arising out of the rendering of
professional services.