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HOW TO SERVE LANDLORD TENANT PAPERS IN DISTRICT OF COLUMBIA

Eviction

Undisputed Legal | District of Columbia Process Service

All evictions must go through a legal procedure. For District of Columbia evictions,  a report to the Rental Accommodations Division (RAD) is needed in all situations other than non-payment of rent. A tenant cannot be evicted because their contract has expired or the rental property has gone into foreclosure.

Any eviction must be pursuant to a court order and must be scheduled and supervised by the U.S. Marshals Service.  The District of Columbia plans to gradually restore evictions through the end of the year proceeding without the federal moratorium.

Despite the sudden termination of the federal moratorium, emergency legislation enacted by the District Council in July still partly protects District residents. The plan, which went into effect the day before the District of Columbia’s own moratorium on evictions expired, established a timeline for when certain types of eviction proceedings might be expected to begin. Most importantly, until October 12th, no new eviction cases based on non-payment of rent may be filed. 

Furthermore, the law stipulates that before evicting tenants for non-payment, landlords must request rental assistance via the city. However, most landlords in the District will still be able to remove tenants despite the restriction since most renters who fall behind on payments owe more than what is covered by the program. Moreover, despite being qualified, renters and landlords have experienced difficulties accessing the USD 352 million in assistance money provided by the District government in the area.

REQUIREMENTS FOR SERVICE OF LANDLORD-TENANT SUMMONS AND COMPLAINT

The Landlord and Tenant Summons and Complaint and any attachments must be served by a competent person who is at least eighteen years of age and not a party to the case.

It is necessary for there to be attached Affidavits of Service for adequate District of Columbia process service to be done. The clerk’s office has Form Affidavits individuals may fill out. The Affidavit must be signed by the person who delivers the Summons and Complaint. After signing, the affidavit must be submitted with the court at least five days before the first hearing date, which excludes Saturdays, Sundays, and legal holidays. The notary public or other person authorized by law to administer an oath must administer the oath. Each defendant must be named in a separate Affidavit.

Not including Sundays and legal holidays, the deadline for serving papers is seven days before the start of the hearing. Each and every time, the individual serving the papers must attempt personal service in good faith. The District of Columbia process server, as the last option, may serve a Defendant/Tenant by posting and mailing if the process server has made a serious and honest attempt to serve the person personally and has been unable to serve the person personally or by alternative service.

It is necessary to serve each Defendant or Tenant personally if the individual is seeking a money judgment in addition to a judgment for possession. It’s possible that they will only be able to get a judgment for possession against a defendant/tenant even if the server does not personally serve them.  

A Defendant or Tenant who is an individual is served personally by handing them a copy of the Summons and Complaint in person. It is necessary to check the first box on the Affidavit if the server has personally served the Defendant or Tenant. 

A copy of the Summons and Complaint may be placed at the premises with an individual of ‘suitable discretion’ who is at least sixteen years old and does not live in or have control of the premises if the server is unable to locate the Defendant or Tenant. The individual who served the individual should be included in the Affidavit’s second box. In the Affidavit’s particular facts section, describe the individual who was served the paper.

Postal and postal service should only be utilized as a last option when serving the Defendant or Tenant personally has shown to be ineffective. A court will determine whether the District of Columbia process server was diligent and conscientious if there is a dispute about service by posting and mailing. To be found diligent and conscientious by a court, a process server must try to serve the Defendant or Tenant on two separate days and at two distinct times of the day. Attempt two should be done before or after or on the weekend if one was made during regular business hours on a weekday at which time

The summons and complaint must be posted in a prominent location where it can be seen easily on the premises, which is typically the front door of the unit if service is done by posting and mailing. A summons and complaint are posted when they are affixed to the property. Nothing will work save for sticking the papers between the door and doorframe or using a mailbox to contain them. The Defendant/Tenant must receive a copy of the Summons and Complaint within three calendar days after they are posted. The three days include Saturdays, Sundays, and federally recognized holidays. All efforts at personal service, including posting and mailing, must be documented in the Affidavit, as well as the day and time on which they were made. End the affidavit with details about where the summons and complaint were posted, including a description of the location in the building and any other information that would assist the court in determining whether service was properly carried out. Provide these details in the specific facts section.

WHEN CAN A LANDLORD EVICT A TENANT

Without a ‘judgment for possession,’ a landlord in Washington, D.C., cannot evict anybody. A landlord who forcibly evicts a tenant without obtaining a court order may be liable for their property damage as well as money damages as a result of violating the law. If a landlord wishes to evict any tenant for no other reason than that they do not like the tenant’s nuisance, this is illegal. In order to legally evict somebody, the landlord needs a good cause. Non-payment of rent and a violation of another provision of the lease are the most frequent legal grounds.

U.S. Marshals are mandated to be present during an eviction. The absence of a landlord is illegal and a landlord may be responsible for paying the tenant for their property damage plus money damages for breaking the law.

WHAT HAPPENS AFTER THE LEASE PERIOD IS OVER

A landlord in DC cannot evict the tenant whenever their lease period ends. In D.C., a tenant lease automatically becomes month-to-month once the first term expires. The rest of their lease agreement will stay the same (including the rent amount unless they are to receive written notice).

If the tenant and the landlord have agreed on a certain amount of rent in writing, the landlord will be unable to increase the rent in the future. For the most part, the tenant and landlord will agree on a monthly rent amount and time frame. The landlord has thirty days to increase their rent if the tenant has not given them prior written notice. The landlord has the right to increase the rent with thirty days’ written notice if the tenant and the landlord never agreed on a particular length of time.

If the landlord is permitted to increase the rent, it will depend on whether or not the unit is subject to rent control on how much and how frequently the rent may be hiked. Exemption from rent control means the landlord has complete discretion over increasing rent at any time, as long as it is not done illegally in retaliation for the tenant reporting housing code violations or seeking repairs, for example. An increase in rent must be communicated to the renter at least thirty days in advance in writing.

If the unit is subject to rent control, then the landlord can raise the rent if [A.] the last increase in rent was at least twelve months ago (unless the unit is vacant); [B.] the unit is properly registered with the RAD; [C.] the rental unit and the housing accommodation’s common elements are in substantial compliance with housing regulations and [D.] the landlord gives a 30-day written notice of any increase in rent.

For the most part, a rent-controlled apartment’s owner is only allowed to increase the rent by a set amount each year. The percentage cannot be more than 10%, and the Rental Housing Commission determines the precise amount the landlord may increase the rent each year based on the Consumer Price Index.

The landlord may petition the Rent Administrator to approve a higher rent increase than would usually be permitted if the rental property does not provide at least a 12 percent rate of return to the landlord. A ‘Hardship Petition’ must be filed by the landlord in order to accomplish this.

Finally, if the landlord wants to increase the rent to help pay for building renovations, they may ask the city to allow the rate to be raised. To increase the rent, the landlord requires the Rent Administrator’s approval.

NOTICES TO BE PROVIDED

Any tenant should receive at least two if not four notices before the landlord evict them. The first notice is called either a ‘Notice to Quit,’ ‘Notice to Quit or Vacate,’ ‘Notice to Cure or Vacate’ or ‘Notice to Correct or Vacate.’ Before the landlord may lawfully evict their tenant for any reason other than non-payment of rent or for maintaining a drug haven, s/he must give them this notice

It is possible that the landlord does not have to give such notice if the tenant is being evicted for non-payment of rent. Verify the terms of the lease to determine whether the landlord has given up the right to receive an eviction notice prior to a lawsuit being filed.

A tenant can only agree to give up their right to receive this notice in a non-payment of rent case. The landlord must send the tenant notice for all other reasons for eviction. It must be remembered that even though this notice tells the tenant that they have to leave, the landlord cannot force the tenant to leave until the tenant has received a judgment for possession from the Court.

Second, there’s a ‘Complaint’ notice. There Has to be a Complaint from the landlord informing the tenant of the formal Court case, the reason for the eviction, and the first date/time of the Court appearance.

If the tenant has been evicted because of non-payment of rent and they were not in court when a judgment was made against them, the landlord is obliged to submit a document with the Court stating how much rent and other charges they owe. The Court must provide the document to the tenant.

A ‘Writ of Restitution is the official name for the last notification. The landlord should provide the tenant this notification when the court issues a ‘judgment for possession against them. These notifications must meet very stringent specifications. To begin the eviction process, the landlord must provide the tenant with appropriate notice. If this continues, the case should be thrown out of Court entirely. The requirements include [A.] giving the tenant very specific information about how they violated the lease or the housing code; [B.] providing the tenant-specific information about how to fix the violation(s); [C.] allowing the tenant at least thirty days to fix the violation(s); and [D.] the notice must be written in both English and Spanish.

The landlord cannot give or send the tenant a copy of the complaint directly. A process server who is at least eighteen years old must serve the tenant by either personal service, substituted service wherein any individual over the age of sixteen who lives in the same abode may be handed a copy of the Complaint; or posting and mailing service wherein the process server is allowed to tape, nail or attach a copy of the Complaint if the server is not able to serve the individual after two (2) attempts to personally serve the tenant, Another copy must be mailed to the tenant by first-class mail within three (3) calendar days of the posting to the defendant’s door.

DISTRICT OF COLUMBIA PLAN FOR EVICTION 

To handle legal challenges for new landlord and tenant disputes, the Court established a plan submitted on March 11, 2020. Disputes over property ownership are handled by the Landlord & Tenant Branch.

To resolve landlord-tenant issues, it is necessary to go to the Landlord & Tenant Branch of the court. Many cases are filed in the Landlord & Tenant Branch for reasons such as breach of lease agreements, pet ownership in violation of a no-pets rule, roommate or subletting without permission, or interfering with other tenant’s peaceful enjoyment of their homes.

If a defendant in an eviction lawsuit concerning non-payment of rent for a residential property offers a declaration to the landlord, owner, or other people with the right to pursue eviction or a possessory action that complies with the requirements imposed by the United States Centers for Disease Control and Prevention (‘CDC’) in its order temporarily halting certain evictions, the plaintiff must not schedule an eviction until the defendant provides sufficient declaration. If a plaintiff plans to continue with eviction before October 3, 2021, and the defendant thinks the eviction is susceptible to the CDC’s temporary stop on evictions, the defendant may submit and file a petition or application to quash the writ of restitution, and the Court will conduct a timely hearing. Unless the defendant submits such a motion or application, the Court will not delay or quash the execution of a writ issued in such circumstances.

FORECLOSURE-RELATED EVICTIONS

In whatsoever action pursuant to a federal moratorium on foreclosure-related evictions, plaintiffs should avoid scheduling evictions on or before September 30TH, 2021. While the clerk’s office cannot absolutely identify all ongoing cases subject to such a moratorium, the clerk’s office will make an effort to determine if the defendant in any case with an outstanding writ or judgment for possession is a foreclosed homeowner based on the complaint. The clerk’s office will inform the United States Marshals Service (‘USMS’) that, unless the Court issues an order allowing an eviction on or before September 30, 2021, the writ in these instances should not be enforced on or before September 30, 2021. 

Assuming the plaintiff believes that the eviction is not covered by the federal moratorium and wishes to have it completed before September 30, 2021, the plaintiff should file and serve a motion showing that the removal is not covered by a federal moratorium, and the Court will conduct a timely hearing. The court will inform USMS that an outstanding writ of restitution may be executed on or before September 30, 2021, or will grant a writ of restitution and inform the U.S. Marshals Service that it may have been enforced on or before September 30, 2021, if the Court approves the Motion. To avoid violating any federal moratorium, a defendant who thinks the eviction will take place before September 30, 2021, may submit and serve an application to quash the plaintiff’s writ of reparation, and the Court will conduct an expedited hearing to consider it.

For more information on serving evictions papers, contact Undisputed Legal our District of Columbia Process Service department at (800) 774-6922. Representatives are available Monday-Friday 8 am – 8 pm EST.  If you found this article helpful, please consider donating.  Thank you for following our blog, A space dedicated to bringing you news on breaking legal developments, interesting articles for law professionals, and educational material for all. We hope that you enjoy your time on our blog and revisit us!  We also invite you to check out our Frequently Asked Questions About Process Servers.

Sources

1. SUPERIOR COURT OF THE DISTRICT OF COLUMBIA CIVIL DIVISION, LANDLORD AND TENANT BRANCH

Court Building B, 510 4thStreet, NW, RM. 110 Washington, DC  20001  Telephone (202) 879-4879

2. Self-help evictions (where the landlord attempts to evict a tenant without the involvement of the U.S. Marshals Service) are not allowed.

Contact the Metropolitan Police Department if a landlord attempts a self-help eviction.

If the tenant is being evicted due to non-payment of rent, the tenant has the right to avoid eviction by paying the total amount owed, as determined by the court, up until the time the eviction is executed.

After an eviction Writ is issued, the landlord may demand the full amount determined by the court (plus all fees and court costs) be paid in cash or certified funds.

3. Jeffers, Peggy. ‘Opinion | D.C.’s Landlords Are Powerless to Address the Wild West Atmosphere in Their Properties.’ The Washington Post, WP Company, 26 Aug. 2021, https://www.washingtonpost.com/opinions/2021/08/27/dc-landlords-are-powerless-address-wild-west-atmosphere-their-properties/. 

4. “Mayor Bowser Announces $350 Million Rent and UTILITY Assistance Program for DC RESIDENTS.” Maycomb, 12 Apr. 2021, https://mayor.dc.gov/release/mayor-bowser-announces-350-million-rent-and-utility-assistance-program-dc-residents. 

5. Code of the District of Columbia 16-1502

6. Fill in the Affidavit’s name blank with the name of the individual being served and describe the physical characteristics of the Defendant/Tenant in the Affidavit’s specific facts section.

7. It would be necessary for a tenant to contact the Rental Housing Commission at (202) 442-8949 to find out how much the landlord can raise the rent.

8. If the lease some language like, ‘This lease will act as Tenant’s notice to quit or vacate thereby waiving any requirement that Landlord serves Tenant with further notice before eviction.’ The  landlord is not required to send the tenant the notice to quit

9. (USMS), U.S. Marshals Service. ‘U.S. Marshals Service.’ U.S. Marshals Home Page, https://www.usmarshals.gov/district/dc-sc/general/evictions.htm. 

11. AnnieReporter. ‘The National Eviction Ban Is over. but Renters Still Can’t Be Forced out in These States.’ CNBC, CNBC, 30 Aug. 2021, https://www.cnbc.com/2021/08/30/evictions-are-still-banned-in-these-states-.html. 

12. ‘COVID-19 Update: U.S. Supreme Court Holds That CDC Exceeded Its Authority in Issuing Eviction Moratorium.’ The National Law Review, https://www.natlawreview.com/article/covid-19-update-us-supreme-court-holds-cdc-exceeded-its-authority-issuing-eviction. 

 

HOW TO SERVE LEGAL PAPERS ON THE DELAWARE SECRETARY OF STATE

Delaware

Undisputed Legal | Delaware Process Service

The Secretary of State of Delaware is in charge of the state’s Department of State. Corporate registry, bank monitoring, and other commercial operations are all duties of the secretary. Because of this, the Secretary of State of Delaware is not responsible for overseeing the state’s election process. The Delaware Department of Elections operates independently of the Department of State.

The current secretary is Jeffrey W. Bullock, a Democrat. Bullock was first appointed on January 21, 2009, by Governor Jack Markell.

When someone or a business files a lawsuit in Delaware against another person or a company Delaware Process Service is required. Receiving Delaware Process Service signifies that someone has informed someone or their company of their intention to bring a lawsuit against them or their organization. The individual being sued, or the registered agent of that person’s business, must receive Delaware Process Service personally.

Owners of businesses in Delaware should be well-versed in the procedure of serving documents. A director or an official of a Delaware-registered company must receive service of process personally, as required by Delaware law. For corporations with a registered agent, the copy of Delaware Process Service must be sent to that person or business rather than the actual company being served.

HOW DOES DELAWARE SERVICE OF PROCESS WORK

To serve Delaware Process Service to a business that has selected another company to operate as its registered agent, it is also possible for any of the representatives who have authorization in their capacity as higher officers to accept process service.  By the time service of process’s return date rolls around, the person who served it must have evidence that the papers were properly delivered and received.

A Delaware Process Service must be left either at home, the usual dwelling place, a place of business of a director, an officer, or as a registered agent of a corporation. The document must be delivered six days or more before the required return date. There must be an adult present to witness the delivery.

WHEN CAN SOMEONE SERVE PAPERS UPON THE SECRETARY OF STATE

Under certain conditions, the Delaware Division of Corporations allows service of process on Delaware companies, non-Delaware businesses, and out-of-state persons. This also includes other entities such as limited partnerships, limited liability companies, GPs, and Statutory Trusts. Any questions regarding the registered agent’s relationship with an entity for the purposes of Delaware Process Service should be directed to that agent.

A writ of summons may be served on the defendant in the manner prescribed by any rule of court, or by stating the substance of it to the defendant personally. Service may also be done by leaving a copy of the Delaware Process Service at the defendant’s usual place of abode. The caveat is that Delaware Process Service should have been done in the presence of some adult person, six days before the return of that service. This return is highly regulated, with the officer serving a summons being required to state the officer’s return and the time and manner of service.

No service of summons upon the State shall be complete until such Delaware Process Service is made upon the person of the Attorney General or upon the person of the State Solicitor or upon the person of the Chief Deputy Attorney General.

REQUIREMENTS FOR PROCESS SERVICE ON NON-RESIDENTS

Service of process means that the individual would have to come under the personal jurisdiction of the state at hand. Consequently, there always is some ambiguity in terms of the actions of non-residents. For purposes of Delaware Process Service, a  ‘person’ would mean natural person, association, partnership, or corporation. 

There is a necessity for non-residents to have a legal presence within the State. Any person who conducts some business submits to the jurisdiction of the Delaware courts. A court may exercise personal jurisdiction over any non-resident, or a personal representative, who [A.] transacts any business or performs any character of work or service in the State; [B.] contracts to supply services or things in this State; [C.] causes tortious injury in the State by an act or omission in this State; [D] has an interest in, uses or possesses real property in the State; or [E.] contracts to insure or act as surety for any person, property, risk, contract, obligation or agreement located, executed or to be performed within the State at the time the contract is made unless the parties otherwise provided in writing.

If Delaware Process Service is authorized outside the state, the adequate notice period for process service should be made by personal delivery as per the Delaware Process Service guidelines or by any manner provided or prescribed by the law for action in any of its courts of general jurisdiction. This does not preclude mail service as long as the mail is addressed to the person to be served and has a signed receipt. Furthermore, any and all directions of a court for process service must be adhered to. 

