A. All dentists or optometrists participating in a plan shall be jointly and severally liable on all contracts made for the purpose of the plan by the nonstock corporation as agent for them. Each contract may be executed and signed by their agent on their behalf. A contract so signed shall be binding on the principals and not on the agent.
B. Actions for breach of these contracts may be brought against the principals by naming the agent as the sole defendant. A judgment in favor of the plaintiff may be satisfied out of the assets of the nonstock corporation or out of the assets of each of the principals.
C. Each participant shall be liable for his own torts and not for the torts of any other participant or of the agent.
1980, c. 682, § 38.1-896; 1986, c. 562.
Structure Code of Virginia
Chapter 45 - Dental or Optometric Services Plans
§ 38.2-4500. Applicability of chapter
§ 38.2-4502. Dental services plans
§ 38.2-4503. Optometric services plans
§ 38.2-4504. Nonstock corporation required
§ 38.2-4505. Liability of participants
§ 38.2-4506. Terms of participation
§ 38.2-4507. Change of participants
§ 38.2-4508. Board of directors of nonstock corporation
§ 38.2-4509. Application of certain laws
§ 38.2-4509.1. Rehabilitation, liquidation, conservation
§ 38.2-4510. Quarterly reports
§ 38.2-4511. Corporation's contracts with participating dentists or optometrists
§ 38.2-4512. Contracts between participating dentists or optometrists and subscribers
§ 38.2-4513. Subscriber to have free choice of practitioners available
§ 38.2-4514. Subscriber to be advised in writing as to benefits and limitations thereon
§ 38.2-4515. Geographical area
§ 38.2-4516. Interplan arrangements
§ 38.2-4517. Licensing of nonstock corporation
§ 38.2-4518. Renewal of nonstock corporation license
§ 38.2-4519. Licensing of agents
§ 38.2-4520. Corporate restrictions