In United States law, a registered agent is someone or a company designated as the principal to receive service of legal process from an individual or company who is a party to a legal proceeding like a lawsuit or summons. This process is referred to as 'service of process.' In this capacity, agents can accept or refuse to act on behalf of the principal. The most common way to use registered agents is to avoid paying taxes by forming LLC (for corporate) or S-corporation (for small business). To do this, the agent avoids providing services like bookkeeping, payroll and even dealing with IRS if the business is not a sole proprietorship or partnership. Find out how to start an llc on this link.
To be able to serve the documents, an agent needs to have a 'physical address' i.e. the office, residence or rented building where he/she will physically handle the business. An additional requirement is that the registered agent should 'have a street address' so that his/her office is prominently listed in public records. Moreover, the registered agent's 'physical address' and 'street address' are also stated on the legal documents. So, it is important to keep these details current.
However, there are some cases when an individual files for bankruptcy and the filed bankruptcy does not name any of the LLC partners as its registered agent. The reason behind this could be that the filing did not specify that the LLC would have one or more agents. Thus, in such a case, it becomes the general rule that the general partners should each have a copy of the LLC's Articles of Organization. Usually, the general partner then transfers the complete ownership of the LLC to the LLC's registered agent. Thus, by default, each LLC has a 'physical address' of its own. Read more now about registered agent.
When filing a lawsuit, the plaintiff is supposed to show proof that the defendant is legally an LLC entity. Thus, the registered agent's address and legal documents become very important in proving that the LLC is legally separate and distinct from the rest of the entities that are usually associated with an LLC. In many cases, the registered agent has a mailbox at the office of the Secretary of State. However, it is not uncommon for the registered agent to maintain his/her own mailing address. Thus, the copies of all legal documents should be forwarded to the personal address indicated in the document.
Filing a lawsuit against an LLC requires that the plaintiff show that the defendant is a 'dominant' interest holder in the LLC. The plaintiff need not show the ownership interest directly but can file a 'dual' motion with the court. Basically, the dual motion means that the plaintiff can ask the court to allow the formation of an LLC and that it would prefer the dismissal of the lawsuit. In cases where a 'dominant' interest exists, the plaintiff may be able to get the dismissal of the lawsuit by submitting documents to the court that would show that the LLC is a 'dominant' interest holder in the entity. Thus, it is important that the registered agent to file the necessary documents with the court when the lawsuit is filed.
Often, business entities to file their 'assignments of protection' with the state or county that they reside. However, business entities must also provide the state or county with 'agents for service' and provide the name of the registered agents for their own mailing address. It is important that the business owners understand the importance of being aware of their state and county requirements when filing for this type of protection. Also, the owners should seek the advice of their attorneys, who should be familiar with the applicable local requirements. Learn more about asset management here: https://en.wikipedia.org/wiki/Digital_asset_management.