SERVICE OF PROCESS UNDER TITLE 10

The Secretary of State of Delaware accepts service of process under Sections 3104, 3111, and 3114. The fee for service under any section of this Title would be USD 50 per defendant for each section reference. If service of process has to be provided under two sections, then the total amount would come up to USD 100 cumulatively.

Although the Secretary of State has accepted service on a Delaware corporation, this does not always signify valid service. A Delaware company must furnish the plaintiff with the defendant’s out-of-state address if the defendant is a non-Delaware corporation. There is a USD 50.00 charge per defendant, and all papers to be served must be prepared in duplicate. All documents must be served upon the office of the Secretary of State by the Sheriff, Constable, or Special Process Server. Unless documents are from a Federal Court, Delaware Process Service is not acceptable through the mail.

It is necessary to send a check or money order made out to the Secretary of State for Delaware with the payment. The service will be denied if payment is not made for the precise amount needed. If these papers are being served under a certain Title or Section, it must be stated clearly in writing. In this role, the office of the Secretary of State cannot provide any legal advice. 

The forms, as well as for instructions on how to complete them and what the plaintiff must do, may be acquired from the relevant Court. This office does not provide anyone a return of the stamped copy of the document they took from the individual. The party who served the papers on the Secretary of State of Delaware will provide the plaintiff with an affidavit attesting to the service. Anything served on the office of the Secretary of the State that does not satisfy the above requirements will be rejected and sent back to the person who served it.

SERVING THE SECRETARY OF STATE

As a last resort, the person in charge of delivering the legal process may have the Delaware Process Service sent to the Secretary of State. For the benefit of the company or person being served, the Secretary of State office will accept service of process.

In order to serve the Delaware Secretary of State, a business or a person must pay the right fees and do the necessary procedures. The Secretary of State has all the information it needs online. Serving the Secretary of State is governed by state-specific laws and regulations. In order to make sure the procedure is effective, individuals should verify it twice before completing it. The service of process to the Secretary of State will be effective if they complete the procedures and pay the costs.

Once the Secretary of State has been served, a letter will be sent to the firm or person being sued, notifying them that the lawsuit has been served. There should be a Secretary of State letter on file for the firm to receive this letter. Unless a business registered with the state without providing an address, the Secretary of State will send a letter to the registered agent.

THE SECRETARY OF STATE AS THE REGISTERED AGENT

All Delaware companies registering with the Secretary of State are required to provide information about a registered agent with the agency. That way, the most efficient and successful procedure of service of process may be ensured between Delaware companies All legal documents, particularly service of process, are received by a registered agent for the company’s benefit. Registered agents must have regular business hours every day of the week to ensure they are accessible to receive important papers when they are needed. Every day of the week, during regular working hours, there should always be a representative accessible to receive papers.

Choosing a registered agent is something a business may delegate to one of its employees. The registered agent office, on the other hand, should be kept distinct from the company’s primary location. Receiving service of process papers in front of consumers or clients doesn’t help a company much.

The process against the corporation may be served on the Secretary of State if the officer tasked with serving legal process is unable to do so with due diligence. In this case, service on the Secretary of State will be just as effective as service on the officer in question. The Secretary of State may be served by electronic transmission in these circumstances, but only in the manner specified by the Secretary of State. 

According to the Secretary of State’s judgment, rules and regulations regarding this service should be issued by the Secretary of State. The Secretary of State is authorized to issue such rules and regulations with respect to such service as the office of the Secretary of State would deem necessary or appropriate.

WHAT THE SECRETARY OF STATE HAS TO DO

The Secretary of State shall immediately notify the corporation by letter, addressed to the corporation at its principal place of business as shown on the records relating to the corporation on file.  If no such address appears, service can be done at its last registered office if service is made through the Secretary of State. This letter must be delivered by mail or courier service, and it must include a record of mailing or deposit with the courier. It would also be required to provide a record of delivery, which is proved by the recipient’s signature. A copy of the process and any other documents served by the Secretary of State must be included in the letter.

Process and other documents must be served in triplicate, notifying the Secretary of State as required that service is being carried out in accordance with it, and paying the Secretary of State USD 50 as a service fee. This fee will be included in the plaintiff’s costs if they win. The Secretary of State should keep an alphabetical record of any such service. This record would include the name of the plaintiff and defendant, the title, docket number, and nature of the proceeding in which process was served on the Secretary of State, as well as the fact that service was done according to adequate Delaware Process Service, the date on which it was returned, and the time at which it was made. After receiving service of process, the Secretary of State is not obliged to keep this information for more than five years.

For more information on serving legal papers, contact Undisputed Legal our Delaware Process Service department at (800) 774-6922. Representatives are available Monday-Friday 8 am – 8 pm EST.  If you found this article helpful, please consider donating.  Thank you for following our blog, A space dedicated to bringing you news on breaking legal developments, interesting articles for law professionals, and educational material for all. We hope that you enjoy your time on our blog and revisit us!  We also invite you to check out our Frequently Asked Questions About Process Servers.

Sources

1. The office of the secretary of state is established by the Delaware Constitution in Article III, Section 10.

Delaware Constitution, Article III, Section 10: The Governor shall appoint, by and with the consent of a majority of all the members elected to the Senate, a Secretary of State, who shall hold office during the pleasure of the Governor.

2. ‘Welcome Letter.’ Department of State – State of Delaware, 13 Jan. 2021, sos.delaware.gov/secretary-state-welcome-letter/. 

3. ‘Department of State.’ Department of State – State of Delaware, 31 Aug. 2021, sos.delaware.gov/department-state-responsibilities/.

4. LIST OF HIGHER OFFICERS

  • President
  • Vice president
  • Secretary
  • Assistant
  • Director

5. Titles 6, 8, and 12 of the Delaware code set forth the requirements for Delaware Process Service upon Delaware corporations.

6. This would also include upon any administrative office, agency, department, board, or commission of the state government, or upon any officer of the state government concerning any matter arising in connection with the exercise of his or her official powers or duties.

7. Code 1852, §§  2238, 2239;  Code 1915, §  4087;  Code 1935, §  4578;  10 Del. C. 1953, §  3103;  59 Del. Laws, c. 159, §  1;  70 Del. Laws, c. 186, §  1;

8. ‘No order shall be entered under 10 Del. C. § 366 unless it appears in the complaint that the defendant or any one or more of the defendants is a nonresident of the State of Delaware and the application, therefore, is accompanied by the affidavit of a plaintiff’ Rule 4 – Process, Del. R. Ch. Ct. 4

 DEL.CODE ANN.tit. 1, §302(2014)

9.‘ In the construction of this Code and of all other statutes of this State, unless the context requires a different meaning:(15)    ‘Person’    and    ‘whoever’    respectively    include corporations, companies, associations, firms, partnerships, societies, and    joint-stock    companies,    as    well    as individuals

10. Title 10 – Courts and Judicial Procedures CHAPTER 31. PROCESS; COMMENCEMENT OF ACTIONS

§ 3104 Personal jurisdictions by acts of nonresidents.

10 DE Code § 3104 (2015)

11. Title 10 – Courts and Judicial Procedures CHAPTER 31. PROCESS; COMMENCEMENT OF ACTIONS

§ 3111 Actions against corporations; service of process.

10 DE Code § 3111 (2015)

12. Title 10 – Courts and Judicial Procedures CHAPTER 31. PROCESS; COMMENCEMENT OF ACTIONS

§ 3114 Service of process on nonresident directors, trustees, members of the governing body, or officers of Delaware corporations.

10 DE Code § 3114 (2015)

13. Since this  often requires specific information, then individuals may contact the Division of Corporations of the Delaware Secretary of State at (302) 739-3077

14. At all times, including weekends and holidays, there should be a person on-site to receive papers.

HOW TO SERVE LEGAL PAPERS ON PAYPAL

Paypal

Undisputed Legal | California Process Service

In the majority of countries that allow online cash transfers, PayPal Holdings, Inc. is the company people turn to. PayPal is American multinational finance technology firm running online payment systems and provides an electronic alternative to conventional paper processes such as cheques and cash transfers.

 The firm is a payment processor for online suppliers, auction sites and many other business users, charging a fee often to do so.

HISTORY

In 2002, PayPal was made public by means of an Initial Public Offering. It was later in that year that PayPal became a wholly-owned subsidiary of eBay worth USD 1.5 billion.  In 2015, eBay shared PayPal with stockholders in eBay and thus rendered PayPal an independent firm again.

PayPal was initially founded as Confinity in December 1998 by Peter Thiel, Luke Nosek and Max Levchin, a firm that has produced portable security software. This business strategy was less than successful and the entity then transformed itself into a digital wallet. In 1999, they then released the initial version of the PayPal electronic payments system.

In March 2000, Confinity joined with Elon Musk’s online financial services firm X.com. In March 1999, X.com was co-founded by Elon Musk, Harris Fricker, Christopher Payne and Ed Ho. Musk was intrigued by the simple payment mechanism generated by Confinity  and was confident about the future potential of Confinity’s money transfer business. In October of that year, Musk determined that X.com will end its other Internet banking activities and concentrate on PayPal. This same month, Elon Musk was succeeded by Peter Thiel as Chief Executive Officer for X.com, who in 2001 renamed Confinity to PayPal and released the rechristened company in 2002. 

Shortly after PayPal’s IPO, eBay bought the business for USD1.5 billion on October 3rd, 2002. In all eBay auctions thereinafter, a majority  allowed PayPal payments, even in some closed auction lists. The majority of eBay customers utilised PayPal as the primary payment process and the service was competing with the Billpoint subsidiary of eBay, and the Citibank’s c2it, YahooPayDirect!’s and Google Checkout.

PayPal released its platform in November 2009, enabling other firms to access its code and utilise its infrastructure to facilitate peer-to-peer online transactions.

HOW PAYPAL WORKS

The services of PayPal enable users to conduct online financial transactions by allowing them to electronically transfer money between individuals and companies. Users may make or receive online auction payments via PayPal on websites like eBay, buy or sell products and services, give or receive contributions. Furthermore, an individual does not have to have a PayPal account to utilise the services of the business. Users of the PayPal account may change the conversion choice for currencies to account settings.

The PayPal app is accessible online or on Google Play and iTunes App Store. A year after buying Braintree, PayPal implemented its ‘One Touch’ service, which enables customers to pay on participating merchant websites or applications with a one-touch option.

In 2007, the online credit product Bill Me Later, Inc. was purchased by PayPal and has since been renamed PayPal Credit, and provides services to the lenders of the PayPal Credit accounts of the Comenity Capital Bank. Bill Me Later, founded in 2000, is based in Timonium, Maryland. PayPal Credit provides consumers access, subject to credit approval, to an immediate online revolving credit line from hundreds of merchants that accept PayPal. PayPal Credit enables customers to buy online in the same manner as with a conventional credit card.

Bill Me Later being rebranded as PayPal also implies that customers may use PayPal Credit to finance transactions anywhere PayPal is accepted. 

Between 2009 and 2016, PayPal has been running student accounts, enabling parents to set up a student account, transfer money there, and get a student debit card. The programme offered tools to learn intelligently how to spend money and accept responsibility for actions. In August 2016, PayPal terminated student accounts.

In 2012, ‘PayPal Here’ was released, a tiny mobile payment system using a mix of a free mobile software and a little card reader that connects into a smartphone. Now, PayPal has apps on both Android and iPhone smartphones, enabling users to find nearby businesses and restaurants accepting PayPal payments, order ahead of their place of business, and access their PayPal credit accounts (formerly known as Bill Me Later).

THE LEGALITY OF PAYPAL

PayPal enables users to transfer, receive and keep money globally in twenty five different currencies. PayPal provides both personal and corporate payment services and solutions. The business enables personal customers to easily shop, make payments and move money. Users need an e-mail address to register for an account and to complete this set-up, they have to give a credit card, debit card, or bank account. PayPal checks all the details to ensure the owner of the account is the appropriate person to set up the account before the service can be utilised. 

Thiel, a PayPal founder, has stated that PayPal is not a bank since PayPal does not participate in fractional reserve banking. Rather, non-disbursed PayPal money are held in trade-relevant checking accounts. PayPal itself is not a bank,  which means that if anyone leaves money in their PayPal account, it is not guaranteed by FDIC in a bank account in the same way it is. If users want full PayPal balance FDIC protection, it’s wiser to obtain a PayPal Cash Card.

PayPal will start depositing the money in a pooled PayPal account at an FDIC-insured bank after obtaining a PayPal Cash Card. PayPal intends to offer these funds with insurance coverage of FDIC up to the relevant limitations. If users maintain a large amount of money on their account, they would likely have to choose an account that has direct FDIC protection.

HOW EACH STATE GOVERNS PAYPAL

In the United States, PayPal is licenced on a state-by-state basis as a money transmitter. However, state regulations differ as their definitions of banks, small banks, money services companies and money transmitters varies. Although PayPal is not designated as a bank, the business is subject to several financial sector laws and standards, notably the Consumer Protection Regulation E and the United States PATRIOT Law. PayPal transactions are most similarly regulated by peer-to-peer (P2P) payments utilising credit and debit cards.

Usually, the Truth in Lending Act is regulated by a credit card transaction, particularly the connection between an issuing bank and the cardholder as embodied by Regulation Z. TILA/Z involves special billing processes, dispute settlement and cardholder responsibility for illegal payments. Likewise, a legal connection between the debit cardholder and the issuing bank must be governed by Regulation E. EFTA/E is aimed at the protection of consumers and offers rigorous processes for resolving errors. As the payment intermediary is PayPal and is otherwise not directly regulated, TILA Z and EFTA E will not work precisely as it is stated after the credit/debit card transaction happens via PayPal. In essence, the customer does not have redress in case of fraud by the seller unless a PayPal transaction is financed by a credit card.

In 2008, PayPal Europe was awarded a Luxembourg banking licence, enabling it to do banking operations across the EU according to European Union legislation. It is therefore supervised by the Banking supervisory authority of Luxembourg, the Financial Sector Monitoring Commission, as a bank.

All the European accounts of the Company were moved to the Luxembourg bank of PayPal in July 2007. Prior to the transfer, PayPal had been registered as PayPal (Europe) Ltd in the United Kingdom, a company regulated by the UK Financial Services Authority (FSA) as an electronic money editor since 2004. 

SUBSIDIARIES OF PAYPAL

PAYPAL ASSET MANAGEMENT, INC.

PayPal Asset Management, Inc. is a major investment advisory firm headquartered in San Jose, California. Since 2002, it has been registered with the Securities and Exchange Commission as an advisor for purposes of California Process Service. PayPal Asset Management manages portfolios for investment firms.

PayPal Asset Management Inc. is a foreign stock entity registered in California on 27th August, 1999 gauging by California Process Service. However, the entity itself comes under Delaware jurisdiction. The registered Corporate Agent for California Process Service is the National Registered Agents Inc.  PayPal Asset Management has its headquarters in San Jose, California wherein California Process Service may be levied.

PAYPAL HOLDINGS, INC.

PayPal Holdings Inc is an entity that comes under Delaware jurisdiction. The entity is however, registered with the California Secretary of State as a foreign stock corporation for adequate California Process Service. PayPal Holdings Inc has been incorporated in California from 18th November, 2015, whereinafter California Process Service has been levied upon it. PayPal Holdings retains CT Corporation Systems as a registered agent for California Process Service. A Statement of Information is due every year beginning five months before and through the end of November to comply with California Process Service requirements.

PAYPAL, INC.

PayPal Inc is a Delaware corporation that is incorporated in California and comes under California Process Service as such. The entity was first incorporated on 20th July, 1999 as a Foreign Stock corporation for purposes of California Process Service. PayPal Inc retains CT Corporation System as the registered agent for California Process Service. A Statement of Information is due every year beginning five months before and through the end of July to comply with California Process Service. The entity comes under the umbrella of Services Business Services as per the SIC code 7389 .

iZettle

The Swedish financial technology firm Zettle by PayPal (formerly known as iZettle), established by Jacob de Geer and Magnus Nilsson in April 2010. The company’s initial app and service was launched in 2011 with a variety of financial goods including payments, sales outlets, financing and partner apps.

It was the first business to create a reader and smartphone app for smartphones that satisfies international security standards. The firm has over time expanded to provide a wide range of services, including software support and finance solutions to small companies throughout Europe and Latin America. PayPal bought iZettle primarily to extend its position in the shop with small companies to fight with Square, as well as to increase its presence on the European and Latin American markets

Zettle Solutions itself was incorporated in Delaware on 15th April, 1998 in Delaware. The entity retains The Company Corporation as a registered agent for California Process Service. 

Xoom Corp.

Founded in 2001, Xoom is a global payment processing business that enables users to transfer money, pay bills, refill phones and carry out other functions in other countries for friends and family. Xoom has more than a million active U.S. users using its platform to transfer USD 7 billion foreign funds yearly at the time of the transaction. The purchase of Xoom by PayPal enables it grow to global new areas, including the development of its transfer business. Xoom’s business is centred around payment processing and the acquisition was done on November 12th, 2015. 

PAYPAL CREDIT. 

The PayPal Credit, formerly called Bill Me Later, is a patented payment method on the websites of several well known dealers including Wal-Mart, Home Depot, USPS and eBay. The website, which provides customers with a range of revolving credit through the Synchrony Bank, enables online purchases without a credit card.

After clients open their accounts (including the credit check), PayPal Credit requires clients to connect into PayPal’s account to complete the transaction on each purchase. The authorised client may then pay the bill through PayPal official website by e-mail (check), phone or online (via a bank account). Once the PayPal credit account has been connected to PayPal, it becomes a PayPal financing option and provides the option of paying down the PayPal Credit balance. Customers also get an e-mail anytime it is refused. 

PayPal Credit is a revolving line of credit provided by Synchrony Bank, not a credit card. Like a conventional credit card, if necessary, the business will levy late payments. On May 19th, 2015, the CFPB filed a lawsuit and proposed consent order in federal court against PayPal, Inc. for unlawfully enrolling customers in its online credit product. 

PayPal finalised its purchase of Bill Me Later on 7th November 2008 from I4 Commerce. Bill Me Later is a PayPal service that enables customers to purchase products without providing credit card details. Bill Me Later Inc is centred in  Lutherville Timonium, Maryland, United States, which is the address referenced for purposes of California Process Service. 

VENMO

Venmo is a PayPal-owned mobile payment service. Venmo account users may send and receive money through a mobile phone app; both the sender and recipient must reside in the United States. Venmo was established in 2009 with the goal of facilitating bill sharing amongst friends for things like movies, food, rent, and tickets.

By default, Venmo broadcasts all peer-to-peer transactions (except the amount), a feature that academics have shown may disclose sensitive information about users’ lives in certain circumstances. In 2018, the business reached a settlement with the FTC for numerous privacy and security breaches relating to this and other services, and updated the relevant settings, although it continued to face criticism for exposing users to privacy concerns. Venmo is based in New York for purposes of California Process Service.

