What is a Professional Limited Liability Company?

What is a Professional Limited Liability Company?

A Professional Limited Liability Company (PLLC, P.L.L.C., or P.L.) is a limited liability company organized for the purpose of providing professional services.  Usually, professions where the state requires a license to provide services, such as a doctor, chiropractor, lawyer, accountant, architect, landscape architect, or engineer, require the formation of a PLLC.

However, some states, such as California, do not permit LLCs to engage in the practice of a licensed profession.  Exact requirements of PLLCs vary from state to state.  Typically, a PLLC's members must all be professionals practicing the same profession.  In addition, the limitation of personal liability of members does not extend to professional malpractice claims.

 

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