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Last Post 02 Oct 2020 05:13 PM by Jennifer Albright
ACJA 7-209 Alternative Business Structures
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11 Aug 2020 04:18 PM
Hello

First.. a business is a business, a law practice is just another business.. There is nothing that warrants any such special treatment. Practicing law is nothing more than a service, similar to washing windows or mowing lawns.. Being ethical is expected One can be punished for ethics violations and or sued, there are already remedies..

The experience of 40 years is evident.. Try to grasp the now and the future.. Everything has changed, 40 years ago it was a different world.. Step out of the way of progression..

Abolish this law!

It harms people and business.. It prevents the little guy trying to get their law practice up and going with proper financing or from aligning themselves with partners who bring skills.. The reason some of these fat cat old timers don’t want to see this go away is because they don’t want to compete with or let new guys in..

Thank you
David DeGroote
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02 Oct 2020 05:13 PM
Please find below proposed amendments to the definition of "Alternative Business Structure" and "Economic interest" as defined in proposed ACJA 7-209. These proposed amendments to the definitions are submitted by: May Lu, Esq.; John Hay, Esq.; James O’Sullivan, Esq.; James Reynolds, Esq.; and Lynda Shely, Esq.



Arizona Code of Judicial Administration
Part 7: Administrative Office of the Courts
Chapter 2: Certification and Licensing Programs
Section 7-209: Alternative Business Structures

A. Definitions.

“Alternative business structure” (“ABS”) is a business entity that includes nonlawyers who have an economic interest or decision-making authority in the firm and provides legal services in accord with Supreme Court Rules 31 and 31.1(c).

“Economic interest” means (1) a share of a corporation’s stock, a capital or profits interest in a partnership or limited liability company, or a similar ownership interest in any other form of entity, or (2) a right to receive payments for providing to or on behalf of the entity management services, property, or the use of property (including software and other intangible personal property) that is based, in whole or in part, on the firm’s gross revenue or profits or any portion thereof. Notwithstanding the foregoing, “economic interest” does not mean employment-based compensation pursuant to a plan qualified under the Internal Revenue Code of 1986, as hereafter may be amended, or any successor rule, or discretionary bonuses paid to employees.
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