On 21st October 2020, PayPal launched a new service that will enable consumers to utilise cryptocurrencies to purchase on the network from 2021 onwards. Paypal has used Paxos Trust to offer users with the back-end infrastructure for managing and commercialising cryptocurrencies in compliance with data privacy laws and financial regulations. Paxos was responsible for purchasing the required Paypal regulatory permissions to support bitcoin assets. 

The news included PayPal obtaining the New York Department of Financial Services‘ first conditional cryptocurrency licence that will enable users to acquire cryptocurrencies including Bitcoin, Litecoin, Ethereum and Bitcoin Cash.

For more information on serving legal papers, contact Undisputed Legal our California Process Service department at (800) 774-6922. Representatives are available Monday-Friday 8 am – 8 pm EST.  If you found this article helpful, please consider donating.  Thank you for following our blog, A space dedicated to bringing you news on breaking legal developments, interesting articles for law professionals, and educational material for all. We hope that you enjoy your time on our blog and revisit us!  We also invite you to check out our Frequently Asked Questions About Process Servers.

Sources

1. Quora. ‘How Was the Rivalry between Paypal and X.com before and after the Merger?’ Forbes, Forbes Magazine, 9 Oct. 2015, www.forbes.com/sites/quora/2015/10/09/how-was-the-rivalry-between-paypal-and-x-com-before-and-after-the-merger/?sh=4d007a0d6154.

2. The President and Chief Executive Officer of X.com Musk and Bill Harris argued over the possible future viability of the money transfer firm and in May 2000 Harris departed the company.

3. PayPal’s IPO was listed under the PYPL ticker for 13 dollars per share and earned over 61 million dollars.

4. ‘Fractional Reserve Banking – an Economist’s PERSPECTIVE (TRANSCRIPT).’ Federal Reserve Bank of Atlanta, www.atlantafed.org/education/classroom-economist/fractional-reserve-banking/economists-perspective-transcript.

5.Fractional-reserve banking is a banking system that is used in virtually every country on Earth. Under this system, banks that accept public deposits are obliged to keep a part of their deposit obligations in liquid assets as a reserve, but are free to make loans to borrowers of the balance.

6. ‘Paypal State Licenses.’ PayPal, www.paypal.com/us/webapps/mpp/licenses. 

7. 12 CFR Part 1005 (Regulation E)

Regulation E is a Federal Reserve Board regulation that defines the processes and regulations governing electronic funds transfers (EFTs) and establishes standards for issuers of electronic debit cards.

Lake, Rebecca. ‘What Is Regulation e?’ Forbes, Forbes Magazine, 21 June 2021, www.forbes.com/advisor/banking/what-is-regulation-e/. 

8. Truth in Lending Act (TILA) of 1968 is a United States federal law designed to promote the informed use of consumer credit, by requiring disclosures about its terms and cost to standardize the manner in which costs associated with borrowing are calculated and disclosed

9. 12 C.F.R. 226 (TILA/Z).

10. The Electronic Fund Transfer Act (EFTA) (15 U.S.C. 1693 et seq.)12 C.F.R. 205 (EFTA) 15 USC §§ 1693-1693r

11. ‘CSSF – the Commission De Surveillance Du Secteur Financier Is a Public Institution Which Supervises the Professionals and Products of the Luxembourg Financial Sector.’ CSSF Homepage Comments, www.cssf.lu/en/. 

12. Entity Address:

2065 HAMILTON AVENUE
SAN JOSE CA 95125

Entity Mailing Address:

2065 HAMILTON AVENUE

13. Entity Address:

2211 NORTH FIRST STREET, C/O CORPORATE, LEGAL DEPARTMENT
SAN JOSE CA 95131

Entity Mailing Address:

2211 NORTH FIRST STREET, C/O CORPORATE, LEGAL DEPARTMENT
SAN JOSE CA 95131

14. Entity Address:

HARBORSIDE 5, 185 STREET, SUITE 1710
JERSEY CITY NJ 07311

Entity Mailing Address:

HARBORSIDE 5, 185 STREET, SUITE 1710
JERSEY CITY NJ 07311

15. The Standard Industrial Classification is a system for classifying industries by a four-digit code. Description for 7389: Business Services, Not Elsewhere Classified 

16. THE COMPANY CORPORATION

2711 CENTERVILLE ROAD SUITE 400

WILMINGTON County: New Castle

DE Postal Code: 19808

302-636-5440

17. ‘CFPB Takes Action against PayPal for Illegally Signing up Consumers for Unwanted Online Credit.’ Consumer Financial Protection Bureau, 19 May 2015, www.consumerfinance.gov/about-us/newsroom/cfpb-takes-action-against-paypal-for-illegally-signing-up-consumers-for-unwanted-online-credit/. 

18. ‘PayPal Settles FTC Charges That Venmo Failed to Disclose Information to Consumers about the Ability to Transfer Funds and Privacy SETTINGS; Violated Gramm-Leach-Bliley Act.’ Federal Trade Commission, 24 May 2019, www.ftc.gov/news-events/press-releases/2018/02/paypal-settles-ftc-charges-venmo-failed-disclose-information. 

19. 95 Morton Street Floor 5 New York, NY 10014 United States

20. ‘Press Release – October 21, 2020: Superintendent Linda A. Lacewell ANNOUNCES Paypal to Be the First Approved Entity for DFS CONDITIONAL BITLICENSE.’ Department of Financial Services, www.dfs.ny.gov/reports_and_publications/press_releases/pr20201021

21. Surane, Jennifer. ‘Paypal Wades into Savings Account Battle with Revamped App.’ BloombergQuint, 21 Sept. 2021, www.bloombergquint.com/business/paypal-wades-into-savings-account-battle-with-revamped-app. 

HOW TO OBTAIN A CRIMINAL BACKGROUND CHECK

Criminal Background Check

Undisputed Legal | Skip Trace Service

In the United States, different law enforcement agencies create and maintain criminal records at the municipal, state, and federal levels. The main aim of a criminal record is to provide a person with a complete background. Consequently, criminal history information is usually accessible to the public, and criminal history information may usually be acquired through a state agency that keeps the record for a particular State. 

States usually charge a fee for a copy of the criminal record of a person. Private persons may usually get copies of their own records, although they may need a release to get another person’s records.

BACKGROUND

Law enforcement agencies keep criminal records at all levels of government. Local police, sheriff’s offices, and specialized police organizations may develop internal databases of their own. Law enforcement agencies frequently exchange this information with comparable enforcement agencies and usually make this information accessible to the public. 

Anyone, including a private investigator, a criminal investigator, or a bottom line check business, may go to the county court and search the criminal record index on their name and date of birth or have a county clerk looking for specific records. Such a search may provide material about criminal and non-criminal charges which are not abstracted in the chronology of state criminal documents

All states have official ‘state repositories’ of criminal history information that contain information provided by the county, municipal, and state law enforcement authorities. State repositories are generally reliable, although all states have procedures for correcting mistakes in reporting and recording information on criminal history. State criminal history record repositories provide informational services which often influence critical decision-making throughout the criminal justice system and beyond. Repository information has a direct bearing on public safety, homeland security and is a determinant of whether an individual gets the job that they seek 

Individuals may usually get their own records from a State, but a private person will generally have to have disclosure from the subject of the record search to access the information of another person.

For job screening reasons, criminal convictions may be disclosed within seven years of the date of conviction, unless otherwise provided by State legislation. This is known as the seven-year lookback rule. In May 2014, the 9th US Circuit Court of Appeals in  Moran v. The Screening Pro decreed that the period of gauging when a criminal charge was applicable came from the date of entry instead of the date of disposition under the Fair Credit Reporting Act. This meant that the seven-year limit for reporting criminal charges stemming from the filing of the charges rather than their dismissal. The appellate court was responsible for overruling the district court who held that the dismissal of the charge triggered the reporting period. 

WHO RETAINS THE CRIMINAL RECORD

Government entities, most often law enforcement agencies, preserve State criminal history.  Local police services, sheriff’s offices, and specialized police organizations may -as well as state-wide records- maintain their own domestic databases. State punishment agencies must also keep records in connection to criminals condemned to jail or similar provisions which come within their competence. Law enforcement agencies often exchange information in criminal past with other enforcement agencies, and the general public will also be given information in criminal history.

Minor crimes are not included in the state-wide record in certain States or only if they have been submitted voluntarily by the court in which a conviction takes place. In the 2021 session, the Virginia House of Delegates passed a bill that would automatically seal criminal records for more than a hundred and fifty offenses. This move mirrored similar legislation by other states, although House Bill 5146 is still far from being the norm. 

According to the proposed law, anybody convicted of any one of about a hundred and fifty misdemeanor or felony crimes — with the exception of the majority of severe offenses — may have their records sealed automatically if they are not charged with any new criminal offenses within eight years after serving their sentence. Individuals who commit violent or sexual crimes would not be eligible to have their records sealed. Criminal charges that do not result in convictions would be automatically sealed, but they might stay public under certain circumstances.

The federal government also retains the significant criminal history and is a single repository for the reporting of its own data by all departments. The Next Generation Identification (NGI) system is a criminal history information database managed by the Federal Investigative Bureau (FBI). A system of state indicators that provides the gateway to the state that retains administrative authority over the arrest information operates inside the NGI system in its capacity as the Interstate Identification Index (III) system. For the federal agencies, the FBI retains administrative oversight. If a criminal record is sought, the relevant agency will reply to this matter with its criminal record.

WHEN WOULD INDIVIDUALS BE ASKED FOR A CRIMINAL RECORD

Citizens may be requested to provide a ‘certificate of good behavior’ or ‘absence of criminal record’ for a number of reasons, including adoption, attendance to schools, employment, etc. Such a process may not be known to U.S. law enforcement agencies since it is not frequently sought in the United States. There are a number of alternatives for U.S. citizens seeking evidence of their absence.

In the United States, criminal records include arrests, criminal charges, and the outcome of those charges. Criminal records are collected and maintained by government entities, most common law enforcement agencies, at the local, state, and federal levels. Their main aim is to show a broad history of crime for a particular person.

Criminal records may be utilized for various reasons, including background checking, job clearance, adoption, immigration, and licensing in the United States. Criminal records may be helpful in the context of a criminal investigation to identify suspects. They may be used in criminal proceedings for increased sentences.

Regardless of whether the individual has had interaction with law enforcement officials, they may need to ask for any criminal history to find out if they are qualified for an immigration relief or benefits and to evaluate any risk of enforcement action. The United States Citizenship and Immigration Services (USCIS) performs background checks on petitioners and applicants for various immigration benefits as a component of its adjudication process and as required by law. These background checks are conducted in four distinct stages using the Department of Justice (DOJ), the Federal Bureau of Investigation (FBI), and the Department of Homeland Security (DHS). 

Law enforcement contact may appear like numerous things. This would include an arrest for a DUI or receipt of a citation for public dispute or US borders stoppage, arranging for a plea deal with a prosecutor, or even removal or expiration of a conviction.  Even if the record has been erased, or the charges have been finally dropped, a record exists and it is essential to obtain a copy of it so people know what occurred precisely.

HOW TO CHECK IF AN INDIVIDUAL HAS A CRIMINAL RECORD 

Criminal background checks generate summary papers, commonly referred to as ‘rap sheets,’ which are simply a list of law enforcement contacts. It is the version of the individual’s criminal history by the authorities. A rap sheet does not include all papers or administrative records related to an event. The rap sheet retrieves information from certain government databases about previous contacts with law enforcement agencies. 

The Federal Bureau of Investigation (FBI) maintains the major federal background checking system. But each state has its own criminal background checking system as well. A lawyer may suggest that both the state and the federal criminal records be requested especially since a state criminal history inspection is distinct from a federal background inspection. The FBI records include information from across the nation, while state records contain just information from that specific state. 

HOW TO SUBMIT A REQUEST TO THE FBI FOR THEIR IDENTITY HISTORY

The FBI offers three options for requesting the Identity History Summary or proof that one does not exist. Primarily the main option would be to electronically submit the request directly to the FBI  as done online. This would require the individual to follow the procedures as enumerated in the summary of personal identity history on the website. 

It must be known that regardless of whether an application to the FBI  is done online, users must visit a participating U.S. post office site to electronically submit the fingerprints as part of the application process. Upon completion of the request, users may go to any of the participating US postal facilities nationwide. There may be additional charges. If users want to choose a U.S. Post Office location, they must complete the application and payment online in order to submit the fingerprints in their application before they visit the U.S. Post Office site.

When customers opt not to utilize a U.S. post office location to submit the fingerprints electronically, individuals may still send the completed fingerprint card to the address given in the confirmatory e-mail, along with the received confirmation e-mail when users initiated the electronic request. The application will proceed as an electronic submission after receipt of the fingerprint card.

The Federal Bureau of Investigation’s (FBI) Criminal Justice Information Services (CJIS) Division centralizes criminal justice data and provides relevant and complete information and benefits to small, state, federal, and international law enforcers, the private industry, academia, as well as other government agencies.

The FBI offers two methods for requesting the FBI Identification Record or proof that a record does not exist. Firstly, the subject of an identification record may obtain a copy of that record by submitting a written request to the CJIS Division. The request must be accompanied by [A.] satisfactory proof of identity (consisting of name, date, and place of birth, and a set of rolled-inked fingerprint impressions) and [B.] a certified check or money order for the current processing fee. The FBI will not provide copies of arrest records to individuals other than the subject of the record. 

If the individual does not follow through with the written request, the subject of an identification record may also submit a request through an FBI-approved channeller, which is a private business that has contracted with the FBI to receive fingerprint submissions and relevant data, collect the associated fees, electronically forward the fingerprint submissions with the necessary information to the FBI CJIS Division, and receive the electronic record check results for dissemination to the individual

An individual requiring an apostille or authenticated copy of their FBI Identification Record, or any non-U.S. national or permanent resident who wishes to request their FBI Identification Record must submit a request directly to the FBI CJIS Division. The U.S. Department of State Authentications Office may then place an apostille document for use in a country that is a party to the Hague Apostille Convention. For countries not a party to the Hague Apostille Convention, the U.S. Department of State Authentication Office will place a certification over the FBI seal.

Criminal documents may be used for many purposes, mainly for background checks, including identification, jobs, safety clearance, adoption, immigration [including international travel or visa,] licensing, support to develop suspects in ongoing criminal investigations, and enhanced criminal prosecution sentences.

There has been major controversy about profitable data-mining businesses, which nationally collected most of the computerized booking records of different police agencies and offered them free of charge on the public Internet and for sale to employers. Although it is often effective to identify applicants with a criminal background, this data generally does not reflect any subsequent prosecution, acquitting, or dismissing charges and the extremely harmful nature of the records can adversely affect the applicant’s job chances and other advantages if the records are not correctly linked to a successive prosecution result. In many instances, records are accessible for seven or more years after acquittals or rejection of charges. 

Furthermore, since records of arrests may sometimes be erroneously linked to people with the same or similar names, the harmful nature of the records accessible, especially violent ones, can adversely impact candidates and candidates if there is no real criminal record otherwise. 

For more information on Criminal records checks, contact Undisputed Legal our Skip Trace department at (800) 774-6922. Representatives are available Monday-Friday 8 am – 8 pm EST.  If you found this article helpful, please consider donating.  Thank you for following our blog, A space dedicated to bringing you news on breaking legal developments, interesting articles for law professionals, and educational material for all. We hope that you enjoy your time on our blog and revisit us!  We also invite you to check out our Frequently Asked Questions About Process Servers.

Sources

1. State police, troops, road patrol, penal institutions, and other law enforcement organizations also keep separate databases at the state level

2. Section 605(a) of the federal Fair Credit Reporting Act limits the reporting of ‘any other adverse item of information, other than records of convictions of crimes which antedates the report by more than seven years.’ (15 U.S.C. § 1681c.)

3. Moran v. The Screening Pros, LLC, No. 12-57246 (9th Cir. 2019)

The plaintiff brought an action against The Screening Pros, a company that offers tenant screening reports to property owners, in 2010 for providing a background check record that included his prior criminal record- including a misdemeanor conviction in 2000 that was dropped in 2004—in violation of the FCRA and the California Investigative Consumer Reporting Agencies Act.

The district court dismissed the claim that the screening company violated the FCRA’s seven-year rule, finding that the reporting period for criminal charges began on the 2004 date of dismissal, not the date of entry.

The Ninth Circuit differed from this ruling, maintaining that the date of filing of the charge was when the reporting period for criminal cases was applicable. The court ‘went further and held that the dismissal of a charge does not constitute an adverse item and may not be reported after the reporting window for the charge has ended’

4. Poggenklass, Rob. ‘Virginia Poised to ENACT ‘Transformative’ RECORD CLEARANCE LAW.’ Collateral Consequences Resource Center, 8 Mar. 2021, ccresourcecenter.org/2021/03/08/virginia-poised-to-enact-transformative-record-clearance-law/. 

5. The bill passed the Democratic-controlled House on a nearly party-line vote of 59-37 and one abstentions.

Four Republicans, including Del. Jeff Campbell, R-Smyth, joined Democrats in voting for the bill.

The measure will now move to the Senate. There has been bipartisan support from this automatic clearing. 

6. ‘Next Generation Identification (Ngi) – Retention and Searching of Noncriminal Justice Fingerprint Submissions.’ FBI, FBI, 20 Jan. 2015, www.fbi.gov/services/information-management/foipa/privacy-impact-assessments/next-generation-identification-ngi-retention-and-searching-of-noncriminal-justice-fingerprint-submissions.

7. ‘Interstate Identification Index (III) National FINGERPRINT FILE (NFF).’ FBI, FBI, 8 June 2016, www.fbi.gov/services/cjis/compact-council/interstate-identification-index-iii-national-fingerprint-file-nff. 

8. ‘Immigration Benefits Background Check Systems (Ibbcs).’ Department of Homeland Security, 10 May 2019, www.dhs.gov/publication/immigration-benefits-background-check-systems-ibbcs. 

9. The relevant website is https://www.edo.cjis.gov

10. ‘Criminal Justice Information Services (CJIS).’ FBI, FBI, 3 May 2016, www.fbi.gov/services/cjis. 

11. Requests should be directed to the FBI CJIS Division, Attn: SCU, Mod. D-2, 1000 Custer Hollow Rd., Clarksburg, West Virginia 26306. If there is no criminal record, a report reflecting this fact is provided. 

12. e-Vision.nl, The Netherlands. ‘Apostille Section.’ HCCH, www.hcch.net/en/instruments/conventions/specialised-sections/apostille. 

