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News from NYCON: Deadline to Apply for Corporate Practice Waiver

May 18, 2011

Deadline for Application is June 2nd, 2011:
Changes in New York State Law Could Affect Nonprofits Employing Those Providing Professional Services
Legal Issues for Nonprofits

Due to prohibitions in New York State law against the "corporate practice" of the professions, certain not-for-profit, religious and education corporations employing individuals providing professional service such as social workers, psychologists and other types of therapists must now apply for a waiver to continue providing those services.

There are a number of entities that do not require a waiver from the corporate practice prohibitions, such as:

  • Entities with an operating certificate issued under the Public Health Law, the Mental Hygiene Law, or in accordance with comparable procedures by a State, federal or local government agency;
  • Institutions of higher education that provide a program leading to licensure in medicine, nursing, psychology, social work or the mental health professions to the extent the services being provided are within the scope of the registered program;
  • Institutions of higher education that provide counseling to students, staff and family members of students and staff
  • University faculty practice corporations; and other entities identified by the Regents, provided that such entity is otherwise authorized by law to provide such services.

For more details, including a 15 minute video overview of the new law and what you can do to maintain legal operations in New York State please click here.

NYCON’s New Waiver Assistance Program…

The good news is that the new law specifically authorizes the Department of Education to issue a waiver to certain not-for-profit, religious, or education corporations that were in existence on the effective date of the law, June 18, 2010.
Such an entity must submit an "Application for Waiver" within 120 days of the February 2, 2011 date, or by June 2, 2011, however they may continue to provide services until the application is approved or denied.
Caution in properly completing the required forms is of the utmost, since if an application is denied by the Department of Education, the entity must cease providing professional services in New York State. Applications Are Due by June 2nd, 2011.

If you believe your organization requires a waiver, NYCON’s Legal Accountability and Compliance Services can assist you.

New Rate Structure Begins This Friday*
To Get Started Today – Contact NYCON’s Legal Accountability & Compliance Services
Member Cost: $250.00

Additional cost of $50.00 if you operate multiple locations where professional services are rendered from. The first two (2) years of updated Board of Directors or Board of Trustees, and Officers Moral Attestations are included.

The above rates are valid for applications started (and paid for) by Friday, May 20th at 5:00pm.

After Friday, rates for Cororate Waiver Application Assistance are $450.00 with an additional cost of $100.00 if you operate multiple locations where professional services are rendered from.


Kevin Stadelmaier, Esq., Legal Advisor

(800) 515-5012

ext. 170



Felice Ford

Legal Assistant

(800) 515-5012

ext. 104



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