Understanding the Role of Registered Agents?

Answer 1

Businesses need someone to represent them when they receive a service of process or summons. A process or summons is delivered whenever a company or organization is party to a legal action. A registered agent represents organizations by being available to receive a service of process when needed. Businesses are required by states to have a registered agent. A registered agent may be a company or an individual who is authorized to receive a service or process or summons. A registered agent must be licensed or legally able to do business in the states in which they operate.

Having a registered agent makes good business sense. If a summons is delivered, and no one is available to accept it the registered agent can receive it. Registered agents are required to be available during normal business hours. Registered agents must provide a physical address not a post office box. When a service of process or summons is received, the registered agent is responsible for getting the summons to their client as soon as possible.

The advantages of having a registered agent include the ability to respond to a summons in a timely manner. Since the registered agent is required to be available to receive a summons, business owners and executives can go about their business knowing that this issue will be covered. Having a registered agent can also reduce speculation concerning an organization’s involvement in a legal action. Using a registered agent is a way to maintain confidentiality. If a summons is delivered to a place of business, employees could assume the worse and false information could be shared with the media or others. This could cause image problems for the organization. For this reason, a third party registered agent is preferable to having someone in the business handle such matters.

Most jurisdictions require businesses to have a registered agent. Organizations with branches in several states would benefit from using a national registered agent service. A national service would be familiar with regulations in each state where it operates. In addition to legal documents, registered agents also handle tax documents and other filings that require immediate action.

Usually, a registered agent can be found by visiting the office of the state attorneys’ general websites or by doing a web search for registered agents.