13. The Hague Convention on the Abolition of the Legalization Requirement for Foreign Public Documents, often referred to as the Apostille Convention or Apostille Convention, is an international treaty written by the Hague Conference on Private International Law. It establishes the procedures for the certification of a document issued in one of the contractual states for legal purposes in all of the other contracting states. An apostille or Hague apostille is a certification issued under the provisions of the treaty. 

It is an international certification, similar to a notarization under home law, that often complements a document’s local notarization. If the convention is in force between two nations, an apostille suffices to verify the validity of a document, obviating the need for double certification, first by the originating country and subsequently by the receiving country.

14. Sprague, Robert. ‘Legal Framework for Data Mining and Privacy.’ Social Implications of Data Mining and Information Privacy, pp. 181–198., doi:10.4018/978-1-60566-196-4.ch010. 

HOW TO SERVE LEGAL PAPERS ON MCKESSON CORPORATION

McKesson

Undisputed Legal | Texas Process Service

McKesson Corporation is a US-based business that distributes medicines and provides health information technologies. The business supplies one-third of all North American medicines.

Headquartered in Irving, Texas, McKesson provides health systems, medical supplies, and pharmaceuticals. McKesson also offers significant healthcare network infrastructure; it was also an early adopter for technology such as distribution bar code scanning, pharmaceutical robots, and RFID tags.  The business was cited in a federal lawsuit for the benefit of the US opium pandemic.

HISTORY OF MCKESSON CORPORATION

Founded in New York City by Charles M. Olcott in 1828 and later merged to become Olcott, McKesson & Co. by Charles Olcott and John McKesson in 1833, the business began as an importer and wholesaler of botanical drugs.

One of the worst financial scandals of the 20th century was the McKesson & Robbins, Inc. affair of 1938. McKesson & Robbins Inc. (now McKesson), a business that had previously utilized the Adelphia Pharmaceutical Manufacturing Company as a cover for bootlegging activities, was taken over by Phillip Musica in 1925. Musica, a two-time prisoner, utilized aliases he adopted to hide the real identity of both firms, Frank D. Costa at Adelphia Pharmaceutical, and F. Donald Coster at McKesson & Robbins. 

Although he successfully extended the company’s legal commercial activities, Musica hired three of his brothers, also under assumed identities, one outside the firm and two within the company, to produce flawed sales papers and to send commissions to a shell distributor under their control.

A major concern was that treasurer Julian Thompson of McKesson & Robbins realized that the distribution business was fake. It was ultimately discovered that about twenty million dollars (out of 87 million dollars of the balance sheet assets of the business were falsified.

In December 1938 an inquiry was launched by the Securities and Exchange Commission (SEC) and Musica was arrested. Only then did the authorities discover that ‘Coster’ was in fact Musica, fingerprinted and released on bail. 

The McKesson & Robbins affair resulted in significant corporate governance and audit changes. The SEC requires public corporations to establish audit committees of directors ‘outside’ and to have shareholders approving the hiring of auditors. Audit guidelines were established by the American Institute of Accountants (now the American Institute of Certified Public Accountants) requiring auditors to check accounts receivable and inventory.

HOW DOES MCKESSON WORK

Founded in 1833 by John McKesson and Charles Olcott, the business started as a medicinal and chemical importer and distributor. McKesson now offers a host of goods and services across the two divisions, Distribution Solutions and Technology Solutions, that give it a client base that operates a range of healthcare industries.

McKesson is physically present in the healthcare sector from large distribution facilities that handle close to five million items per day via its fully owned subsidiary Health Mart to more than two thousand independently owned franchise pharmacies. It includes software, robots, and networks that simplify everything from the supply chain to financial services to patient services on the technological front. McKesson delivers drugs to every setting of care, from national and retail chain pharmacies to independent pharmacies, hospitals, health systems, and clinics.

The group’s strong supplier relationships, combined with deep supply-chain proficiency are reportedly instrumental to identifying the appropriate drug of choice. From alternate-site and extended-care pharmacies to national chains and independents, we’re here to help you offer your patients the excellent care they deserve.

In 2014, McKesson acquired Celesio to become one of the world’s largest health care companies, with close to two billion in annual revenue.

In June 2016, McKesson announced plans to merge its IT business with Change Healthcare. However, the subsequent year, McKesson was involved in a number of lawsuits against the state of Arkansas over the supply of vecuronium bromide. McKesson was under contract by Pfizer not to sell to any correctional facility that authorized and carried out Capital punishment.

In November 2018, the company announced it would relocate its headquarters from San Francisco to Irving, Texas in April 2019. 

The company officially moved its headquarters to Irving, Texas, with Brian Tyler taking over as CEO of the company

In February 2020, McKesson Corp announced that it would part ways with Change Healthcare. McKesson would give up its three seats on Change’s board of directors, and as an entity will no longer own any portion of Chang

MCKESSON DIVISIONS

MCKESSON PROVIDER TECHNOLOGIES

McKesson Provider Technologies is McKesson Technology Solutions’ retail brand; McKesson’s software development business. Its client base in the U.S. comprises over half of all health systems, with a substantial quotient of all doctors’ offices, home care agencies, and over seventy percent of healthcare systems with over two hundred beds.

McKesson Provider Technologies purchased Medcon, Ltd., a business in Israel that offers cardiac web-based image and heart center information management systems that include digital image diagnostics, archiving, reporting of procedures, and workflow management, on 20th June 2005.

McKesson RxOwnership has also been established as a no-fee resource for independent pharmacies seeking financial and ownership transaction guidance, signed a new five-year commitment with the National Community Pharmacists Association (NCPA) to sponsor the Pharmacy Ownership Workshop series.

With many pharmacies struggling to survive in the complex and rapidly shifting business environment of the pandemic and stay-at-home orders, RxOwnership is expanding its services to include financial review and consultation. The idea is to help pharmacy owners interpret financial statements to identify pharmacy strengths and weaknesses, compare results to national benchmarks and determine areas of improvement. 

MCKESSON MEDICAL SUPPLIES AND EQUIPMENT

Richmond, Virginia, McKesson Medical-Surgical Corporate campus

McKesson Medical-Surgical (MMS), along with McKesson’s unique medical product brand, provides a wide range of national medical brands. Their online medical supply ordering platform addresses the requirements of doctors’ offices, operation centers, health services at home, DMEs, laboratories

The new headquarters of McKesson Medical-Surgical was inaugurated in 2015 in Richmond, Virginia.

McKesson also initiated Health Mart as a network of more than 4,000 pharmacies owned and managed individually.

NDC HEALTH

NDC (from the initials of its former identity as National Data Corporation) became NDC-Health Corp in 2001 NDC was a time-sharing business that started to acquire Rapidata, a rival in 1967. Rapidata was maintained and joined the National Data Corporation.  In 1982 the subject of ‘A User’s Guide to Statistics Programs: The Rapidata Timesharing System’ remained of great interest.  Although revenues decreased by 66% and national information developed its own difficulties, there were efforts to maintain this time-sharing company

McKesson Corporation is a worldwide pioneer in supply chain solution management, retail pharmacy, community oncology, and specialized care and health information systems. McKesson partnered with pharmaceutical producers, providers, pharmacies, governments, and other healthcare agencies to assist ensure the appropriate time, safe and cost-effective provision of medications, medical goods, and care services for the right people. In four reporting segments, the Company discloses its financial performance; U.S. Pharmaceutical, Prescription Technology Solutions (‘RxTS’), Medical-Surgical Solutions, and International.

The Company sees itself as controlling a company if it is the majority owner or has voting control of the company. The company also evaluates control by means of non-voting methods and decides which enterprise is the main beneficiary of the variable interest entity (‘VIE’). When it is found to be the main recipient of VIE, the Company consolidates VIEs. The equity method is used to account for investment in business entities in which the company has no control but a capacity to exert a substantial influence over operational and financial policy.

SUBSIDIARIES

MCKESSON CORPORATION

McKesson Corporation is focused on distributing pharmaceuticals and providing health information technology, medical supplies, and care management tools. The Company’s segments include U.S. Pharmaceutical, International, Medical-Surgical Solutions, and Prescription Technology Solutions (RxTS). The U.S. Pharmaceutical segment provides distribution and logistics services for branded, generic, specialty, biosimilar, and over-the-counter pharmaceutical drugs and other healthcare-related products. The firm filed its Department of State registration on September  20th, 1994.

Texas Process Service on McKesson Corporation. maybe done on its registered agent Corporation Service Company. The entity can also accept process service upon its Chief Executive Officer.   A foreign corporation may apply for authority to do business as long as it hasan application, entitled ‘Application for the authority of  (name of corporation) under section 1304 of the Business Corporation Law ‘. This application must set forth [A.] the name of the foreign corporation; [B.] the fictitious name the corporation agrees to use in the state; [C.] the jurisdiction and date of its incorporation; [D.] the purpose for which it is formed; [E.] the county in which its office is to be located. [F.] the designation of the secretary of state as its agent upon whom process against it may be served and the post office address to which the secretary of state shall mail a copy of any process against it served [G.]  the registered agent, its name and address within this state and a statement that the registered agent is to be its agent upon whom process against it may be served and [G.] a statement that the foreign corporation has not since its incorporation engaged in any activity in this state contrary to that enumerated in accordance with the business laws.

MCKESSON AUTOMATION SYSTEMS INC.

McKesson Automation Systems Inc. is a Foreign Business Corporation according to Texas Process Service, with the entity falling under Maryland jurisdiction. The corporation was incorporated on 14th December 1998 and subsists as one of the premier subsidiaries of McKesson Corporation. McKesson Automation Systems Inc. was registered and incorporated in Louisiana, having been registered as a Foreign General Corporation in Delaware, with its registered agent for Texas Process Service as Corporation Service Company like other McKesson Corporation subsidiaries.  

MCKESSON CAPITAL FUNDING CORP.

Mckesson Capital Funding Corp. is a Foreign Business Corporation according to Texas Process Service, although it comes under Delaware jurisdiction and is therein recorded as a Domestic General Corporation. The entity was incorporated on 20th  December 2002.  

McKesson Capital Funding Corp. retains its own registered agent for Texas Process Service not similar to other  McKesson Corp. group entities. As such,  McKesson Capital Funding Corp directs its documents for Texas Process Service to The Prentice-Hall Corporation System, Inc. However, McKesson Capital Funding Corp registered agent retains an address for Texas Process Service in the state of incorporation, with Texas process service also being available to be served upon major authority figures of the business entity itself as viable forms of Texas Process Service.

MCKESSON DRUG COMPANY LLC

McKesson Drug Company LLC is a limited liability company that was incorporated on 18th July 2017. McKesson Drug Company LLC is LLC is an indirect wholly-owned subsidiary of McKesson Corp. The entity was incorporated in Delaware with Corporation Service Company as its registered agent for Texas Process Service.

MCKESSON HEALTH SOLUTIONS HOLDINGS LLC

Mckesson Health Solutions Holdings LLC is a foreign limited liability company for Texas Process Service requirements. The entity first filed for incorporation with the Delaware Department of State on 15th September 2000. The entity thus falls under Delaware jurisdiction with Corporation Service Company being its registered agent for Texas Process Service. Since the registered agent of an entity is required to be in the same state, Corporation Service Company receives Texas Process Service at its Delaware address. 

MCKESSON FINANCING TRUST 

Mckesson Financing Trust is a Statutory Trust incorporated in the State of Delaware, rendering it to be classified as a foreign trust by Texas Process Service requirements. The entity was incorporated in Delaware on 5th February 1997, with Bank One Delaware, Inc.Company recorded as the registered agent for Texas Process Service. Considering that the registered agent requires to have an address in the state of incorporation, Bank One Delaware, Inc. is different from other McKesson subsidiaries insofar as the entity itself is located in Wilmington and is not the default registered agent for McKesson, Corporation Service Corporation. The county for incorporation in New Castle in the state. 

MCKESSON LOGISTICS SOLUTIONS LLC

McKesson Logistics Solutions LLC is a subsidiary of McKesson Corp. McKesson Logistics Solutions LLC registered on March 17th, 2004, is a Texas corporation according to jurisdiction, although it is incorporated with the Department of State in Delaware.

Nonetheless, because McKesson Logistics Solutions LLC is an approved foreign limited liability corporation, the majority of the requirements for Texas Process Service will apply. Texas Process Service is still assessed via the Secretary of State. The registered agent for McKesson Logistics Solutions LLC is CT Corporation System to receive Texas Process Service. In turn, the Secretary of State must immediately deliver one of these copies by certified mail, return receipt requested, to McKesson Logistics Solutions LLC at the Department of State’s post office address on file

MCKESSON MEDICAL SUPPLY, INC.

McKesson Medical Supply, Inc. is a Domestic General Corporation registered as such in Delaware, where it was incorporated on 10th December 1979. Like other McKesson entities,  McKesson Medical Supply, Inc..retains Corporation Trust Company as its registered agent for Texas Process Service. However,  McKesson Medical Supply, Inc. and other  McKesson Group entities retain their principal address for their offices in the state of incorporation, with an office in Wilmington Delaware in New Castle County.

For more information on serving legal papers, contact Undisputed Legal our Texas Process Service department at (800) 774-6922. Representatives are available Monday-Friday 8 am – 8 pm EST.  If you found this article helpful, please consider donating.  Thank you for following our blog, A space dedicated to bringing you news on breaking legal developments, interesting articles for law professionals, and educational material for all. We hope that you enjoy your time on our blog and revisit us!  We also invite you to check out our Frequently Asked Questions About Process Servers.

Sources

1. ‘The Fraud That Changed Governance and Auditing Forever • Mcleod Governance.’ McLeod Governance, 9 Mar. 2015, www.mcleodgovernance.com/mckesson-fraud/. 

2. His bail was revoked and before he could be rearrested, he committed suicide.

3. Monica J. Keneley. (2020) The shifting corporate culture in the financial services industry: Explaining the emergence of the ‘culture of greed’ in an Australian Financial Services Company. Business History 0:0 pages 1-23.

4. In October 2013, McKesson agreed to purchase an $8.3 billion 50 percent interest in German Celesio

5. This renewed agreement lengthens the total commitment to nearly 15 years of sponsorship. RX ownership is a complete and confidential partner when considering buying, selling, or starting a community pharmacy.

6. McKesson also operated the Mosswood Wine Company between 1978 and 1987 when it was sold to continue to concentrate on medicines. The section was established and managed by wine writer Gerald Asher

7. Name: CORPORATION SERVICE COMPANY

Address:80 STATE STREET, ALBANY, NY, 12207 – 2543

8. BRIAN S TYLER

Address:6555 NORTH STATE HIGHWAY 161, IRVING, TX, United States, 75039

9. CORPORATION SERVICE COMPANY

251 LITTLE FALLS DRIVE

WILMINGTON County: New Castle

DE Postal Code: 19808

302-636-5401

10. THE PRENTICE-HALL CORPORATION SYSTEM, INC.

251 LITTLE FALLS DRIVE

WILMINGTON County: New Castle

DE Postal Code: 19808

302-636-5400

11. STEVE PLUMP

Address:466 LEXINGTON AVENUE, NEW YORK, NY, United States, 10017 – 3147

Principal Executive Office or Owner Name and Address

12. CORPORATION SERVICE COMPANY

251 LITTLE FALLS DRIVE

WILMINGTON County: New Castle

DE Postal Code: 19808

302-636-5401

13. CORPORATION SERVICE COMPANY

251 LITTLE FALLS DRIVE

WILMINGTON County: New Castle

DE Postal Code: 19808

302-636-5401

14. BANK ONE DELAWARE, INC.

THREE CHRISTINA CENTER 201 NORTH WALNUT STREET

WILMINGTON County: New Castle

DE Postal Code: 19801

15. Registered Agent

THE CORPORATION TRUST COMPANY

CORPORATION TRUST CENTER 1209 ORANGE ST

WILMINGTON County: New Castle

DE Postal Code: 19801

302-658-7581 

16. Name: THE CORPORATION TRUST COMPANY

Address: CORPORATION TRUST CENTER 1209 ORANGE ST

City: WILMINGTON County: New Castle

State: DE Postal Code: 19801

Phone: 302-658-7581

HOW TO SERVE LEGAL PAPERS ON AMERISOURCEBERGEN CORPORATION

AmerisourceBergen

Undisputed Legal | Pennsylvania Process Service

AmerisourceBergen Corporation is an American medication wholesale business that was formed through the merger of Bergen Brunswig and AmeriSource. The entity offers medication distribution as well as a medical business and patient services consultancy. They distribute a line of brand names and generic drugs, health care supplies, and equipment to healthcare providers across the United States including acute care hospitals and health care systems, independent and retail pharmacies, mail-order facilities, doctors, clinics, and other alternate sites. 

They also offer long-term care, compensation for employees, and specialty medication patients with pharmaceutical and pharmacy services. AmerisourceBergen handles about 20% of all pharmaceutical products supplied and delivered throughout the USA, with close to two hundred billion in revenues each year. In 2012, the company was the biggest in Pennsylvania with revenue 

HISTORY OF AMERISOURCE BERGEN 

AmerisourceBergen was formed in 2001 following the merger of AmeriSource Health Corporation and Bergen Brunswig Corporation.

AmerisourceBergen now has twenty-six pharmaceutical distribution centers in the US and other distribution centers globally. With the addition of World Courier, the largest specialty courier company in the world, over a hundred and fifty company-owned offices around the globe were added to the company. 

STRUCTURE OF THE COMPANY

AmerisourceBergen operates in four main pharmaceuticals units: [A.] AmerisourceBergen Drug Corporation (ABDC), [B.] AmerisourceBergen Specialty Group (ABSG), [C.] AmerisourceBergen Consulting Services (ABCS) and [D.] World Courier. Walgreens Boots Alliance Inc. stated in March 2016 that it will buy up around twenty-two million shares of AmerisourceBergen shares and would consequently control fifteen percent of the business. 

SUBSIDIARIES

AMERISOURCE BERGEN DRUG CORPORATION

AmerisourceBergen Drug Corporation is located in Conshohocken, PA, United States, and is part of the Drugs and Druggists’ Sundries Merchant Wholesalers Industry. AmerisourceBergen Drug Corporation does not have a registered agent, although Pennsylvania Process Service may be done on the higher authorities of the company. The entity also retains a phone number for easier Pennsylvania Process Service.

The 1988 Pennsylvania Business Company Law defines a Corporation or Domestic Corporation as a for-profit corporation organized under Pennsylvania law. A business company may be formed by one or more companies, for-profit or not-for-profit, or natural people of full age.

Unless their articles of formation specify a more restricted purpose, such companies are free to engage in any legal activity. Each company is required to have a registered office in the state of Pennsylvania. The registered office does not have to be the same as any of the company locations.

