Getting someone to handle service of process for your company may require a registered agent, a process agent, or both. Here’s what to know:
What is service of process?
The term “service of process” applies to legal documents, like lawsuits. According to the US system of due process, all parties must be properly notified of any legal proceedings with which they’re involved. For example, if you’re the defendant in a lawsuit, you’ll be notified of the suit through a service of process. Rather than a court system contacting all affected parties directly, courts deliver service of process by way of an impartial third party, known as a registered agent or a process agent.
How do registered agents and process agents differ?
Registered agents and process agents are both responsible for delivering service of process. However, they operate a little differently. Here’s how:
- Registered Agent – The name and contacted information of a Registered Agent is required by most states to be included in your business’s formation documents. This makes your registered agent a publicly listed entity. In some states, a registered agent is called a statutory agent, resident agent, or agent for service of process.
- Process Agent (Public) – “Process agent” is the term used for someone who handles service of process for motor carriers. In the trucking industry, for example, companies must list the name and contact information for a Process Agent when filing Form BOC-3. A process agent in this case functions much like a registered agent—their information is also part of the public record—but they are used specifically for filings within the Federal Motor Carrier Safety Administration (FMCSA).
- Process Agent (Private) – “Process agent” is also the term used for the person or company that handles service of process for foreign borrowers in cross-border loan transactions. A domestic lender might require a process agent to be included in the terms of a contract as a way of making sure that legal communication between both parties remains intact in case the foreign borrower defaults on the loan. In this case, the process agent is not a publicly listed entity.
Do I need a registered agent AND process agent?
You might. For example, if you’ve formed an LLC for your trucking business, you’ll be required to obtain a person or company to handle service of process for your business on two fronts:
- Secretary of State – When you file your LLC Articles of Organization, you’ll be required to include the name and contact information for a registered agent.
- FMSCA – When you file Form BOC-3, you’ll be required to include the name and contact information for a process agent.
If you don’t work in the transportation business, chances are you will only need a registered agent.
Can a registered agent & process agent be the same?
In some cases, yes. However, you’ll want to make sure that the agent you use to handle your service of process is equipped to manage the full scope of your business. For example, if you own a trucking business in Washington but transport products all across the country, you will need what’s known as a “blanket agent”—this is a company that has process agents in all 50 states, which gives you nation-wide coverage.
Northwest provides both registered agent and blanket agent services, so you can hire a company like Northwest to handle service of process when it comes to filings with the state and with the FMSCA. You’ll have to check with your registered agent and process agent (or the company providing you with both) to make sure they can offer you the coverage you need.