A statutory agent is a business or individual designated to receive service when a business is a party in a legal action, such a lawsuit or summons.  It’s often a good idea to have an entity, other than your own, be the statutory agent for your business.    Let’s look at a few reasons why having another entity be your statutory agent could be a good idea.

First, your legal issue is immediately in the hands of your attorney.  They receive the service or summons, and they know how to defend your rights.  They can take quick action to ensure everything is happening both appropriately and timely.

Second, many folks forget about their statutory agent.  What if you’ve moved since you listed your statutory agent with the Secretary of State? You are responsible for keeping your address current. What if the employee designated is no longer with the company?  All of the sudden, you’ve been sued, and your company doesn’t get notice.  By keeping your agent consistent, you can avoid these headaches and losses.

Third, if you operate in multiple states or jurisdictions.  The registered agent must have a physical address in each state of operation.  You’ll want to register your company in each state and have reliable statutory agents.

Fourth, the registered agent’s address is the one the public record.  That means, you should avoid a lot of unsolicited mailings from marketers, mailers, and spammers.  Additionally, if you simply wish to keep your information confidential, for any reason.

Finally, if your company doesn’t maintain normal business hours, it may be difficult to receive certain mailings such as FedEx, UPS, or certified mail.

If you have any questions about this process, we’d be happy to discuss it with you.

Chad Stonebrook is an Associate at Lardiere McNair, LLC.  To read more about our firm, please visit www.lmcounsel.com.

The information presented here has been prepared by Lardiere McNair for promotional and informational purposes only and should not be considered legal advice.  This information is not intended to provide, and receipt of it does not constitute, legal advice.  Nor does the receipt of this material create an attorney/client relationship.  An attorney client relationship is not established until such time as Lardiere McNair enters in to a written engagement agreement with a specific client for a specific legal matter.

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