(A) An Ohio permit holder may practice
public accounting as defined in rule 4701-7-04 of the Administrative Code,
whether as an owner or employee, only in the form of a sole proprietorship, a
partnership, limited liability company, professional association, corporation,
or other legal entity whose characteristics conform to the Revised Code and
rules of the board.
(B) The name of a public accounting firm
as defined in paragraph (P) of rule 4701-13-01 of the Administrative Code may
not be used unless such name has been registered with the board.
(C) A misleading public accounting firm
name is one which:
(1) Contains any
representation that would be likely to cause a reasonable person to
misunderstand or be confused about the legal form of the firm, or about who are
the owners or members of the firm, including reference to a type of
organization or an abbreviation thereof which does not accurately reflect the
form under which the firm is organized, including, but not limited to the
following:
(a) Implies the existence of a corporation when the firm is not a
corporation, such as through the use of the words "corporation,"
"incorporated," "Ltd.," "professional
corporation," or an abbreviation thereof as part of the firm name if the
firm name is not incorporated or is not a professional
corporation;
(b) Implies the existence of a partnership when there is not a
partnership such as by use of the term "partnership" or "limited
liability partnership" or the abbreviation "LLP" if the firm is
not such an entity;
(c) Includes the name of an individual who is not a CPA if the
title "CPAs" is included in the firm name;
(d) Includes information about or indicates an association with
persons who are not members of the firm, except as permitted pursuant to
paragraph (D) of this rule; or
(e) Includes the terms "& Company," "&
Associate," or "Group," but the firm does not include, in
addition to the named partner, another shareholder, owner, member, or staff
employee.
(2) Contains any
representation that would be likely to cause a reasonable person to have a
false or unjustified expectation of favorable results or capabilities, through
the use of a false or unjustified statement of fact as to any material
matter.
(3) Claims or implies the
ability to influence a regulatory body or official;
(4) Includes the name of
an owner whose CPA certificate or license has been revoked for disciplinary
reasons by the board, whereby the owner has been prohibited from practicing
public accounting or prohibited from using the title CPA or representing
themselves as a certified public accountant.
(D) The following types of public
accounting firm names are not in and of themselves misleading and are
permissible so long as they do not violate the provisions of paragraph
(C)(1)(a) of this rule:
(1) A firm name that
includes the names of one or more former or present owners;
(2) A firm name that
excludes the names of one or more former or present owners;
(3) A firm name that uses
the designation "CPA" as part of the firm name when all named
individuals are owners of the firm who hold such titles or are former owners
who held such title at the time they ceased to be owners of the
firm;
(4) A firm name that
includes the name of a non-CPA owner if the "CPA" title is not a part
of the firm name;
(E) A network firm as defined in the
"AICPA Code of Professional Conduct" and published on its website
(www.aicpa.org) may use a common brand name or share common initials, as part
of the firm name;
(F) A network firm as defined in the
"AICPA Code of Professional Conduct" and published on its website
(www.aicpa.org) may use the network name as the firm's name, provided it
also shares one or more of the following characteristics with other firms in
the network:
(1) Common control, as
defined by generally accepted accounting principles in the United States, among
the firms through ownership, management, or other means;
(2) Profits or costs,
excluding location operating costs, costs of developing audit methodologies,
manuals and training courses, and other costs that are immaterial to the
firm;
(3) Common business
strategy that involves ongoing collaboration among the firms whereby the firms
are responsible for implementing the association's strategy and are held
accountable for performance pursuant that strategy;
(4) Significant part of
professional resources;
(5) Common quality
control policies and procedures that network firms are required to implement
and that are monitored by the association.