Arizona requires you to appoint and maintain an in-state registered agent

Arizona is a great place to do business with its fast-growing cities, growing base of young consumers, and business-friendly climate. The state also has a low average property tax rate of 0.845% and ranks in the upper 50% of states in corporate and individual income tax. However, there are many federal, state, and local requirements for doing business in Arizona.

 

Choosing the right commercial Registered Agent can be the most efficient and cost-effective solution for managing compliance activities and reducing risk.  An experienced full-service partner will perform their functions expertly, empowering you to stay focused on your core business. With CT Corporation, you can rely on your Registered Agent to keep the way clear to support your business’ growth plans and stay on top of your compliance obligations.

Roadmap to compliance
What to look for when choosing an Arizona registered agent

A registered agent should be reliable, accurate, and consistent.  They must always be available and physically present at the registered office during normal business hours. This ensures any hand-delivered legal documents get proper attention. 

 

They must also know all business entity and compliance rules, have professionally trained staff with expert knowledge on how to properly handle and forward SOP papers, have state-of-the-art processes in place to deliver crucial documents to you, and to follow-up with you regarding delivery. 

 

It is also important to have a registered agent that has the coverage and expertise to support your business as it expands into other states where an additional registration is often necessary.  
Select the best registered agent in your state
The importance of having an Arizona registered agent

Having a professional registered agent ensures that things such as personal emergencies, vacations, business trips, and meetings never leave your company without this physical presence. Keep in mind, a lawsuit can proceed against you, even if your registered agent is not available to receive service. You may lose the opportunity to defend yourself in court or incur extra legal fees.

 

In addition to the registered agent’s statutory responsibilities of receiving and forwarding documents, professional service companies often provide a full range of services for LLCs, corporations, and other types of business entities to help them with their compliance needs. The right professional services company can help you stay in compliance and make sure all of your documents are handled correctly.
Foreign qualification requires expert support
You can rely on CT Corporation to:
  • Record your registered agent information with the state—essential to keep your business in good standing
  • Receive state documents and legal notices, including Service of Process and wage garnishment notices, and promptly relay them to your designated contacts—so nothing gets overlooked
  • Monitor laws and regulations—to make sure you aren’t caught off guard by changes
  • Designate a specific team to serve as your go-to resource for answers to your questions—you won’t get the round around
  • Customize your registered agent services if you wish to include alerts of upcoming deadlines and forwarding of business documents—so you’ll have less to manage
    •
    I strongly recommend CT as a reliable corporate compliance partner.
    Walters-Morgan Construction, Inc.

    Legislative updates

    There are no new updates at this time.

    Case summaries

    LLC Dissolution
    Brown v. Hope, No. 1 CA-CV 20-0059, decided February 11, 2021. The Arizona Court of Appeals held that an individual who was not an attorney lacked standing to set aside a default judgment foreclosing on a Nevada LLC’s property. The court rejected her argument that she had standing because the LLC was defunct and revoked and that when it ceased to exist the property became hers. The court pointed out that she has not shown that the LLC filed articles of dissolution in Nevada or wound up and distributed the LLC’s property. Therefore the LLC continued to exist.

    CEO Liability
    Jes Solar Co. v. Matinee Energy, Inc., No. 19-16748, decided October 1, 2020. The U.S. Court of Appeals, 9th Circuit, affirmed summary judgment in favor of two CEOs of an energy company in a suit claiming they were involved in a civil conspiracy involving the company. The court held that their status as CEOs was insufficient evidence that they knew about the fraudulent scheme involving the company or that the corporation was their alter ego.

    Corporate Form
    JTF Aviation Holding Inc. v. CliftonLarsenAllen LLP, No. CV-19-0209, decided September 18, 2020. The Arizona Supreme Court held that an asset buyer that was not a party to an engagement agreement between the asset seller and its accountants was not bound by the engagement agreement based on the “closely related party doctrine.” The court held that the importance of the corporate form and protections afforded it weighed against Arizona adopting that doctrine under these circumstances.

    Member Liability for an LLC’s Taxes
    State ex rel. Arizona Department of Revenue v. Tunberg, No. 1 CA-TX 18-0008, decided April 21, 2020. The Arizona Court of Appeals held that the member/CEO of an LLC could be held personally liable for the LLC’s unpaid transaction privilege tax where he had assumed a duty to remit what the LLC had collected from customers. The court pointed out that the member knew the CFO had stopped paying the taxes and although he had the power and authority to delegate the task to someone else he failed to do so.

    Alter Ego Claim
    Specialty Companies Group LLC v. Meritage Homes of Arizona Inc., No. 1 CA-CV 18-0708, decided February 25, 2020. The Arizona Court of Appeals held that an alter ego claim is not a separate cause of action but a means of imposing liability on an underlying cause of action and as such is governed by the statute of limitations applicable to the underlying cause of action to which the claim the piercing of the corporate veil is tied.

    Other notices

    September 22, 2020 — The Arizona Corporation Commission has posted a notice on its website indicating that statutory changes to the LLC law regarding the duration of LLCs and the street and mailing address of statutory agents will not be implemented until November 1. See the notice for details.

    March 9, 2020 — The Arizona Corporation Commission issued a release reminding investors to be on the lookout for scam artists looking to profit from fear and uncertainty caused by the market downturn and coronavirus scare. Read the release, which contains information on how to identify possible investment fraud.

    Business compliance requires global expertise. Expect more.
    Trust CT Corporation to navigate compliance anywhere you do business.
    Contact CT Corporation Today
    *State fees are mandatory fees imposed by the state. Price includes online discount automatically applied at checkout.