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A246Assembly2009-2010 SessionSame asS8330

Allows a professional service limited liability company to be surviving business entity in the case of a merger with a professional service corporation

Sponsor William MagnarelliAD-120Affects Economy
Status
In Assembly Committee
Rules
Impact
Pending
Passage
Pending

Bill progress

Step 2 of 7

In committee · Rules

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Who cares

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Sponsors

Primary sponsor
William Magnarelli

Assembly Member · Assembly District 120

Chair, Transportation

History

  1. Reported referred to rules
  2. Referred to corporations, authorities and commissions
  3. Referred to corporations, authorities and commissions

Companion bill

The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.

S8330Senate

Allows a professional service limited liability company to be surviving business entity in the case of a merger with a professional service corporation

In Senate Committee · Rules · Sponsor David J. Valesky

Full text

The text isn't available here yet. Check nysenate.gov.

Sponsor's memo

BILL NUMBER:A246

Title of bill

An act to amend the business corporation law, in relation to providing that the surviving business entity in the case of a merger between a professional service corporation and a professional service limited liability company may be a professional service limited liability company

Purpose

To allow a surviving business entity of a merger between a professional service corporation and a professional service limited liability company to be a limited liability company.

Summary of provisions

Section 1 amends section 1501 of the business corporation law, as added by chapter 974 of the laws of 1970, to create the definition of "Other business entity."

Section 2 amends section 1516 of the business corporation law, as amended by chapter 851 of the laws of 1992, to providing that the surviving business entity in the case of a merger between a professional service corporation and a professional service limited liability company may be a professional service limited liability company.

Section 3 establishes an effective date.

Justification

Under current law, when a professional service corpo- ration and a professional service limited liability company merge, the surviving business entity must be a corporation. This does not take into account the legal needs of the surviving entity and is inconsistent with other law. This bill would resolve this problem by allowing a surviving business entity from such a merger to be a LLC.

Legislative history

2007-2008: A.11360

Fiscal implications

None

Effective date

Immediately.

Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.