Until its articles of incorporation deliver differently, a corporation’s corporate name essentially has everlasting duration and succession. It has the same capabilities as a natural person to conduct out its activity.  A corporation’s articles of incorporation must not include wording suggesting that the company was formed for a purpose other than that specified in the articles.

A corporation’s life starts with the filing of the articles of incorporation with the Department of State. The first directors must convene an organizing meeting inside or outside the Commonwealth of Pennsylvania after formation. The corporation’s bylaws are approved during the organizational meeting.

A corporation’s Pennsylvania Process Service bylaws may include any provision for administering the corporation’s operations and regulating its activities. The bylaws must not be in conflict with the corporation’s articles of incorporation or with Pennsylvania Process Service Any corporate powers must be undertaken or delegated to the board of directors. The board of directors’ power is subject to any limitations specified in the articles of incorporation. The bylaws may establish minimum Pennsylvania Process Service requirements for directors. 

The annual shareholders’ meeting of a company may be held in or outside the Commonwealth of Pennsylvania. Failure to convene the annual or another regular meeting on the schedule shall not result in the corporation’s dissolution or invalidation of otherwise legal corporate actions. If no shareholder calls and holds the annual or other regular meetings within six months of the specified period, any shareholder may call the meeting at any time afterward.

AMERISOURCE GROUP LLC

Amerisource Group LLC is located in Princeton, NJ, United States, and is part of the professional and commercial equipment and supplies merchant wholesalers industry. The entity is a limited liability company that falls under New Jersey jurisdiction, wherein Process Service may be done in this location. 

An entity can qualify or register  as a foreign limited liability company in the State of New Jersey when the proper filing with the Secretary of State’s office of New Jersey is made, specifying [A.] the name of the entity, [B.] the state and date of formation, [C.] Certificate of Authority (a document that grants the ability to do business in the domestic state)[D.] the Registered Agent’s Name and Address; [E.] the purpose of business being transacted, [F.] FEIN number and [G.] NAICS code. Since limited liability companies have further specifications than corporations, it would also be necessary to include a principal office address, a mailing address, and the  Registered Agent’s number. 

Limited liability companies must first obtain an employer identification number (EIN) from the IRS, which would require the filing of a Certificate of Formation or Authorization. This fee is USD125 for all for-profit entities and Foreign Non-Profit corporations. The fee is USD 75 for Domestic Non-Profit corporations and the certificate can be formed online. After filing the certificate of formation/authorization, it is necessary to file the tax or employer registration form (Form NJ-REG).

BERGEN BRUNSWIG CORPORATION

Bergen Brunswig Corporation comprises two subsidiaries: Bergen Brunswig Medicine Company, a wholesale drug distributor, and Common, a warehousing and distribution company for home movies and electronic goods. The corporation’s revenues have grown during the last decade wherein Bergen Brunswig is the second biggest pharmaceutical distributor in the United States, and has been on the cutting edge of accounting and marketing technology since its inception in 1969. It is the nation’s biggest distributor of pharmaceuticals and health aids to hospitals. Common, headquartered in Des Moines, Iowa, is the nation’s biggest warehouser and distributor of home video.

CAPSTONE PHARMACY OF DELAWARE INC 

Capstone Pharmacy Of Delaware Inc is regulated by the U.S. Security and Exchange Commission and incorporated in the state of Delaware. Capstone Pharmacy Of Delaware Inc is primarily in the business of services-skilled nursing care facilities. For financial reporting and Pennsylvania Process Service, their fiscal year ends on December 31st. 

The entity has its Pennsylvania Process Service business address in Orange, California. This address has also been used for Pennsylvania Process Service mailing purposes. The SIC Code for Capstone Pharmacy Of Delaware is SIC 8051 for services in skilled nursing care facilities. 

Any non-US entity may domesticate in Delaware as a corporation or limited liability company by filing a certificate of corporate (or LLC) domestication and a certificate of incorporation (or certificate of formation, as applicable) with the Delaware Secretary of State. Additionally, a Delaware Division of Revenue Business License is required.

Prior to filing in Delaware, the non-US entity must authorize the domestication and certificate of incorporation or formation in the manner prescribed by its governing documents or the legislation of the country in which it was formed. The entity is considered to be the same entity as the domesticating non-US entity upon domestication in Delaware, and the domestication is deemed to represent a continuation of the domesticating non-US entity’s existence in the form of a Delaware corporation or LLC. Delaware law applies to the non-US entity to the same degree as if the non-US entity had been established as a Delaware entity on the effective date of domestication. However, domestication of a non-US business does not alter any obligations or liabilities accrued before domestication, nor does it impact any person’s personal responsibility for such obligations/liabilities.

A foreign firm may also do business via an intermediary, such as a sales agent, distributor, or branch office. However, these arrangements may expose the foreign company to significantly increased risk and responsibility in the United States.

A non-Delaware corporation may not conduct business in Delaware through or through branch offices, agents, or representatives located in Delaware without first filing a certificate of existence from its jurisdiction of incorporation within six months of applying for a qualification in Delaware, paying a USD80 filing fee, and providing a statement executed by an authorized officer.

AMERISOURCE HEALTH SERVICES, LLC

Amerisource Health Services LLC is a legal entity that retains a Pennsylvania Process Service address in Conshohocken, Pennsylvania. However, the entity retains an address for mailing purposes in Columbus, Ohio the entity is a Foreign Limited Liability company that was incorporated on 20th December 2018. The registered agent for Pennsylvania Process Service is CT Corporation System.

To register a foreign LLC in Ohio, it is necessary to file an Ohio Registration of a Foreign Limited Liability Company with the Ohio Secretary of State, Business Services Division. This document can be submitted by mail or in person and the Registration of a Foreign Limited Liability Company costs USD 99 to file. It must be noted that the limited liability company is required to maintain a statutory agent in Ohio. Upon failure of a limited liability company to continuously maintain a statutory agent or file a change of name or address of a statutory agent, the office of the Secretary of State must notify the entity of this failure.

On February 11th, 2022, the Ohio Revised Limited Liability Company Act (LLC Act) will become effective for all Ohio limited liability corporations. Chapter 1705 of the Ohio Revised Code is repealed and replaced with Chapter 1706 of the Ohio Revised Code.

The Secretary of State’s office has developed new filing forms and will be upgrading the Ohio Business Central filing system in response to the changes in the legislation. For instance, in 2008, the business services office started classifying limited liability corporations as for-profit or non-profit. Although the new LLC Act specifies that limited liability companies may be established for any purpose, our office will now classify all organizations as limited liability companies without requiring an extra purpose declaration. While preliminary versions of the forms are provided, they cannot be filed until February 11, 2022.

AMERISOURCEBERGEN SERVICES CORPORATION

Amerisourcebergen Services is a legal entity in Conshohocken, Pennsylvania. The entity retains a Pennsylvania Process Service mailing address as well in its capacity as a foreign corporation. However, the entity retains a registered agent in Glendale California. CT Corporation is a registered agent for Pennsylvania Process Service that has been in control of Amerisourcebergen Services since its incorporation on September 20th, 2001. 

An entity will need a Certificate of Good Standing from their home state in order to register a foreign LLC in California which has been obtained no less than six months ago. The entity can obtain a Certificate from their Secretary of State’s office.  A name reservation is not necessary to submit a Foreign LLC Registration, but the entity may wish to apply for a reservation with the Secretary of State for USD 10.

To register the out-of-state LLC, the company must submit an Application to Register Foreign LLC under Form LLC-5 for a filing fee of USD 70 included with filing the current Certificate of Good Standing.

Once the filing is processed, the Secretary of State will return one plain copy of the filed document for free. Certified copies are available upon request and payment of a USD 5 fee. All LLCs in California must file a Statement of Information within ninety days of registration. After this Initial Statement is filed, a foreign LLC must submit additional Statements of Information every two years for a filing fee of USD 20.

For more information on serving legal papers, contact Undisputed Legal our Pennsylvania Process Service department at (800) 774-6922. Representatives are available Monday-Friday 8 am – 8 pm EST.  If you found this article helpful, please consider donating.  Thank you for following our blog, A space dedicated to bringing you news on breaking legal developments, interesting articles for law professionals, and educational material for all. We hope that you enjoy your time on our blog and revisit us!  We also invite you to check out our Frequently Asked Questions About Process Servers.

Sources

1. David Yost was CEO of Amerisource prior to the merger and remained in the position after the companies merged

2. On 29 June, the U.S. Department of Health and Human Services (HHS) announced an unusual agreement with Gilead in which HHS agreed to Gilead’s wholesale acquisition price, HHS would continue to work together with state governments and drug wholesaler AmerisourceBergen to allocate shipments of Remdesivir vials to American hospitals through the end of September 2020, and in exchange, during that three-month timeframe (July, August, and September), American patients would be allocated over 90% of Gilead’s projected Remdesivir output of more than 500,000 treatment courses

3. Steve Collis

Address

2550 John Glenn Ave Ste A

Columbus, OH, 43217-1188
United States

4. Phone

(610) 727-7000

5.The corporate name may be in any language but must be in Roman letters or characters or Arabic or Roman numerals and shall contain the words ‘corporation,’ ‘company,’ ‘incorporated,’ or ‘limited,’ or an abbreviation of any of them, or the words ‘association,’ ‘fund,’ or ‘syndicate,’ or words or abbreviations of similar import in languages other than English.

6. Each director of a business company must be an adult natural person. Unless the rules specify otherwise, a director does not have to be a resident of the Commonwealth of Pennsylvania or a shareholder of the company. The board of directors must be composed of one or more members, the number of whom shall be stated in or set by the articles of incorporation or bylaws.

7. 743 Alexander Rd Ste 15

Princeton, NJ, 08540-6328
United States

Phone

(609) 269-2244

8. ‘Apply for an Employer Identification Number (EIN) Online.’ Internal Revenue Service, www.irs.gov/businesses/small-businesses-self-employed/apply-for-an-employer-identification-number-ein-online. 

9. 4000 METROPOLITAN DR.

ORANGE CA

92686

10. 8 Del. C. 388; 6 Del. C. 18-212

11. Address: 227 WASHINGTON ST, CONSHOHOCKEN, PA 19428-2086

12. : MAILING

Address: 2550 JOHN GLENN AVE, COLUMBUS, OH 43217-1188

13. Registered Agent: C T CORPORATION SYSTEM

Registered Agent Address: 9360 GLACIER HWY STE 202, JUNEAU, AK 99801-7012

 
14. The new LLC Act permits the formation of Series LLCs in Ohio.  Articles of Organization may specifically allow for series.  Each series, in its own name, may enter into contracts; sue or be sued; hold and convey title to assets of the series, including real property, personal property, and intangible property; grant liens and security interests in assets of the series.   This structure provides liability protection to each series, as assets owned by one series are shielded from the risk of liability of others within the same series LLC.

15.  227 WASHINGTON ST, CONSHOHOCKEN , PA 19428-2086

16. Registered Agent Address: 330 N BRAND BLVD STE 700, GLENDALE, CA 91203-2336

WORKER COMPENSATION IN COVID-19

Workers Compensation

Undisputed Legal | Process Service

The recent COVID-19 epidemic has given state policy officials throughout the nation endless problems to tackle. Workers’ compensation insurance plays a big part in aiding people with the illness, especially their wage support, with these policies differing from state to state. In contrast to uniform federal regulation, individual states use various business models to regulate insurance. Workers’ compensation provides workers and employers with a way to ensure both a dependable source of insurance coverage as well as time-certain, predictable payments that help to decrease litigation expenses.

 Employees’ compensation offers to pay replacement benefits as well as free medical care for workers who have to take time off work. Family members may apply for financial assistance if their loved one has passed away owing to an approved circumstance. In most jurisdictions, the workers’ compensation system has a separate court system where judges make the ultimate judgment about the compensation to be given.

CAN WORKER’S COMPENSATION COVER INFLUENZA AND RELATED DISEASES

Workers’ compensation does not often cover diseases like colds and the flu, which have a low likelihood of being linked to the job. Certain states have provided relief for those exposed to chemicals and conditions that pose a danger of developing chronic diseases like cancer. For at least nineteen states, prior to the introduction of the COVID-19, compensation guidelines in workers’ compensation policies stated that it was presumed that firefighters and other first responders who got sick from breathing in hazardous materials at work would be compensated for the harm caused to their lungs and respiratory systems. The debate about whether diseases under the COVID-19 category will be part of the current policy remains.

There are numerous professions that are not hazardous that have become extremely dangerous due to the situation presented by the COVID-19 epidemic. The virus is most likely to spread to critical employees, such as those who operate public transportation, health care personnel, and grocery store staff, all of whom are at high risk of exposure at work. Workers’ compensation is mostly unavailable in most states, regardless of the working circumstances.

STATE RESPONSE TO COVID-19

States take steps to expand the compensation coverage of employees to include first aid professionals and health personnel affected by COVID-19. A typical strategy is to modify State policy such that COVID-19 infections in certain employees are considered to be working-related and covered by the compensation of workers. This assumption puts the employer and insurer on the burden to demonstrate that the infection was not linked to employment, making it simpler for employees to submit successful claims. 

Some employers and insurers have expressed worries that these policy presumptions would increase workplace insurance prices when companies are already experiencing major financial difficulties. A total of seventeen states and Puerto Rico have taken steps to expand workers’ compensation coverage to COVID-19 as an employment-related disease. Nine states have passed laws to presume coverage for different kinds of employees. Minnesota, Utah, and Wisconsin restrict coverage to primary health workers and employees. Illinois, New Jersey, and Vermont are all key workers whereas all employees are covered by California and Wyoming. In response to COVID-19, four states utilized executive branch power to impose policy presumption on first responders and health professionals. 

Four other states including California and Kentucky have adopted executive measures to protect additional key personnel like store employees.

The Department of Industries and Labor of Washington announced the advantages of pay replacement for health workers and for first responders and any associated health care expenditures reimbursed by a State workers compensation program when quarantined by a physician. Washington has one publicly administered insurance alternative, which businesses may buy and give the State greater authority over employees’ coverage. 

The ongoing COVID-19 pandemic is proving challenging for businesses in many ways, including raising the possibility of an increase in occupational illnesses. The ultimate impact on workers’ compensation systems, however, could be much more significant, including greater claims frequency for some industries, higher overall costs, and more administrative burdens for many employers.

CLAIMS VERIFICATION PROCESS

The frequency of workers’ compensation claims overall may decrease during the pandemic, with fewer working individuals. However, this impact will probably not be seen consistently across all sectors and employers’ claims may not just be exposed to COVID-19.

While many companies have moved to remote models to encourage social separation, others cannot do so simply. Aviation, transport, hospitality, construction, construction, retail, distribution, and economic sharing employees — among others — may still operate closely, putting them at increased risk of coronaviral infection via contact with clients, colleagues, and others. Similar issues are addressed by health workers, first responders, and healthcare experts, along with the danger of direct contact with COVID-19 patients. 

In all such sectors, workers may also work harder and longer than normal, which could lead to overexertion claims. Many of these injuries may be compensated through the compensation systems of state employees

LONGER WAIT TIMES FOR RESOLUTION

In addition to a higher claims frequency in some sectors, businesses should be prepared to stay open for a longer time on current and future claims. State workers’ compensation boards have been closed to the public across the nation; some hearings take place online, but many of them are postponed. There are also limited claim resources, like independent medical examinations and field investigation services.

Injured staff may potentially be delayed in their rehabilitation. With many treating doctors and physical therapists temporarily shutting their offices and hospitals with COVID-19 patients, regular visits and optional operations are canceled or postponed. Similarly, nurse case managers are unable to access claimants, essential medical treatments – including MRI and another diagnostic testing. And with many companies closed in the foreseeable future, even many workers who are developing and ready to return to work on a reduced duty have no transition positions they may return to.

While claims of these workers remain open and do not require medical treatment to help their recovery, they continue to receive benefits. Cases in litigations will mainly remain unresolved until the state workers’ compensation boards start operations — and it gets harder for them, as long as the wounded employees remain away from workplaces.

The Centers for Disease Control and Prevention (CDC), the Washington State Department of Health (DOH), and other public health agencies are responding to an outbreak of a respiratory disease known as new coronavirus, or COVID-19.

WORKERS’ COMPENSATION COVERAGE AND CORONAVIRUS (COVID-19)

If a worker cannot work due to their work-related injury or illness, then their time-loss payments will continue. The time period to protest or appeal an order doesn’t start until the order is communicated. If the individual cannot access the order through no fault of their own, they must provide the claim manager with some evidence or an explanation as to the same. It must be noted that the economic stimulus checks approved by the federal government in response to the coronavirus pandemic are not used to determine the amount of time-loss or pension benefits.

As an example, Washington Gov. Jay Inslee signed in law two laws granting presumed health care professionals and frontline workers’ salaries during public health situations, such as the COVID-19 epidemic. The new legislation means that health care professionals are suspected of having contagious or infectious diseases at work as soon as they submit a claim of compensation for workers.

Other claims that satisfy specific exposure requirements will be evaluated individually. When a claim is granted, employees are entitled to medical and disability payments. The insurer is responsible for COVID-19 therapy. Currently, supportive care to alleviate symptoms is the sole therapy in many states novel coronavirus.

Appropriate testing and monitoring, as medically necessary, would also be provided. That is a time-limited benefit and no benefits would be given once the employee test for COVID-19 is negative or the quarantine period is over unless the employee gets the illness.

GENERAL COMPENSATION FOR ALLOWED CLAIMS

The earliest of the benefits starts for healthcare and frontline employees, who acquire the illness, interim salary replacement or time-loss benefits for [A.] the first day of work missed due to illness., [B.]  medical professional or public health officer quarantined the working day or [C.] on the day a positive result confirmed by the worker’s infectious or contagious illness contraction.

For other claims permitted, time loss reimbursement for lost earnings may be granted for up to 14 days during the quarantine period; however, the first three days may not be paid unless the worker is medically obliged to stay out of work on the 14th day after exposure. The CDC states that COVID-19 symptoms may occur between 2 to 14 days of exposure.

WHEN WOULD A CLAIM LIKELY BE DENIED?

When the contraction of COVID-19 is incidental to the workplace or common to all employment (such as an office worker who contracts the condition from a fellow worker), a claim for exposure to and contraction of the disease will be denied.

State legislatures across the country moved to clarify more precisely how employees infected with COVID-19 while their job would be handled under national compensation legislation as a result of the COVID-19 epidemic. For example, in Illinois, HB 2445 was passed, which established a rejected presumption that critical employees contracting COVID-19 did so in the course of their jobs and would be entitled to reimbursement for workers’ benefits.

