Terms Used In Louisiana Revised Statutes 12:805

  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Professional law corporation: means a corporation organized pursuant to this Chapter or the laws of any qualified state for the practice of law. See Louisiana Revised Statutes 12:801
  • Qualified person: means :

    (a)  A natural person of full age who is authorized pursuant to the law in this state or any qualified state to render professional legal services. See Louisiana Revised Statutes 12:801

A.  There shall be only one class of shares of a professional law corporation, denominated common shares which shall be either with or without par value.  Such shares may be, but are not required to be, designated as either voting or nonvoting shares, or any combination thereof.  Shares not designated shall be considered voting shares.  A professional law corporation shall not be treated as having more than one class of shares solely because there are differences in voting rights among the shares.  

B.(1)  Only a qualified person who holds shares shall be entitled to vote voting shares, and participate in the corporation’s earnings.  Any other shareholder shall have no voting rights for any purpose whatever, shall not participate in the corporation’s earnings, and shall have no access to any records or communications pertaining to legal services rendered by, or any other affairs of the corporation except as provided in La. Rev. Stat. 12:813(B).  

(2)  La. Rev. Stat. 12:78 shall not apply to professional law corporations.  

Added by Acts 1964, No. 354, §1.  Renumbered from La. Rev. Stat. 1950, §12:905 by Acts 1968, No. 105, §3, eff. Jan. 1, 1969.  Amended by Acts 1972, No. 78, §1; Acts 1985, No. 535, §1, eff. July 12, 1985; Acts 1991, No. 225, §1.