Registered Agent Laws Changing

On January 1, 2009 many states will have registered agent laws that are changing to protect that state from being used as a money laundering location. In the past corporations who do business inside of a state while having offices outside of the state have been required to have a registered agent available where the business is being conducted to accept paperwork and court oriented process services.

With online businesses operating from multiple global locations, registered agent laws that require a live contact point within all areas of operation are very important today. When complaints go in to the FBI, Attorney General Offices, and the United States Federal Trade Commission about online money transactions that have not gone smoothly, a real physical point of contact is important to protect all consumers involved.

Recently, in states such as Wyoming, Nevada, and Delaware loopholes in the registered agent laws have been found by 'shady' businesses that allow them to simply open a post office mail location to act instead of a real person to contact as a registered agent. The result is that when problems happen, there is no real registered agent available to accept or transfer important documents to the host business that is out-of-state or out-of-country.

Wyoming, Nevada, Delaware and other locations are changing laws to remove loopholes that allow for unethical businesses to hide a direct method of contact behind an unmanned post-office-mail-receiving location. Laws such as those that allow up to 18-months lag-time before a corporation can be dissolved legally are being removed so that money laundering violators can be shut-down instantly.

Many of the laws being changed are directed at shortening the length of time necessary for a state to take actions to dissolve a corporation that is not filing the proper paperwork. In the past, it was assumed that all corporations were legitimate businesses that may have simply forgotten to file paperwork when necessary so that grace periods were given. By removing the grace periods in paperwork filing, authorities can now shut-down those who never planned to file any paperwork instantly.

When a corporation is choosing a registered agent, or entity to receive paperwork and process within states that they do business in, but do not reside in, it is important to remember that the Secretary of State is in charge of registered agents. A simple telephone call to that office to ask for recommendations can determine if the registered agent firm found on the internet is legitimate or not.