During the legislative session in 2021, any legislation providing special protection for vital employees was failed for the State of Louisiana. The Senate Bill 475 provided that every essential worker, particularly those who work in public safety, government, response to disasters, health care, or private business, should have the right to compensation for workers as if he had suffered a body injury traditionally covered by the workers’ compensations law Senate Bill 475

There has been no additional action to address COVID-19 under the Compensation Act of Louisiana employees: there is still no specific classification of essential workers, nor is COVID-19 an officially recognized injury under the Compensation Law of Louisiana workers. Legislative action appears improbable until the overall population gets vaccinated and the virus COVID-19 becomes more controllable (in spite of the Delta variants).

Workers covered by the compensation legislation in Louisiana continue to lose time because of this illness. With no law to rapidly monitor the pay-out of COVID-19 claims, employers, workers’ compensation carriers and managers must look at a more conventional examination of whether the Louisiana statute of workers’ compensation covers occupational injuries or sickness. Defense stakeholders specifically need to establish whether COVID-19 claims are deemed ‘accidental injuries’ or ‘occupational illnesses’ to properly administer and possibly defend a COVID-19 claim. 

WORKER COMPENSATION IN NEW YORK STATE

In New York State, individuals may obtain compensation payments for employees due to the COVID-19 exposure, depending on the circumstances. Employers must have compensation insurance to provide payments to employees who are sick or injured because of their jobs. This is characterized as a sickness or injury linked to employment. The status of immigration is not a consideration. For over a century, the Board of New York State Workers’ Compensation has reacted by guaranteeing the fast handling of claims and payments of compensation immediately to outbreaks and chronic injuries. The Board of Directors has similarly provided compensation to meet the requirements of wounded employees across the state, from illnesses such as TB and asbestosis and even in case of traumatic events like the 9/11 catastrophe. 

The claim will be evaluated by the workers’ compensation insurance company of the employer. If the insurance company approves the claim, then the person may pay the COVID-19 claim (known as compensable). If the carrier contests the claim, a judge in the Board decides whether the claim should be reimbursed. The court will listen to the statements and any health care provider’s evidence to find out where the individual is working if they have been exposed to COVID-19, the amount of the exposure, and whether COVID-19 exposure is common in the particular working environment.

The Worker’s Compensation Law stipulates that the injured worker’s medical care be paid for job-related diseases or injuries. ̈Wage substitution benefits if their disease stops them from working. ·Benefits to surviving employees in case of death. ̈Funeral expenditures up to USD 12,500 in New York, Nassau, Suffolk, Rockland, and Westchester County and up to USD 10,500 in other New York counties.

In the case of occupational activity, the Industrial Insurance Act provides for the treatment of COVID-19 and meets specific requirements. In such situations, the worker must be more likely to acquire the illness because of labor (examples include first responders or health care workers). A proven or likely work-related exposure and an employee/employer connection must also be available

For more information on serving legal papers, contact Undisputed Legal our Process Service department at (800) 774-6922. Representatives are available Monday-Friday 8 am – 8 pm EST.  If you found this article helpful, please consider donating.  Thank you for following our blog, A space dedicated to bringing you news on breaking legal developments, interesting articles for law professionals, and educational material for all. We hope that you enjoy your time on our blog and revisit us!  We also invite you to check out our Frequently Asked Questions About Process Servers.

Sources

1. ‘Guidance on Feca Coverage for the Flu.’ United States Department of Labor, www.dol.gov/agencies/owcp/dfec/fluguidance. 

2. See 20 C.F.R. § 10.115.

Federal employees claiming an injury due to contact with the flu virus must be in the performance of duty within the meaning of the Federal Employees’ Compensation Act (FECA) to be covered. These employees have the same burden to establish the basic requirements of coverage as other claimants and must submit medical evidence in support of an identifiable injury in the course of their federal employment and any related period of disability. 

Two tests must be satisfied before an illness or disease can be considered occupational and compensable under workers comp:
– The illness or disease must be ‘occupational,’ meaning it arose out of and was in the course and scope of the employment.
  The illness or disease must arise out of or be caused by conditions ‘peculiar’ to the work.

3. Butry, David T, et al. ‘The Economics of Firefighter Injuries in the United States.’ 2019, doi:10.6028/nist.tn.2078. 

4. ‘The Territorial Impact of COVID-19: Managing the Crisis and Recovery across Levels of Government.’ OECD, 10 May 2021, www.oecd.org/coronavirus/policy-responses/the-territorial-impact-of-covid-19-managing-the-crisis-and-recovery-across-levels-of-government-a2c6abaf/. 

5. ‘Inslee Announces Workers’ Compensation Coverage to Include.’ Governor Jay Inslee, www.governor.wa.gov/news-media/inslee-announces-workers-compensation-coverage-include-quarantined-health-workersfirst. 

6. Washington State Department of Labor & Industries. Common Questions about Presumptive Coverage for Health Care and Frontline Workers, www.lni.wa.gov/agency/outreach/common-questions-about-presumptive-coverage-for-health-care-and-frontline-workers. 

7. Office, WA Governors. ‘Inslee Signs Worker Protection Legislative Package in Yakima.’ Medium, Washington State Governor’s Office, 11 May 2021, medium.com/wagovernor/inslee-signs-worker-protection-legislative-package-in-yakima-6dd2775b7ea8. 

8. 20 CFR § 10.115 – What evidence is needed to establish a claim?

Forms CA-1, CA-2, CA-5, and CA-5b describe the basic evidence required. OWCP may send a request for additional evidence to the claimant and to his or her representative if any; however the burden of proof still remains with the claimant. Evidence should be submitted in writing. The evidence submitted must be reliable, probative, and substantial. Each claim for compensation must meet five requirements before OWCP can accept it. These requirements, which the employee must establish to meet his or her burden of proof, are as follows:

(a) The claim was filed within the time limits specified by the FECA;

(b) The injured person was, at the time of injury, an employee of the United States as defined in 5 U.S.C. 8101(1) and § 10.5(h) of this part;

(c) The fact that an injury, disease, or death occurred;

(d) The injury, disease, or death occurred while the employee was in the performance of duty; and

(e) The medical condition for which compensation or medical benefits is claimed is causally related to the claimed injury, disease, or death. Neither the fact that the condition manifests itself during a period of Federal employment nor the belief of the claimant that factors of employment caused or aggravated the condition, is sufficient in itself to establish a causal relationship.

(f) In all claims, the claimant is responsible for submitting, or arranging for submittal of, a medical report from the attending physician. For wage loss benefits, the claimant must also submit medical evidence showing that the condition claimed is disabling. The rules for submitting medical reports are found in §§ 10.330 through 10.333.

9. Illinois General Assembly – BILL Status For hb2445, www.ilga.gov/legislation/BillStatus.asp?DocTypeID=HB&DocNum=2445&GAID=15&SessionID=108&LegID=118453. 

10. Oubre, Trenton J., et al. ‘Louisiana Workers’ Compensation Law and COVID-19 as a POTENTIAL Compensable Occupational Disease.’ Lexology, Breazeale Sachse & Wilson LLP, 15 Apr. 2020, www.lexology.com/library/detail.aspx?g=7ecea071-5803-48c1-9217-243d7473b1dc. 

11. However, COVID-19 could be conceivably deemed a compensable ‘Occupational Disease’ under the Louisiana Workers’ Compensation Act, as discussed above, if COVID-19 is found to be contracted while arising out of and in the course of employment, and peculiar to or characteristic of specific employment.

12. ‘Workers’ Compensation Board.’ WCB Information Related To Novel Coronavirus (COVID-19), www.wcb.ny.gov/covid-19/. 

13. ‘Workers’ Compensation.’ Workers’ Compensation – Law Department, www1.nyc.gov/site/law/divisions/workers-compensation.page. 

The City of New York is a self-insurer of its workers’ compensation obligations pertaining to all covered City employees. Most City employees are covered for workers’ compensation (with the exception of uniformed police officers, firefighters, and uniformed sanitation workers). Also included are non-pedagogical employees of the Department of Education and all employees of the Health and Hospitals Corporation and the City University.

14. ‘Governor Cuomo Signs into Law New MEASURE Providing Death Benefits for Families of Frontline Government Workers Who Lost Their Lives Due To Covid-19.’ Reimagine, Rebuild and Renew New York, www.governor.ny.gov/news/governor-cuomo-signs-law-new-measure-providing-death-benefits-families-frontline-government. 

HOW TO SERVE LEGAL PAPERS AT CORPORATION SERVICE COMPANY

Undisputed Legal | Process Service

Corporation Service Company was founded in Delaware close to a hundred and twenty years ago by individuals from the legal community in an effort to provide entity formation and statutory representation services to businesses. Corporation Service Company is a global organization serving clients in a variety of sectors including business, legal, tax, and digital branding has launched a new brand identity in its rebranding efforts. This was done with an expanded office presence in many regions of the globe.

Corporation Service Company changed its name to CSC, the latter of which shows how the company’s commercial branding is distinct from its official name, Corporation Service Company. Corporation Service Company is still used as the legal trade name.

 HISTORY OF CORPORATION SERVICE COMPANY

In 1990, CSC took over Corporate Information Services, a Florida-based company. Between 1989 and 1998, CSC grew by acquiring nine service providers. This includes Prentice Hall Legal & Financial Services in 1995.  In a major acquisition that contributed to Corporation Service Company rebranding as CSC,  the entity bought Lexis-Nexis Document Solutions to provide legal, secured lending, and motor vehicle services in 2003.

The entity bought Lexis-Nexis Document Solutions to provide legal, secured lending, and motor vehicle services in 2003. CSC additionally purchased MLM Information Services, the most prominent corporate tax administration services supplier in the market, in 2011.    CSC then went on to acquire Melbourne IT’s an online brand services business, which includes the company domain name. These plethoras of acquisitions, opened up the floor for CSC to provide a wide variety of office services: domain name administration, trademark searches, phishing prevention, secure sockets layer certificates, domain name system services are all now provided by the unit under the new moniker CSC Digital Brand Services.

CSC bought Koehler Group in 2015 along with a handful of other businesses. Hong Kong-based Koehler Group serves a wide range of services, including incorporation, accounting, and tax advisory. CSC benefits from Koehler Group’s solutions, which provide CSC more business process outsourcing capabilities. Koehler Group is a top corporate service provider with over a hundred accountants, trade consultants, and legal experts located in Hong Kong, Singapore, and China. The company was founded in 1979.

CSC, in its statements, credited the acquisition as procurement of a complementary set of services and experience from Koehler Group, which then delivers an all-in-one global corporate services package. Founded in 1979, Koehler Group is an international company known for its accounting and management consulting services. The Koehler Group offers a broad variety of services to corporations that want to enter Hong Kong, Singapore, and China, including incorporation, tax, accounting, trade assistance, and human resource services. CSC has offices across North America, Europe, and the Asia-Pacific region, at locations spread throughout those continents. Consequently, in 2017, Corporation Service Company officially rebranded to CSC Global.

HOW DOES A CORPORATION SERVICE COMPANY WORK

CSC was established in 1899, and now it has a diverse portfolio of industries. CSC has offices all around the globe, including North America, Europe, and the Asia-Pacific area. CSC is based in Wilmington, Delaware.

A registered agent must be hired by all American companies to receive legal and tax notifications, official papers, and more. Most company owners who use their own names as their registered agents are doing so because they assume they have to. CSC is one of these kinds of agencies. Nearly three-quarters of the Fortune 500 and around two-thirds of the world’s foremost brands rely on the entity’s Process Service of receiving and distributing legal papers to its customers. However, over the years, CSC has broadened its scope beyond only providing Process Service

It is decidedly difficult to reach a specific office of CSC to prevent misattribution of Process Service since the entity has representation in all fifty states. The main headquarters of the entity, however, remain in Wilmington, Delaware. This does not mean that this office of CSC is the only relevant one since most individuals focus on serving legal papers to CSC’s office in Albany, New York for New York City Process Service. The Albany Office filed for incorporation with the New York Department of State quite a while after the Wilmington address, registering on 13th August 1969 whereas the original formation date of the entity was 17th April 1920. Consequently, the jurisdiction of CSC stems from the state of Delaware. 

For Process Service on CSC, the address for the Principal Officer of the entity must be referred to. It must be remembered that Process Service should be addressed to the United States Corporation Company. However, Process Service may also be provided to the chief officer or any other higher-up with the requisite authority to accept the service. It must be known that a commercial registered agent has specific requirements to accept Process Service levied upon it. 

WHAT IS A COMMERCIAL AGENT

Registered agents are usually chosen for their availability or expertise in receiving legal communications, and the commercial registered agent is an example of this kind of registered agent. Nearly a dozen states use the terms commercial and non-commercial registered agents. Several other states use the same or similar ideas.

In most cases, a commercial registered agent is an entity or individual who has submitted an information-rich registration statement with their state’s agency that regulates corporations. The listing statement was created to make communicating with the commercial registered agent easier for the Secretary of State. 

States are made aware of who an entity represents, and there are easy tools to do mass address changes. Commercial registered agents’ service to their customers provides a sense of security. Registered agents, whether commercial and or non-commercial,  have essentially the same duties. To be appointed, they must consent to be appointed, maintain a physical address in the state, and fulfill other legal criteria.

Nevertheless, important legal distinctions are included in the Model Registered Agents Act’s commercial and non-commercial registered agents (MORAA). A commercial agent who has lodged an official registered agent listing statement with the jurisdiction it performs in, having paid the charge involved with filing, and typically represents several companies under the same jurisdiction.

Registered agents use MORAA to easily get commercial entity status at state corporation offices. This allows business registered agents to update their information, quit, and unregister in a much simpler and more efficient manner. The MORAA allows a registered agent to designate someone else to sign on their behalf if they are working in a state that has adopted MORAA.

REQUIREMENTS TO SERVE PAPERS ON CSC

In order to serve a legal document, CSC must be the registered agent of the business that the service of process is targeting. If this precondition is not fulfilled, CSC cannot receive, process, or transmit any Process Service that has been provided, since the entity is not authorized to do the same within the boundaries of a Commercial Registered Agent. The Process Server cannot also merely leave the papers with the CSC, since CSC will refuse to accept the delivery since the Process Service is not acceptable. The plaintiff will thereinafter have to issue a new summons, refer to the defendant properly, and restart service.

It is essential to take due diligence in conducting an investigation on the recipient’s registered agent. It is also required to ensure that whatever type of legal document the individual wish to forward to CSC, the documents should be delivered in a timely manner. The legal notice must make its way to the proper recipient promptly.

MAJOR ISSUES IN SERVING CSC

To make sure that the legal notice will not be rejected by CSC, it is required to [A.] check the Division of Corporations, State Records and Uniform Commercial Code for the complete and official name of the company in order to avoid errors that could furnish grounds for rejection, [B.] check if the legal document they wish to serve is listed with the Division since CSC only accepts notices that are included in the list, [C.] place the official name of the entity on top, followed by ‘c/o Corporate Service Company’ below it and [D.] when filling out the documents, do not write names of individuals since there remains a high possibility that the CSC will reject papers when individuals are mentioned.

For service on a Registered Agent, it must be remembered that if the service is taking place at a business, either the individual named must be personally served or an officer or managing member of the company.  The question is different if service is done at a home instead. In case the Process Service is done at a home, there is a prerequisite of personal service. Additionally, the personal service should be specifically done upon the agent or upon an officer or managing member of the company. If another individual answer the door other than the subject, the server must confirm they are an officer. Quire frequently,  clients will request only personal service since personal service is often considered to be the most airtight service and appears to prevent any potential rejection of Process Service. 

The requirement imposed by many jurisdictions that every LLC and company employ a state-registered representative to handle legal correspondence, sometimes called a statutory agent or resident agent is referred to as statutory representation.

When dealing with legal paperwork, business owners frequently serve as registered agents. Doing so, however, may entail identifying themselves as a target. To prevent making any mistakes, most organizations bring in outside experts to help handle the service of process documentation. Courts in states enforce fines for failing to reply to letters extremely severely, even if a response is delayed due to a valid cause.

The nature of a registered agent’s authority varies among the states since each has different rules about what a registered agent may and cannot do. Accepting tax notifications, yearly report forms, and company license renewals, for example, are among the many official obligations. 

OTHER FUNCTIONS OF CSC

CSC receives and delivers important legal paperwork on its clients’ behalf. CSC is extensive in its capacity as a compliance firm, aiding clients to source and maintain the right licenses and permits, regardless of where they operate or the industry wherein they may be established. Essentially, covering these requirements means that CSC can provide the kind of services that allow companies to expand their businesses into other states and other countries without having the immediately tackle the specific Process Service requirements that every single new jurisdiction may need

CSC gives corporate law departments the tools they need to organize, file, and safeguard their case-critical documents. This means that a major role of CSC would be to oversee and maintain the good standing of an unlimited number of entities. 

Financial institutions are also major clientele for CSC since the entity provides risk-management options that allow it to partner with banks and commercial lenders to enhance due diligence and minimize risk through financial searches and filings. This also means the entity can aid in financial management by streamlining the process for the title and real property management, special purpose entities, and independent directors.

 HOW DOES CSC WORK AS A REGISTERED AGENT

The name and address of the registered agent are usually indicated in reports and the articles of incorporation, the statement of the LLP registry, or the limited partnership certificate. The application for authority to be doing business in other States further would require the same. In certain instances, permission is often required from the Representative for the appointment. When a shift in the Registered Agent or their address (registered office) occurs, the state must be informed as to the change.

The primary aim of the agent would be to have a legal address that is not a P.O. Box within the state jurisdiction where there are individuals accessible during regular business hours to enable legal process operations to be conducted in case of a lawsuit. Typically, the registered agent is the person to whom the state government automatically sends all the official documentation needed each year for the purposes of legal action or taxation. It is the responsibility of the registered agent to forward certain suit records and notes to the company itself. Registered agents may often advise business associations as to whether their state government filing status is in ‘good standing’.  The justification for these notices being a feature of a registered agent is because it is virtually impossible for a corporate organization to maintain track of regulatory amendments and to disclose due dates for various jurisdictions it may conduct business in, considering the disparate legislation of different states.

Failure to retain a licensed agent may result in the revocation of the legal status of a corporation or LLC, the imposing of penalty fees on an individual, or both. Delaware General Corporation Law requires registered agents to [A.] be a legal resident of Delaware which also means that the entity should maintain a registered office in Delaware; [B.] have a physical location in Delaware where they can, during normal business hours, accept service of process, legal notifications, and annual report notifications; [C.] provide reliable means to forward all documents received to the responsible parties and [D.] keep on file the name, business address and business telephone number of a natural person who serves as the communications contact on behalf of a Delaware corporation or LLC

For more information on serving legal papers, contact Undisputed Legal our Process Service department at (800) 774-6922. Representatives are available Monday-Friday 8 am – 8 pm EST.  If you found this article helpful, please consider donating.  Thank you for following our blog, A space dedicated to bringing you news on breaking legal developments, interesting articles for law professionals, and educational material for all. We hope that you enjoy your time on our blog and revisit us!  We also invite you to check out our Frequently Asked Questions About Process Servers.

