Before you form a limited liability company or a company, it’s crucial to pick an agent for the service of process.
This expression may sound like complicated legal jargon, but it’s a very simple idea. An agent for service of process is simply an individual who receives suits on behalf of a business. Based on the state you reside, they might also be referred to as a statutory agent or registered representative.
So, what exactly does service of process mean?
If a person sues your business process server, they must notify the company that a lawsuit has been filed. Each state has laws in place regarding the way the note should happen. For instance, in some states, a copy of the litigation is sent from the court clerk while in the others, it has to be personally delivered by process servers.
The delivery of a litigation is what’s called service of process. It can, however, also refer to the shipping of different files like subpoenas.
If someone sues your limited liability company or business, they need to understand who to serve the litigation. As the company owner, you also need to ensure that if your company ever gets sued, you are going to receive the lawsuit notice. Because of this, the law requires that each business entity appoint a person or an organization that will handle service of process for them in that specific state.
The Use of an Agent for Service of Process
The legal agent is responsible for accepting the legal documents served on your business. They must then forward the legal documents to the appropriate individual in your company.
Considering that the agent’s address will show up on your firm’s entity’s public documents, they might also get notifications from the taxing authorities and the secretary of state. The agent, again, must forward these to your company.
A legal or registered agent is essential for any organization and by choosing a reliable one, you determine that you’re quickly informed about legal actions so you can take the required actions to respond.