A registered agent is the representative you name for receiving service of process or other documents served upon a company. The registered agent appointment is a requirement whenever your are filing organization documents (or articles) to form a corporation, LLC, LP, LLP or similar type entities.Each time your company is conducting business in a state that requires the business to 'qualify' (file a document that gives them the right to conduct business as a organized business entity) a registered agent must be appointed.We all have visions of the process server from movies and television shows, so we will dispense with the dramatics and discuss more broadly the types of documents that the process server may 'serve' your company. If you want to know about registered agent please read this article.
Documents that can be served through a process server are broadly defined as any legal proceeding, legal notice, or official government communication presented to the company within the jurisdiction of a state. The law generally requires that any business entity conducting business within a state be registered to do business in that state. This act of registering your corporation from one state to another is called qualifying or filing a certificate of authority. Within these documents it is required that the business appoint a registered agent or registered office.Often a business owner will appoint an employee or relative in the state to act as their registered agent. Although this may save you somewhere between $100-$300 dollars a year depending on the company that you use, the risks to you, your friends and company can be far more significant. So why should you consider paying the annual fee that a registered agent provider charges?PRIVACY
The registered agent that you appoint becomes public record. The name and address of the registered agent is easily obtained on the Internet. This means that their personal information becomes readily available to any having access to an Internet connection. Thousands of miles from where your company is registered, someone call pull the information the name and address of your agent right from their living room! This is not the only place such information can be obtained. A simple search of the records of the filing office are available to anyone walking into the agency. Therefore naming an someone as an agent publishes their name and address in a forum that is easily accessed.Documents that are served are served either by a peace officer or paid process server. Even very large multi-national companies select professional registered agent providers to avoid the discomfort that occurs when employees or customers are witness to legal summons being served. Many people live with the assumption that the registered agent does not matter, as they do not plan on getting served. Although this may be true, we live in a litigious society where lawsuits are common. Although we all assume that we will never be part of a legal action, it is very common to find yourself speaking to a process server.EMBARRASSMENT
How Would you feel if your employees, customers or vendors where in your place of business when a process server entered. Remember that even if a lawsuit is unwarranted or has not merit, documents must be served. If your customers and employees are present when these documents are delivered what image or perception will they form when they see a uniformed police officer or delivering legal documents upon your business.ACCESSIBLE
Is your registered agent available during "normal office hours"? A registered agent must be available at the address listed every business day from around 9 AM - 5 PM to accept legal documents. The person appointed as your representative must be available at this time. This can not be a representative of this person, for legal process to occur. Will the appointment affect the ability of your registered agent to travel or take time off? If your representative is a family member that is at work during these hours will the officer have to serve them at other locations such as their job?