Sources

1. Delaware Business Now. ‘Corporation Services Rebrands to CSC.’ Delaware Business Now, 22 May 2017, delawarebusinessnow.com/2017/05/corporation-services-rebrands-csc/. 

2. Pace, Eric. ‘ENGLEWOOD Cliffs, N.j.’ The New York Times, The New York Times, 4 Apr. 1982, www.nytimes.com/1982/04/04/business/cradle-to-grave-with-prentice-hall-englewood-cliffs-nj.html. 

3. ‘LexisNexis sells document solutions unit to Corporation Service Co..’ The Free Library. 2003 JK Publishing, Inc https://www.thefreelibrary.com/LexisNexis+sells+document+solutions+unit+to+Corporation+Service+Co.-a0107277563

4. The IP Mirror brand offered services such as corporate domain name registration and online trademark protection. CSC, which was the world’s third-largest outsourcer in 2014, also purchased the IP Mirror brand.   CSC Digital Brand Services’ capacity to provide services in the Asia-Pacific area increased significantly when it acquired IP Mirror.

5. Through the years, CSC has evolved from a regional registered agent firm associated with mergers and acquisitions and other corporate transactions to a global leader helping some of the largest companies, financial institutions, and law firms stay compliant, manage risk, and streamline their workflows,’ says CSC President and Chief Executive Officer Rod Ward.

‘This is the first substantial change to our logo and brand strategy since our company’s founding,’ says Ward. ‘In the past 10 years, we’ve doubled in size, made strategic acquisitions, and expanded our footprint to 17 countries. Our distinctive new look reflects the interconnected, evolving relationship we have with our clients. The infinity-style symbol helps us tell the story of our integrated solutions, and our ability to streamline operations, generate trust, and deliver exceptional results.’

6. UNITED STATES CORPORATION COMPANY

Address:80 STATE STREET, ALBANY, NY, 12207

7. C/O UNITED STATES CORPORATION COMPANY

Address:251 LITTLE FALLS DR, WILMINGTON, NY, United States, 19808

8. Chief Executive Officer’s Name and Address

Name: RODMAN WARD III

Address:251 LITTLE FALLS DRIVE, WILMINGTON, DE, United States, 19808

9. International Association of Commercial Administrators. ‘Model Registered Agents Act – Technical Challenges of Implementation’ (pdf). International Association of Commercial Administrators. pp. 4–5.

10. In 2004, IACA met and agreed to develop a resolution to simplify registered agent registration processes. Their work is dubbed MoRAA and has many consequences, including a separate classification of commercial and noncommercial registered agents.

 MODEL REGISTERED AGENTS ACT (2006) (LAST AMENDED 2011)

11.‘Any business entity other than an individual proprietorship in every state may register an agent for three purposes: to receive service of process; establish a venue for any legal action; and for publication of notices required by the entity’s organic law’. 

12. The responsibility falls upon the server to confirm the status of the individual another officer of the company before they can sub-serve. However, this does not preclude service of process upon a Member of Household if service is at the place of abode for the Officer or Registered Agent for the Corporation

13. Information about persons or entities that are available to act as registered agents in a given state is maintained by the state’s Secretary of State office. Most states also offer free online database searches to identify a business entity’s registered agent. Some state business entity laws name the Secretary of State’s office or business entity filing office as the registered agent of last resort, in the event, the named registered agent can’t be found.

14. Delaware General Corporation Law 8 Del. C. §131 and §132

HOW TO SERVE LEGAL PAPERS ON FANNIE MAE

Fannie Mae

Undisputed Legal | District of Columbia Process Service

The Federal National Mortgage Association or Fannie Mae is a federally supported corporation with a long history. Starting as a private business in 1968, it later became publicly listed in 1971 and is classified as a United States government-sponsored enterprise.  The main driving force of the corporation is to encourage lending and bolster the local lending industry by assisting lenders to reinvest the money they would otherwise have to put into securities back into lending. In consequence, this will make mortgage lenders rely less on local savings and loan associations and grow their overall business in the process. 

The Fannie Mae is tied to the Federal Home Loan Mortgage Corporation (Freddie Mac.) The entity was founded in 1938 during the Great Depression as part of the New Deal.

HISTORY OF FANNIE MAE

In the early 1900s, the majority of mortgage loans in the United States were short-term balloon payment loans.  What this meant was that the mortgage did not fully amortize over the term of the note and as a result, left a balance due at maturity. During the Great Depression, individuals who were unable to work or pay for their mortgages fell victim to a sub-par housing market, which led to a whopping 25% of the total mortgage debt in the country falling in default by 1933.  This rendered over a quarter of the total population of homeowners in America to have their homes thereinafter foreclosed, losing their houses to the banks. 

In response, Fannie Mae was created by the U.S. Congress in 1938 during the Roosevelt administration as part of the New Deal, as an effort to combat the Great Depression. The National Mortgage Association of Washington (NMA) was set up to support local banks and to aid in lending to help increase levels of house ownership and to offer affordable housing.  The Federal National Mortgage Association (Fannie Mae) was instrumental in making the secondary mortgage market liquid and in boosting the number of mortgages, especially FHA-insured mortgages, available for consumers to purchase. After its launch, Fannie Mae had a monopoly on the secondary mortgage market for the first thirty years. The government had a strong interest in bringing the jobless construction trade workers back to work, and they may have encouraged New Deal initiatives in order to do this.

Fannie Mae was obtained by the Federal Housing and Finance Agency (FHFA) in 1950 from the Federal Loan Agency (FHA).  The Federal National Mortgage Association Charter Act of 1954 converted Fannie Mae from a ‘mixed-ownership corporation’ to private ownership; the federal government had the preferred stock, while private investors held the common stock.  The 1968 move was to take the corporation off the federal budget, thus allowing it to engage in riskier and higher-return activities.

UNDERSTANDING HOW FANNIE MAE WORKS

It must be known that Fannie Mae is not the only agency that was important for the boosting of mortgages. Fannie Mae’s predecessor was once a single entity, but a 1968 law caused it to be divided in two: the present Fannie Mae and the Government National Mortgage Association (‘Ginnie Mae’). Ginnie Mae, a government entity, is a guarantor for loans guaranteed by the Federal Housing Administration (FHA), the Veterans Administration (VA), and the Farmer’s Home Administration (FmHA). In other words, the Ginnie Mae is the sole agency supported by the U.S. government’s full confidence and credit.

Fannie Mae previously only purchased conventional loans, which were those that were not insured by the FHA, VA, or FmHA. However, the entity was given a new charter in 1970 by the federal government, giving it the ability to purchase conventional loans. In order to compete with Fannie Mae, the Federal Home Loan Mortgage Corporation (FHLMC), more commonly known as Freddie Mac, was also chartered in 1970. This provided for a more robust and efficient secondary mortgage market.   FNMA became public on both the New York and Pacific Exchanges in the same year.

The name mortgage-backed securities (MBS) was originally used in 1981 when Fannie Mae issued its first mortgage passthrough. In 1971, Freddie Mac issued its first mortgage pass-through, known as a participation certificate, which was made up mostly of private loans and was guaranteed by Ginnie Mae.

WHERE DOES FANNIE MAE RECEIVE ITS REVENUE

The concept of mortgage-backed securities (MBS) was originally used in 1981 when Fannie Mae issued its first mortgage passthrough. In 1971, Freddie Mac issued its first mortgage pass-through, known as a participation certificate, which was made up mostly of private loans and was preceded by the first mortgage passthrough security of an approved loan guaranteed by Ginnie Mae.

Fannie Mae also generates a significant part of its revenue from guarantee fees on mortgage loans underpinning its single-family Fannie Mae mortgage-backed securities and on single-family mortgage loans maintained in its retained portfolio. Investors, or buyers of Fannie Mae mortgage-backed securities, are prepared to allow Fannie Mae to retain this charge in return for Fannie Mae taking credit risk, or guaranteeing that the scheduled principal and interest on the underlying loan would be paid even if the borrower fails.

Historically, Fannie Mae’s charter prohibited it from guaranteeing loans with loan-to-value ratios more than 80% without mortgage insurance or a repurchase agreement with the lender. This rule is not hard and fast, however, since, in 2006 and 2007, Fannie Mae purchased subprime and Alt-A loans as investments. 

THE UNDERLYING MECHANISM DRIVING FANNIE MAE

Fannie Mae is a buyer of mortgage loans and the underlying mortgages, which it bundles into mortgage-backed securities. What this means is that Fannie Mae acquires mortgage loans from authorized mortgage sellers and securitizes them. In turn, the entity then offers the resulting mortgage-backed security to investors in the secondary mortgage market, accompanied by a guarantee that the stated principle and interest payments would be made on time. Additionally, Fannie MBS, like Freddie Mac and Ginnie Mae MBS, may be traded in the ‘to-be-announced or ‘TBA’ market.  By buying mortgages, Fannie Mae and Freddie Mac offer more capital for banks and other financial institutions to issue new loans. This provides the housing and credit markets in the United States with flexibility and liquidity.

To ensure that Fannie Mae can guarantee the mortgage-backed securities it produces, it establishes criteria for the loans it will buy, referred to as ‘conforming’ loans. Fannie Mae developed an automated underwriting system (AUS) tool called Desktop Underwriter (DU) that lenders can use to determine automatically whether a loan is conforming; in 2004, Fannie Mae released Custom DU, which enables lenders to create custom underwriting rules to handle nonconforming loans as well. Jumbo loans, which are loans bigger than the limit that Fannie Mae and Freddie Mac would buy, are included in the secondary market for non-conforming loans. 

RESTRICTIONS AND REGULATIONS FOR FANNIE MAE LOANS

Fannie Mae and Freddie Mac have a maximum loan amount for which they will guarantee. This is referred to as the ‘conforming loan limit.’ The Office of Federal Housing Enterprise Oversight (OFHEO), which regulates both GSEs, sets the conforming loan ceiling for Fannie Mae and Freddie Mac. OFHEO yearly establishes the maximum amount of a conforming loan based on October-to-October fluctuations in the national median house price, beyond which a mortgage is classified as a non-conforming jumbo loan. Alaska and Hawaii have a 50% greater conforming loan limit.

The GSEs will only purchase conforming loans for repackaging into the secondary market, thus reducing demand for non-conforming loans. As a result of the law of supply and demand, lenders find it more difficult to sell these loans in the secondary market, and therefore these loans usually cost borrowers more (about 1/4 to 1/2 of a percent). 

FANNIE MAE’S GOVERNMENT SUPPORT

Originally, Fannie had an ‘explicit guarantee’ from the government; if it got in trouble, the government pledged to save it. This began to alter around 1968. Ginnie Mae and Fannie were divorced. Ginnie kept the express assurance. Fannie, on the other hand, became a private company established by Congress and endowed with a direct line of credit from the United States Treasury. Its status as a Government Sponsored Enterprise (GSE) effectively guaranteed its financing. Additionally, their charter restricted its operations to the mortgage sector. In this respect, they could not function normally as a private business, notwithstanding their status as a private corporation.

Fannie Mae received no direct government financing or support, and the securities issued by Fannie Mae had no express government guarantee of repayment. This was made very apparent in the legislation authorizing GSEs, on the securities themselves, and in many public statements released by Fannie Mae. [reference required] Neither the certificates themselves nor their principal and interest payments were expressly guaranteed by the US government. Except for Fannie Mae, the certificates did not represent a liability or obligation of the United States or any of its agencies or instrumentalities. Throughout the subprime crisis, each Fannie Mae prospectus stated in bold, all-caps letters: ‘The certificates and payments of principal and interest on the certificates are not guaranteed by the United States and do not constitute a debt or obligation of the United States or any of its agencies or instrumentalities other than Fannie Mae.’ 

However, the implied guarantee, as well as other favorable government treatment, helped Fannie’s success considerably. For instance, the implicit guarantee enabled Fannie Mae and Freddie Mac to save billions of dollars in borrowing costs due to their excellent credit ratings. The Congressional Budget Office and the Treasury Department estimate the cost at about $2 billion each year. 

Fannie Mae and Freddie Mac were permitted to maintain less capital than other financial institutions: for example, they were permitted to offer mortgage-backed securities with just half the capital needed of other financial organizations. The FDIC Bank Holding Company Act contains regulations governing the solvency of financial institutions. The rules mandate that conventional financial institutions maintain a capital-to-assets ratio of at least 3%. The GSEs, Fannie Mae, and Freddie Mac, are free from this rule and may, and often do, maintain a capital-to-assets ratio of less than 3%. Increased leverage enables higher profits in good times but exposes businesses to greater risk in bad times, such as the subprime mortgage crisis. 

EXEMPTIONS OCCURRING TO FANNIE MAE

FNMA is tax-free on a state and municipal level, with the exception of some real estate taxes. Additionally, FNMA and FHLMC are exempt from SEC filing requirements; they submit 10-K and 10-Q reports with the SEC but do not file many other filings, including some disclosures relating to their REMIC mortgage securities.

Finally, money market funds are required to diversify their holdings, with no more than 5% of assets coming from a single issuer. That is, a worst-case default would result in a fund losing no more than 5% of its value. These regulations, however, do not apply to Fannie and Freddie. It would not be uncommon to discover a fund that invested the lion’s share of its assets in Fannie and Freddie’s debt.

The Congressional Budget Office said in 1996 that ‘no government funds have been appropriated for cash payments or guarantee subsidies.’ However, in lieu of federal money, the government offers significant unpriced advantages to businesses. Government-sponsored businesses are expensive for the government and taxpayers.

FNMA is a financial institution that uses derivatives to ‘hedging’ its cash flow. Interest rate swaps and options to enter interest rate swaps are among the derivative instruments it utilizes (‘pay-fixed swaps’, ‘receive-fixed swaps’, ‘basis swaps’, ‘interest rate caps and swaptions’, ‘forward starting swaps’). The duration gap is a financial and accounting phrase that refers to the difference between the duration of assets and obligations. It is often used by banks, pension funds, and other financial organizations to quantify their interest rate risk.

SERVING PAPERS ON FANNIE MAE

Fannie Mae comes under District of Columbia Process Service guidelines and is specifically classified under the SIC Code 6111 for Federal And Federally Sponsored Credit Agencies. SIC Code 6111 – Federal and Federally-Sponsored Credit Agencies is a final level code of the ‘Finance, Insurance, Real Estate Division. There are currently twenty-eight companies classified in this industry in the USA

Fannie Mae retains its business address for accepting District of Columbia Process Service in Midtown, which also functions as its mailing address for District of Columbia Process Service. The entity also has a phone number in order to ensure District of Columbia Process Service is done easier.  

If it is a personal matter involving an employee of Fannie Mae, they must be personally served according to the District of Columbia Process Service. Serving a subject personally at this location can be extremely difficult if the subject to be served is unwilling to receive District of Columbia Process Service. Security may stop servers from entering and must know the reason for District of Columbia Process Service. 

It must be known that according to requirements of the District of Columbia Process Service, Fannie Mae retains the authority to supervise and control any litigation involving a Fannie Mae mortgage loan. This renders a responsibility upon the servicer handling the District of Columbia Process Service to cooperate fully with Fannie Mae in prosecuting, defending, or resolving the matter. Fannie Mae must be referred to in judicial proceedings as ‘Federal National Mortgage Association (‘Fannie Mae’), a company established and operating under the laws of the United States of America.’ Fannie Mae is specifically not a government entity and should not be treated as such in furtherance of the  District of Columbia Process Service.

Without prior written permission from Fannie Mae, the servicer is not allowed to start or intervene in District of Columbia Process Service or legal proceedings on Fannie Mae’s behalf, with the exception of regular foreclosures, bankruptcy cases, and possessory actions for certain mortgage loans. Additionally, in order to comply with District of Columbia Process Service guidelines, the servicer should take all reasonable steps to avoid the attachment of additional liens against the property that would be superior to Fannie Mae’s mortgage claim. 

Recently, the Federal Housing Finance Agency raised the number of days investors are barred from bidding on foreclosure properties to allow others a chance to purchase houses first.  With this change, owner-occupants, charities, and public organizations have thirty days to bid solely on Fannie Mae and Freddie Mac-owned real estate, compared with twenty days before.

For more information on serving legal papers, contact Undisputed Legal our District of Columbia Process Service department at (800) 774-6922. Representatives are available Monday-Friday 8 am – 8 pm EST.  If you found this article helpful, please consider donating.  Thank you for following our blog, A space dedicated to bringing you news on breaking legal developments, interesting articles for law professionals, and educational material for all. We hope that you enjoy your time on our blog and revisit us!  We also invite you to check out our Frequently Asked Questions About Process Servers.

Sources

1. Often considered being ‘thrifts’

2. According to the Fortune 500, in 2018, Fannie Mae was rated 21st in total revenue among the biggest United States companies since being founded in 1938 during the Great Depression as part of the New Deal.

3. Which is often known as FHLMC

4. Fabozzi, Frank J.; Modigliani, Franco (1992), Mortgage and Mortgage-backed Securities Markets, Harvard Business School Press, p. 2, ISBN 0-87584-322-0

5. Adjustable-rate mortgages are sometimes confused with balloon payment mortgages. The distinction is that a balloon payment may require refinancing or repayment at the end of the period; some adjustable rate mortgages do not need to be refinanced, and the interest rate is automatically adjusted at the end of the applicable period. Some countries do not allow balloon payment mortgages for residential housing: the lender then must continue the loan (the reset option is required). For the borrower, therefore, there is no risk that the lender will refuse to refinance or continue the loan.

6. The final payment is called a balloon payment because of its large size.

7. Alford, Rob. ‘What Are the Origins of Freddie Mac and Fannie Mae?’ History News Network, hnn.us/articles/1849.html. 

8. ‘12 U.S. Code Chapter 13, Subchapter III – NATIONAL MORTGAGE ASSOCIATIONS | LII / Legal Information Institute’.

9. “Desktop Underwriter & Desktop Originator.” Desktop Underwriter & Desktop Originator | Fannie Mae, singlefamily.fanniemae.com/applications-technology/desktop-underwriter-desktop-originator. 

10. In early 2008, the decision was taken to enable mortgage-backed securities eligible for TBA (To-be-announced) to include up to 10% ‘jumbo’ loans.

11. “Get Started Here:” Conforming Loan Limits | Federal Housing Finance Agency, www.fhfa.gov/DataTools/Downloads/Pages/Conforming-Loan-Limits.aspx. 

12. Indeed, in 2008, with virtually no market for non-GSE-guaranteed bonds, non-conforming loans were priced roughly 1% to 1% higher than conforming loans.

