14A:17-10. Who may own shares; voting trust; estate ownership
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/nj/title-14a/chapter-17/14a-17-10·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
10. Who may own shares; voting trust; estate ownership.
(a)No professional corporation may issue any of its shares to anyone other than an individual who is duly licensed or otherwise legally authorized to render the same professional service as that for which the corporation was incorporated. No shareholder of a professional corporation shall enter into a voting trust agreement or proxy or any other type of agreement vesting another person not a shareholder of the corporation with the authority to exercise the voting power of any or all of his shares. Subject to the provisions of the corporation's certificate of incorporation, the estate of a deceased shareholder may continue to hold the shares of such shareholder for a reasonable period of administration of the estate, but shall not be authorized to participate in any decisions concerning the rendering of professional service.
(b)A foreign professional legal corporation rendering legal services in this State shall have at least one shareholder who is an attorney-at-law licensed and eligible to practice in this State under the Rules of the Supreme Court.
L.1969,c.232,s.10; amended 1995,c.375,s.6.