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what does a Principle make

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How do others define "Principal Engineer" ?

Rand


----- Original Message ----- 
From: "Scott Maxwell" <smaxwell(--nospam--at)engin.umich.edu>
To: <seaint(--nospam--at)seaint.org>
Sent: Tuesday, June 08, 2004 7:55 PM
Subject: Re: Legal and liability - using my stamp


> Mark:
>
> Others have offered good things to think about...both those from smaller
> firms (i.e. sole practitioners) and larger firms (see Stan's comments).
>
> I would say that Stan and Jason offered some good comments from a larger
> firm perspective.
>
> Some other things to keep in mind...
>
> 1) E&O insurance does absolutely NOTHING for your license.  As some have
> hinted at, it will only protect your financial "tushie".  There is NOTHING
> to protect your license except doing good engineering.  And, if you lose
> your license, then you have problems with ALL states, as they are DARN
> good about transmitting and "trusting" board enforcement actions, but have
> trouble transmitting and/or "trusting" reference/job/school verification
> for the purposes of getting a license by reciprosity (i.e. you fillout the
> same forms 50 times if you want to be licensed in every state...unless you
> do the NCEES records program).
>
> 2) I think think that Stan overstated the issue of who seals drawings
> (i.e. responsible charge) just a hair.  While he is basically on point, it
> is important to realize that each state can have slightly different
> requirement/rules in this area.  I think Bill Sherman is a little closer
> on target.  You need to be aware of what each state that you are licensed
> in requires.  Some are rather lax (or non-specific), while others are very
> strict and specific.
>
> 3) If you are officially sealing on behalf of the company (i.e. the
> company offers professional services that you are providing as a company
> employee), then many states have additional rules about how the company
> needs to be setup (i.e. ownership).  I believe a couple people have
> mentioned this.  This has two main impacts...first, more fees (for the
> company)...but also, many states require a certain number of the
> owners/principles be licensed.  To my understanding, New York require ALL
> owners of the company to be licensed.  Michigan requires 2/3 of the
> principles to be licensed (but carefully review how they define
> principles...not necessarily owners, but could be non-owning company
> officers).  To me, the intent of this provision is that engineering
> decisions cannot (should not) be overridden by non-licensed individuals
> due to financial reason rather than engineering reasons.
>
> HTH,
>
> Scott
> Adrian, MI
>
> On Tue, 8 Jun 2004 Markajohn(--nospam--at)cs.com wrote:
>
> > Thanks to all who responded.  Very educational.
> >
> > So far, several people have said that insurance is of questionable use
and
> > may even be a bad idea.  There is also the discussion about who should
stamp
> > what. Also, there is risk, including lifetime liability and "prior acts"
> > liability.  If the risk is not dealt with by insurance, or even if it
is, it should be
> > compensated for with a decent salary, partial ownership, etc.
> >
> > Now I have some things to talk to my firm about.  What a great list.
> >
> > Thanks All,
> > Mark Johnson
> >
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