Businesses Beware: Don't Get Hooked into Paying for Forms You Don't Need

3.22.17

By: John “Jack” G. Sestak, Jr., Member, Jennings, Strouss & Salmon, P.L.C.

Over the years, I have come across what appear to be “official” correspondences from companies portraying themselves as state-related representatives. Their purpose is to “scare” a business into hiring them to prepare form corporate documents, stating that all corporations must file annual reports with the Arizona State Corporation Commission; however, many businesses, such as limited liability companies, are not required to file annual reports. In addition, the letters offer to prepare annual director and shareholder meeting minutes at fairly significant rates.

The bottom line – understanding your business structure and its reporting requirements is extremely important to ensure you are compliant. It is also prudent to prepare and retain annual director and shareholder meeting minutes; however, do not get hooked into paying “service” firms for forms you may not need, or that may be substandard or simply false. It is in a company’s best interest to confer with its attorney, or seek experienced legal counsel, regarding business filings, compliance and other legal needs.

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John “Jack” G. Sestak, Jr. represents small, medium and large companies in all areas of business and commercial litigation. He advises clients with matters related to corporate, administrative, creditors' rights, securities litigation, real estate, employment, professional negligence, and environmental matters.  

Mr. Sestak is an experienced litigator and has assisted with a broad range of commercial litigation issues, including general contract disputes, shareholder and partner disputes, employment issues, and arbitration proceedings. In addition, Mr. Sestak handles business and commercial transactions of all kinds, providing counsel and advice on business planning, as well as dispute resolution. He has also represented major financial institutions in dispute resolution and litigation matters. Mr. Sestak can be reached at 602.262.5827 or jsestak@jsslaw.com