Research Findings:
1. Commercial law, also known as business law, is the body of law that applies to the rights, relations, and conduct of persons and businesses engaged in commerce, merchandising, trade, and sales
2. In United States business law, a registered agent, also known as a resident agent[1] or statutory agent,[2] is a business or individual designated to receive service of process (SOP) when a business entity is a party in a legal action such as a lawsuit or summons.
3. The registered agent's address may also be where the state sends the paperwork for the periodic renewal of the business entity's charter (if required).
4. The registered agent for a business entity may be an officer or employee of the company, or a third party, such as the organization's lawyer or a service company. Failure to properly maintain a registered agent can affect a company negatively.
5. Most businesses are not individuals but instead business entities such as corporations or limited liability companies (LLCs). This is because there are substantive (and substantial) liability protections as well as tax advantages to being "incorporated" as opposed to being "self-employed".
6. The purpose of a Registered Agent is to provide a legal address (not a P.O. Box) within that jurisdiction where there are persons available during normal business hours to facilitate legal service of process being served in the event of a legal action or lawsuit.
7. Generally, the registered agent is also the person to whom the state government sends all official documents required each year for tax and legal purposes, such as franchise tax notices and annual report forms.
8. Registered Agents generally will also notify business entities if their state government filing status is in "Good Standing" or not.
9. The reason that these notifications are a desired function of a registered agent is that it is difficult for a business entity to keep track of legislative changes and report due dates for multiple jurisdictions given the disparate laws of different states.
10. Penalties for not maintaining a registered agent generally will cause a jurisdiction to revoke a business’s corporate or LLC legal status as well as in some cases, assess additional penalty fees on the entity.
11. 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.
12. The person at the business entity that maintains contact with the registered agent is the corporate secretary or governance officer.
14. No matter where you’re starting your business, if you’re forming an LLC or corporation, you’re required to have a registered agent and a registered office.
15. A registered agent is simply a person or entity appointed to accept service of process and official mail on your business’ behalf. You can appoint yourself, or in many states, you can appoint your business to be its own registered agent.
16. A lawsuit against your business cannot move forward in court without your business being properly notified first.
17. The registered agent must have a physical address within that state and be available during business hours so someone suing you can easily find you. This requirement gives the court an easy way to notify you. This also eliminates the possibility of big corporations hiding behind 1000’s of employees. The registered agent is your business’ point of contact with the state and for service of process. The theory behind the requirements of the listed registered agent is to ensure your business maintains a reliable way to be contacted.
18. The majority of small businesses (10 employees or less) do not hire registered agents. That said, there are some specific reasons why some business owners do opt hire registered agent services; you’ll find those reasons listed below:
19. If you hire a registered agent service your registered agent should have a system in place to track and notify you when annual reports are due to keep your business in compliance with the state, so you don’t have to worry about it. Also, all your important documents will be kept in one place and you don’t have to bother keeping track of notices.
20. In each state your business operates, you’ll need to register with that state, and in every state you register, you need a registered agent with a physical location in that state.
21. A registered agent receives important legal and tax documents on behalf of a business, including important mail sent by the state (annual reports or statements), tax documents sent by the state’s department of taxation, and Service of Process—sometimes called Notice of Litigation, which initiates a lawsuit.
22. sometimes a registered agent is called a statutory agent. Or an agent for service of process.
23. Service of process is the procedure by which a party to a lawsuit gives an appropriate notice of initial legal action to another party (such as a defendant), court, or administrative body in an effort to exercise jurisdiction over that person so as to enable that person to respond to the proceeding before the court, body, or other tribunal.
24. In many cases, you or another member of your business, such as a partner, a member of your LLC, or an officer of your corporation, will serve as the registered agent, and the address for the registered agent will be your business location.
25. the top three registered agents by volume in the U.S. are CSC, CT, and Incorp.
Functionalities:
track the official notices and annual report due dates with the state.
Document Organization
Compliance Management
Reminds you of upcoming compliance requirements and deadlines, such as the due date for the annual report required by your state of incorporation.
Provides software to manage important corporate records and documents.
Offers secure, online access to important documents.
Monitors your company's status in the state(s) where it is registered.
online account access to manage notifications
Questions?
1. What is the best practice ?
References:
https://en.wikipedia.org/wiki/Commercial_law
https://en.wikipedia.org/wiki/Registered_agent
http://www.northwestregisteredagent.com/registered-agent-marketshare.html
http://www.tccorporate.com.au/why-tc-corporate
http://www.bizfilings.com/learn/what-is-registered-agent.aspx
https://en.wikipedia.org/wiki/Service_of_process
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