13. Duhigg, Charles. ‘Loan-Agency Woes Swell from a Trickle to a Torrent.’ The New York Times, The New York Times, 11 July 2008, www.nytimes.com/2008/07/11/business/11ripple.html?ex=1373515200&en=8ad220403fcfdf6e&ei=5124&partner=permalink&exprod=permalink. 

14. According to Vernon L. Smith, winner of the Sveriges Riksbank Prize in Economic Sciences, FHLMC and FNMA are ‘implicitly taxpayer-backed organizations.’ The Economist has referred to FHLMC and FNMA’s ‘hidden government guarantee’. Alan Greenspan said in testimony before the House and Senate Banking Committees in 2004 that Fannie Mae’s (poor) financial condition was a consequence of markets thinking that the US Government would never allow Fannie Mae (or Freddie Mac) to collapse.

15.  Section 2(a) of the Act of May 9, 1956 (Pub. L. No. 511; 70 Stat. 133

16.  Investment Company Institute v. Camp, 401 U.S. 617 (1971

17. A real estate mortgage investment conduit (REMIC) is “an entity that holds a fixed pool of mortgages and issues multiple classes of interests in itself to investors” under U.S. Federal income tax law and is “treated like a partnership for Federal income tax purposes with its income passed through to its interest holders

18. Duarte, Jefferson, and Douglas A. McManus. ‘Residential Mortgage Credit Derivatives.’ Real Estate Economics, vol. 39, no. 4, 2011, pp. 671–700., doi:10.1111/j.1540-6229.2011.00309.x.

19. The Standard Industrial Classification is a system for classifying industries by a four-digit code. Established in the United States in 1937, it is used by government agencies to classify industry areas.

20. MIDTOWN CENTER
1100 15TH ST, NW

WASHINGTON DC 20005

21. MIDTOWN CENTER

1100 15TH ST, NW

WASHINGTON

DC

20005

22. Sinnock, Bonnie. “Fannie Mae, Freddie Mac Give Consumers an Edge in Foreclosure Sales.” National Mortgage News, National Mortgage News, 2 Sept. 2021, www.nationalmortgagenews.com/news/fannie-mae-freddie-mac-give-consumers-an-edge-in-foreclosure-sales. 

HOW TO SERVE LEGAL PAPERS ON APPLE

Apple

Undisputed Legal | California Process Service

Apple made history on August 2nd, 2018, when it was the first publicly listed American corporation to have a market capitalization of USD1 trillion.   Again in 2020, the firm surpassed milestones by becoming the first business in the United States to achieve a two trillion dollar market value. 

Apple is a global consumer electronics business, well known for its computers and operating systems. Apple is the most valuable corporation in the world at the moment. It is also the world’s biggest technological business. By 2021, Apple is now the fourth-largest producer of personal computers in the world, as well as the fourth-largest smartphone maker.   It is one of the major American IT firms, and with Amazon, Google, Microsoft, and Facebook, one of the Big Five. . Apple is among the top corporate entities in the world, having been rated highly for at least a few years now.  After then, it held on to the number one position for years.

BACKGROUND

Apple’s first goal was to build and market the Wozniak’s Apple I, a personal computer developed by Steve Jobs, Steve Wozniak, and Ronald Wayne in 1976. In 1977, Jobs and Wozniak formed Apple Computer, Inc., which expanded rapidly because of the sales of their computers, including the Apple II. It received a massive influx of cash the moment it became public in 1980. Within the following several years, Apple began releasing computers that had ground-breaking graphical user interfaces (GUIs), such as the Macintosh, which was introduced with the legendary 1984 commercial. Even yet, issues emerged as the company’s high prices made it difficult to get customers, the restricted app library made it challenging for developers, and power conflicts within the organization created more headaches. In 1985, Wozniak and Jobs went their own ways: Wozniak left Apple, while Jobs left to establish NeXT, bringing several of his colleagues with him.

Microsoft’s operating system and Intel’s processors came to dominate the computer industry as the 1990s wore on, causing Apple to lose huge amounts of market share. During his five hundred-day tenure, CEO Gil Amelio implemented significant changes, improved the company’s product focus, and performed many layoffs to better prepare Apple for success. NeXT was purchased by Amelio in 1997 to address Apple’s disastrous operating system strategy, as well as to bring back Steve Jobs, who succeeded Amelio as CEO in the same year. Under the reinvigorated “Think Different” campaign, Apple returned to profitability by releasing the iMac and iPod, setting up Apple Stores all over the world, and purchasing a variety of businesses to diversify their software portfolio. The iPhone was met with both rave reviews and commercial success when it debuted in 2007. Shortly after his resignation due to illness, he died. After he passed away, Tim Cook became the CEO.

LEGAL CONCERNS FOR APPLE

Apple has established subsidiaries in Ireland, the Netherlands, Luxembourg, and the British Virgin Islands as well as much other tax havens to help it reduce the taxes it pays in other countries. According to The New York Times, Apple, in the 1980s, was one of the first technology firms to create an international sales team that circumvented higher taxes in other nations by selling goods for lower-taxed subsidiaries on other continents. In the late 1980s, Apple was a forerunner of the “Double Irish with a Dutch sandwich” tax evasion method, which uses Irish companies and the Netherlands as a middleman to route earnings via the Caribbean.

Epic Games has launched a lawsuit against Apple and Google on the basis of antitrust breaches and anti-competitive conduct. The lawsuit was filed on August 13, 2020, centering around Apple’s (and Google’s) near unfettered use of the App Store. The September 2021 ruling was in favor of Apple, Judge Yvonne Gonzalez Rogers deciding in favor of Apple on nine of ten counts.

Epic had released a new payment option in Fortnite Battle Royale that allows players to buy microtransactions directly from Epic with a substantial discount. Epic had long contested the thirty percent revenue share that digital storefronts (such as Apple, Google, and Amazon) demand, and introduced the payment option that day. The companies pulled the Fortnite app instantly after finding out that the software broke their rules by directly skipping their App Store payment mechanism. Epic went on to sue both businesses once they took the game down. California’s anti-competition statutes found that Apple breached its anti-competition rules with Apple’s anti-steering clause. The court issued a final order against Apple that forbade them from prohibiting app developers from adding third-party payment links in their software, as well as forbade them from gathering data on their customers to announce other methods of payment inside the apps.

APPLE SUBSIDIARIES

APPLE INC. 

Apple Inc. is a Californian domestic stock business company with the first filing on 3rd January 1977 and does come under the jurisdiction of California. The entity retains an address in Cupertino, California, and has retained CT Corporation System as a registered agent. 

On April 1st, 1976, Steve Jobs, Steve Wozniak, and Ronald Wayne started a company together, which was dubbed Apple Computer.  Wozniak single-handedly created the Apple I, the company’s first and original product.  In July 1976, Wozniak showed off the first prototype to the Homebrew Computer Club.  The Apple I was advertised as a motherboard with CPU, RAM, and other basic components such as video chips—not as a whole personal computer, but as a “kit” that allowed customers to build their own computer if they chose to. 

Apple Inc. was established on January 3rd, 1977, twelve days after Wayne, one of the founders, departed from the business, selling his stake to Steve Jobs and Steve Wozniak for USD 800.

APPLE COMPUTER, INC.

Apple Computer, Inc. is a Californian domestic stock business company that has its first filing on June 20th, 1968, falling under the jurisdiction of California. The entity retains CT Corporation System as a registered agent for California Process Service. 

A business entity can be formed in California by filing the applicable document or form (as described below) with the Secretary of State. It is thus necessary to file Articles of Incorporation and the forms must have been drafted to meet the minimum statutory and California Process Service requirements.

The company has to first qualify or register with the California Secretary of State prior to conducting intrastate business in California. California Corporations Code defines intrastate transactions as recurring and consecutive transactions of its activities in that state other than international or foreign trade.  It should be noted that a foreign corporation shall not be considered to be transacting intrastate business merely because its subsidiary transacts intrastate business. Once the business entity is formed or registered with the California Secretary of State it must obtain the necessary licenses and permits according to California Process Service requisites. However, the Secretary of State does not issue licenses or permits for business entities.

 A Statement of Information is due every year beginning five months before and through the end of January for purposes of California Process Service. The Office of the Secretary of State cannot advise the entity whether the company has to qualify or register in California to do business.

BEATS ELECTRONICS LLC

Beats Electronics LLC (commonly known as Beats by Dr. Dre, or just Beats by Dre) is an American consumer audio goods company based in Culver City, California. They specialize in items related to both the design and the engineering of headphones and other personal audio equipment. Dr. Dre and Jimmy Iovine created the record label and music production business, respectively, Since 2014, it has been an Apple subsidiary.

The entity has a product range with headphones and speakers at its core. Originally, the equipment business Monster Cable Products was partnered with the company in the production of its product range. After the contract with the business ended, Beats chose to bring future product development in-house. Beats Music, a subscription-based streaming service, was launched in 2014 to open up the company’s operations to the internet music industry. A Statement of Information is due every even-numbered year beginning five months before and through the end of June.

Apple has purchased Beats Electronics for over three billion dollars. Dr. Dre and Jimmy Iovine, a music producer and a record executive, respectively, established Beats Electronics in 2006. The company launched its first headphones in 2008. Apple has been able to sell Beats headphones via retail shops and resellers courtesy of the purchase. Beats was an independent business at the time of its purchase with minority owners, including Dr. Dre, Iovine, and the Carlyle Group. Currently, Beats Electronics LLC retains Registered Agents Inc as a Registered Agent for California Process Service.

Apple used some Beats Music components to create its Apple Music streaming service. Beats Music, which closed down in 2015, has its subscribers going to Apple now. Apple has focused on incorporating Beats Electronics goods, including Beats-branded headphones, earphones, and speakers, into its portfolio.

SIRI

Siri, an artificial intelligence (AI) in Apple’s operating systems,  is highly popular in its capacity to provide answers, suggestions, and actions, the assistant utilizes voice inquiries, gesture-based control, focus-tracking, and a natural language user interface. The program adjusts to the different habits of the user, improving the search and highlighting features over time. Each response is tailored.

Siri was initially created by the SRI International Artificial Intelligence Center, which spun her out as a project. Siri, Apple’s digital assistant, is built with sophisticated learning technology, using Nuance Communications’ voice recognition technology.  Apple bought the voice assistant two months after it launched as an app for iOS in February 2010. When the iPhone 4S came out in October 2011, Siri was added to it. The app was pulled from the App Store after that happened. In addition to appearing in many Apple products, the virtual assistant has also been incorporated into new hardware.

SRI International Artificial Intelligence Center joined Nuance Communications (a firm dedicated to voice technology) as partners to assist in the development of Siri. Siri, SRI International’s research and development department, has been a wholly autonomous organization since 2008.   Siri began out as a standalone software meant to be used for daily things like making appointments, finding weather updates, and obtaining tickets to games.  Apple included voice activation right into the first few iterations of the iPhone. Siri is available on all of Apple’s products: the iPhone, Apple Watch, Macs, Apple TV, and even the Apple Watch. Siri, reflecting Apple’s approach of buying a tech firm and then incorporating its particular technology into their current products, symbolizes Apple’s philosophy of buying another company and combining its technology with Apple’s existing product line. A Statement of Information is due every even-numbered year beginning five months before and through the end of November for California Process Service.

SHAZAM

Shazam Entertainment Limited, the business that started in 1999, developed the first Shazam app, whose name and logo both reference the same. In 2018, Apple finalized the USD 400 million deal to acquire Shazam, whose technology they want to use to enhance iPhones and other software. Shazam is an app that recognizes songs, movies, advertisements, and TV programs via brief clips from the device’s microphone.   Shazam Entertainment, headquartered in London, developed it, and Apple Inc. has owned it since 2018. This program is accessible for all five of the major platforms,  Android, macOS, iOS, Wear OS, and watchOS.

The business was purchased by Apple on September 24th, 2018. Previously, the entity fell under English jurisdiction, having registered with the California Department of State on 9th November 2001 as a foreign Stock company for purposes of California Process Service. As such the principal office of the entity was in the United Kingdom. 

Shazam’s music identification was considered to be more robust than Siri’s, even though Apple already had technology similar to Shazam’s in Siri. The organization said that it would no longer depend on ad-supported income and would instead fund operations using money from sales of music downloaded through the app.

APPLECARE SERVICE COMPANY, INC.

Apple’s extended warranty and technical assistance programs are known as AppleCare+. Devices come with a year-long warranty and ninety days of technical assistance, both of which are extended with AppleCare+. Additionally, it provides a reduced rate on accidental damage repair twice a year. Apple’s AppleCare Protection Plan offers protection for several of their products including Mac computers and displays, Beats headphones, HomePods, iPhones and iPods, Apple Watches, and Apple TVs. Apple’s coverage includes software linked with personal gear, and it comes with their insurance. It’s possible to purchase more assistance and training via AppleCare.

Every Apple product, including phones, offers at least telephone technical assistance and a guarantee to its owners. The AppleCare Protection Plan and AppleCare+ provide extensive service coverage and the ability to get Apple specialists’ assistance in one place.

In some parts of European countries a part of the European Union (EU), local regulations give consumers a minimum of two years warranty on hardware defects that existed at the time of purchase, which overlaps the benefits of AppleCare. Essentially, the onus of responsibility in the EU falls upon the merchant rather than the customer to prove that a hardware defect did not exist at the time of purchase for the first six months after purchase. 

Applecare Service Company is a Foreign Stock Corporation for purposes of California Process Service. The entity registered with the Department of State on 9th October 2007, although CT Corporation System is its registered agent for California Process Service. However, the entity still retains the Principal Apple office as the center for California Process Service of most important documents.  A Statement of Information is due every year beginning five months before and through the end of October for purposes of California Process Service.

BRAEBURN CAPITAL

Braeburn Capital, Inc. is an independent hedge fund manager headquartered in Reno, Nevada. The firm was founded in 2006 and they are principally owned by Apple, Inc. (NASDAQ: AAPL). Braeburn Capital manages the assets of its parent company since Apple created the company on October 3rd, 2005 to better manage its assets and to avoid certain California state taxes and taxes from other U.S. states totaling millions of dollars

Investing in Apple is more than purchasing shares in a trillion-dollar technological firm. The individual will be buying into one of the world’s biggest investment firms: Braeburn Capital, a subsidiary of Apple. Apple’s USD 244 billion financial portfolios is under Braeburn’s management, making about over half of Apple’s total book assets. Apple uses Braeburn to deal with the debt to finance its portfolio to the tune of USD 115 billion.

Apple follows the hedge fund model and offers little information about Braeburn Capital’s portfolio holdings.  Braeburn Capital Inc is a corporation that is registered in Nevada, having been active from 3rd October 2005. The entity has CT Corporation System as its registered agent for Process Service, which fulfills this responsibility as a Commercial Registered Agent for California Process Service. However, California Process Service may also be done on the Principal Office of the entity within the state or even levied upon the authorized officers of the company.

Currently, Apple is very popular, with brand loyalty at an all-time high, and it is the most valuable brand in the world. In fact, as of 2021, there are close to two billion Apple devices in use globally.  A major center for discourse, however, has been about corporate ethics, namely the kinds of unethical activities several contractors engage in, including price-fixing and low-wage labor exploitation.

For more information on serving legal papers, contact Undisputed Legal our California Process Service department at (800) 774-6922. Representatives are available Monday-Friday 8 am – 8 pm EST.  If you found this article helpful, please consider donating.  Thank you for following our blog, A space dedicated to bringing you news on breaking legal developments, interesting articles for law professionals, and educational material for all. We hope that you enjoy your time on our blog and revisit us!  We also invite you to check out our Frequently Asked Questions About Process Servers.

Sources

1. The judge, regards Apple’s anti-steering policies, prohibited Apple from stopping developers from informing users of other payment systems within apps.

2. Entity Address:

ONE APPLE PARKWAY
CUPERTINO CA 95014

3. Entity Mailing Address:

ONE APPLE PARKWAY
CUPERTINO CA 95014

4. Entity Address:

ONE APPLE PARKWAY
CUPERTINO CA 95104

Entity Mailing Address:

ONE APPLE PARKWAY
CUPERTINO CA 95104

5. Required Articles of Incorporation:

    • Articles of Incorporation of a General Stock Corporation (Form ARTS–GS)
    • Articles of Incorporation of a Close Corporation (Form ARTS–CL)
    • Articles of Incorporation of a Professional Corporation (Form ARTS–PC)
    • Articles of Incorporation of a Nonprofit Mutual Benefit Corporation (Form ARTS–MU)
    • Articles of Incorporation of a Nonprofit Public Benefit Corporation (Form ARTS–PB–501(c)(3))
    • Articles of Incorporation of a Nonprofit Religious Corporation (Form ARTS–RE)
    • Articles of Incorporation of a Common Interest Development Association (Form ARTS–CID)

6. Entity Address:

1164 ALLEN AVE APT 6
GLENDALE CA 91201

Entity Mailing Address:

1164 ALLEN AVE APT 6
GLENDALE CA 91201

7. Entity Address:

1401 21ST ST., SUITE R
SACRAMENTO CA 95811

Entity Mailing Address:

1401 21ST ST., SUITE R
SACRAMENTO CA 95811

8. 333 RAVENSWOOD AVE
MENLO PARK CA 94025

Entity Mailing Address:

333 RAVENSWOOD AVE
MENLO PARK CA 94025

9. The official name of the entity is SHAZAM ENTERTAINMENT LIMITED WHICH WILL DO BUSINESS IN CALIFORNIA AS: U K SHAZAM ENTERTAINMENT LIMITED

10. Agent for Service of Process:

AVERY WANG
165 UNIVERSITY AVENUE, SUITE #6
PALO ALTO CA 94063

11. Entity Address:

26-28 HAMMERSMITH GROVE
LONDON UNITED KINGDOM W6 7HA

Entity Mailing Address:

26-28 HAMMERSMITH GROVE
LONDON UNITED KINGDOM W6 7HA

12. Entity Address:

ONE APPLE PARKWAY
CUPERTINO CA 95104

Entity Mailing Address:

ONE APPLE PARKWAY
CUPERTINO CA 95104

13. Street Address:

701 S CARSON ST STE 200, Carson City, NV, 89701, USA

14. President: Michael Shapiro 6900 S. McCarran Blvd,Ste 3020, Reno, NV, 89509, USA

Secretary: Sam Whittington 6900 S. McCarran Blvd,Ste 3020, Reno, NV, 89509, USA

Treasurer: Gary Wipfler 6900 S. McCarran Blvd,Ste 3020, Reno, NV, 89509, USA

Director: Luca Maestri 6900 S. McCarran Blvd,Ste 3020, Reno, NV, 89509, USA

Director: Matt Miller 6900 S. McCarran Blvd,Ste 3020, Reno, NV, 89509, USA