Each state requires a corporate entity to designate a registered agent to serve as an official contact for a corporation, especially if the entity is to be served with a lawsuit or subpoena. Attorneys and Plaintiff's serve legal court documents through a corporate registered agent. For most businesses, summons, orders, lawsuits, orders, subpoena, writs and garnishment documents are among the most popular.
A registered agent receives service of process and demand notices for corporate entities and promptly relays them to the correct individuals within the corporate entity. Each jurisdiction has rules regarding the appropriate service of process upon a corporate entity in care of its Registered Agent. Service upon a registered agent establishes jurisdiction of the court over the entity served.
Inc.'s, Corp's, LLC's, and PA's, are the most popular types of corporations in America. This is because there are substantive liability protections as well as tax advantages to being "incorporated" which is entirely another conversation you should have with your attorney or financial advisor
If a registered agent fails to perform their function, it can have dire consequences for the business entity it represents.
For example, if a customer fell inside a store and sued the store, and the store's registered agent failed to notify the business entity of a summons to appear in court to respond to the lawsuit, then when the case went to trial, nobody would appear to defend the store and the customer would win by a default judgment. Additionally, the store would likely not be able to get the judgment overturned on appeal because they had been properly served. This is one of the most common reasons that business entities generally will utilize a third party as their Registered Agent be it a commercial service company, an attorney, or in some cases, a CPA.
Wage Garnishments Are Among the Most Popular Documents Served to Registered Agents
What is wage garnishment? If you have employees, this is the type of Service of Process you are most likely to receive. Federal law allows federal agencies to garnish the wages of individuals, for child support, tax liens, student loans, and consumer debt. Employers can be penalized for failing to comply with wage garnishment orders. For this reason, it is especially important to ensure you have a professional Registered Agent handling your Service of Process. Seven percent of US employees have their wages garnished, and if you receive a garnishment and fail to take action in time, your business can be liable for the amount your employees owe.
What is the Main Function of A Registered Agent?
The main function of a registered agent is to receive and forward important legal and tax correspondence on behalf of the corporation or LLC. Typical documents delivered to a registered agent are court documents, subpoenas, and time sensitive notifications.
What Does A Registered Agent Do?
Almost every state requires a corporation, Inc or an LLC to have a registered agent (sometimes called a resident agent, statutory agent, or agent for service of process). The registered agent address is the address that will be used by attorneys for service of process. The registered agent address must be a physical, in-state street address; generally, P.O. Boxes are not acceptable.
The main function of the registered agent is to be available during normal business hours so that court documents and notifications may be delivered
What Are the benefits of serving process upon a Registered Agent?
A registered agent helps ensure your legal documents are received and responded to promptly. By being available all day on all workdays, your registered agent will not miss any critical mail deliveries. That gives you peace of mind because you will know important paperwork will not slip through the cracks. Having a registered agent provides some privacy to business owners. A registered agent name and address are public information. Rather use a business physical address going on the public record with the state, the registered agent information will appear there instead.
A registered agent will make sure it's clients, i.e. the corporate entity you are serving, are informed about any paperwork received which needs immediate attention. Timely notification helps corporate entities avoid missing filing deadlines that could result judgments. We serve registered agents quickly and keep your case moving along. Without delay, every day, we activate service of process services and serve process as fast as reasonably possible.
Legal documents must be delivered within the state borders of the state the proceedings are taking place. The agent is responsible for accepting subpoena's, government notices, annual compliance notices and service of process in the event of legal proceedings against the business. In order to ensure successful delivery of documents the registered agent must be available during standard business hours each day. The agent then has a duty to forward these documents to the business they are accepting delivery on behalf of.
In the interests of judicial fairness, a business entity is required under state law to appoint a single representative to accept these documents in each jurisdiction they are located. When a legal document is served on a business the registered agent accepts the document and then must forward it to the proper individuals. When first appointing a Registered Agent the procedure and means of forwarding documents between the Registered Agent and their client company will be agreed upon to avoid future delay or confusion. The Registered Agent's role is important, especially when a company is located out of state.
Here are a few of the Registered Agent's responsibilities to the legal profession:
Every corporate entity needs a way for the public to contact it regarding legal matters. That is the main role the registered agent serves.
A registered agent service is a company that accepts notices, demand letters, lawsuits, subpoena's and other important documents and service of process for its corporate clients.
Registered agent services have procedures to notify corporate clients when legal documents arrive.
The use of an agent for service of process is not limited to the company doing business in a foreign state.
The Model Registered Agents Act (MoRAA) is an effort spearheaded by the American Bar Association Business Law Section and the International Association of Commercial Administrators (IACA) – Business Organization Section (BOS) to standardize business entity laws as they relate to annual reports, Registered Agents and other laws and forms used to file business entities. The act also creates two distinct classes of Registered Agent: "commercial" and "non-commercial." The National Conference of Commissions on Uniform State Laws (NCCUSL) organized a drafting committee composed of commissions, ABA, and IACA representatives who drafted the act's language. NCCUSL adopted MoRAA at its annual meetings. Eleven US jurisdictions (Arkansas, District of Columbia, Idaho, Maine, Mississippi, Montana, Nevada, North Dakota, South Dakota, Utah, and Wyoming) have since adopted the model act, and Delaware did not adopt the act, but did adopt the "commercial Registered Agent" provision. The problem this effort seeks to alleviate is that disparate laws, filing requirements, and forms in all of the US jurisdictions where business entities are filed creates a quagmire for any company seeking to register to do business in those jurisdictions. By adopting a common set of laws, the Model Registered Agents Act seeks to create a uniform and simple process of filing and maintaining a business entity in any jurisdiction adopting it.
Most registered agents are compliant and willingly accept service of process however, before doing so the registered agent must make sure the service presented is done so in a professional manner and in accordance with the registered agent policies. Most importantly, the registered agent concerns itself with the name of the entity and confirming same.
Can a Registered Agent be served with a Subpoena?
YES! A subpoena may command a witness to testify at a deposition, appear at trial or to produce records, or make available for inspection, documents, and things. A subpoena that seeks documents from a witness may be combined with a subpoena seeking personal testimony at a deposition or trial. Alternatively, the requesting party may serve separate document subpoenas and testimonial subpoenas. Subpoenas are commonly used in civil litigation to obtain evidence from corporations and other entities who are not parties to a lawsuit.
There is never been a time when an attorney, paralegal or law firm can depend upon one agent to handle all of its process serving services. A.C.E., Inc Process Servers, after twenty-five years has developed a national plan and organization specializing in serving and delivering legal and urgent documents in every city in America. Regardless where you need assistance, even in if the office is in a rural or remote location, we have a process server available to assist you. We are a centralized and manage our local process services on a real time basis which directly impacts the level of efficiency of our services. NO other Process Serving company can offer you the lowest fees while guaranteeing the best service.