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Simple English definitions for legal terms
Professional corporation
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A quick definition of Professional corporation:
A professional corporation is a special type of company that allows people who have certain jobs, like lawyers, architects, and accountants, to work together and share ownership. This means that they can all work together to provide services to their clients, but they are only responsible for their own mistakes, not the mistakes of their co-owners. You can tell if a company is a professional corporation because their name will usually end with "PC" or "P.C."
A more thorough explanation:
A professional corporation (PC) is a type of corporation that allows licensed professionals, such as lawyers, architects, engineers, accountants, and dentists, to own shares in a corporation that provides services in their profession.
For example, a group of lawyers can form a professional corporation to provide legal services to clients. Each lawyer in the corporation owns a share of the company and is protected from personal liability for the negligence or malpractice of other owners. However, they are still responsible for their own actions.
Professional corporations are identified by adding "PC" or "P.C." to the end of their name.