> I can tell you the logic behind the rules is that they do not want "the company boss" to make decisions that over ride the "professional opinion" of the licensed individual. That same logic would seem to apply to Sole Proprietors but I think the board believed they did not have authority over them.
I think your assessment of the "problem" is right on the money, Larry. The way they should have dealt with the issue isn't by creating another level of bureaucracy attempting to control corporate ownership, but by holding the professional surveyor responsible for their decisions. It's simply unethical for a licensed professional to cow-tow to their employer (or any other bureaucrat, client, or professional for that matter). They have a civic duty to uphold and they, alone, should be held responsible for that duty. That's why they're licensed.
JBS
David - Correct me if I'm wrong but
> I just quoted a small portion of this section. It does go on to talk about stock ownership, 2/3 of which has to be held by licensed individuals.
So, they're not only attempting to control corporation ownership, but to also interfere with stockholders? That's nuts! No wonder they've lumped the surveying profession into the same barrel as the interior designers, etc. (they don't even exist as of the last legislative session, correct?)
JBS
Professional Corporations
> > No law can restrict the majority ownership of a surveying company to a licensed individual. The only requirement for the company performing professional surveying services is that a licensed individual is in responsible charge and an employee of the company, not that it has to be wholly or partially owned by a licensed surveyor. It is wishfull thinking to believe otherwise.
>
> VA 18VAC10-20 (Qualifications for Registration as a Professional Corporation)
>
> 530.D - Board of Directors. A corporation may elect to its board of directors not more than 1/3 of its members who are employees of the corporation and are not authorized to render professional services.
> At least 2/3 of the board of directors shall be licensed to render the services of an architect, professional engineer, land surveyor or landscape architect...
>
> 590.C.2. - (Qualifications for Registration as a Professional Limited Liability Company)
> Pursuant to 13.1-1111 of the Code of Virginia, as amended, the articles of organization or operating agreement shall provide that not less than 2/3 of the membership interests of a PLLC rendering the services of architects, professional engineers, land surveyors, or landscape architects or using the title of certified interior designers, or any combination thereof, shall be held by individuals duly licensed or professional business entities legally authorized to render the services of architects, professional engineers, land surveyors, or landscape architects or by individuals or professional business entities legally authorized to use the title of certified interior designers.
Professional Corporations and Professional Limited Liability Companies are unique statutorily created business entities that have the tax and general liability advantages of regular corporations and LLC's while limiting the professional (malpractice) liability to the individual licensed owners. The main advantage of of this form of business entity is that professionals in the corporation are not liable for the malpractice of others in the corporation, but they still remain liable for their own individual acts.
In order to insure that individuals are not using Professional Corporations in an attempt to avoid future liability, states that allow the formations of PC's set regulatory requirements on the corporation ownership.
These regulations do not apply to all corporations formed by surveyors unless the incorporation by surveyors is restricted to the Professional Corporation entity and no other.
> > ... That's why they're licensed.
>
> JBS
The presumption is that professional licensure breeds professional conduct.
To the contrary- The state of affairs in today's economy has caused professionalism to take a backseat to a paycheck.
Ex instrument person and CAD drafter starts a surveying business & hires some jack-legged LS to sign the plat. -- It happened in the 70's and it's happening today. "Surveys R-Us" - "Guaranteed Lowest Price" - "Will beat any Fee, Fax Estimate to Us & We Will Match"
> The presumption is that professional licensure breeds professional conduct.
>
> To the contrary- The state of affairs in today's economy has caused professionalism to take a backseat to a paycheck.
It's obvious that we can't regulate professional conduct. We can, however, enforce it. So, it's time to stop blame shifting and start weeding out the chaff!
JBS
LARRY
A corporation that provides land surveying services must have a majority of the ownership in the hands of licensed professionals. There is an exception to that rule for those corporations what existed prior to this law being enacted.
So then XYZ Utility can't have a land surveyor on staff to survey powerlines and easements? Or DBD oil company can't hire a land surveyor to stake and plat wells and pipelines?
A sole proprietorship does not have to be owned by a licensed individual. But that firm must have a licensed individual in responsible charge. So, if you pass away your spouse can continue to operate the business (after hiring a PLS). Once you set up a corporation, that option goes away.
Somehow that all seems backwards.
Professional Corporations
No matter what they call it, a person, company, entity cannot practice any of these professions without a license. That is the purpose of the license...to protect the public. If any Joe Blow can open a surveying or engineering company, do all the work and then sub-contract the signature out to a licensed individual, how is that protecting the public? Most states require a COA to even offer these services. To obtain said COA, there has to be a license.
> Can a survey company contract the services of a PLS?
>
> Such a situation would be a land surveying company that is owned and operated by a non-licensed individual who conducts the field work and the drafting duties and contracts out a licensed surveyor who stamps & signs the drawings.
Subcontract a PLS? Yes. As the primary Surveyor? NO. As a secondary surveyor? Yes.
The situation you described is not legal, on several levels, and is unethical.