by 
The Curious Bag
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Lawyers, like other professionals, can form business organizations. A professional corporation, or PC, is one such organization. Attorneys or law firms that include the letters "PC" after their name have formed such an organization and operate as a corporation.
Basics
Attorneys can form business organizations like other businesses. A professional corporation is a special kind of corporation allowed for by certain states.
Applicability
Not all states allow for professional corporations. Those that do can impose different restrictions on what kind of professionals can form PCs, what protections and duties they grant and how they are treated for liability purposes.
Protections
Like other liability limiting business organizations, a professional corporation limits the attorneys in a law firm from the actions of others. While forming a PC doesn't protect an attorney from his own malpractice, it does allow attorneys protections from the actions of others.
Professions
Attorneys are not the only professionals who can form PCs. Doctors, dentists and other professions that require licensing can generally form professional corporations.
Other Forms
Though lawyers can form professional corporations, that is not the only business structure they can adopt. Partnership, limited liability partnerships and limited liability companies can also be formed.
Source:
Iowa Secretary of State: Professional Corporation - Iowa Code chapter 496C
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