SF0018

2008 General Session Summary for SF0018 Bill No.: SF0018 Drafter: LGC LSO No.: 08LSO-0030 Effective Date: 1/1/2009 Enrolled Act No.: <enrnum> Chapter No.: <chptnum> Prime Sponsor: Joint Corporations, Elections and Political Subdivisions Interim Committee Catch Title: Business entities-revisions. Subject: Amends provisions for administrative dissolution of corporations and revocation of authority for limited liability companies and foreign corporations. Summary/Major Elements: The act makes it a felony to file a document with the secretary of state and knowingly falsify, conceal or cover up a material fact, make any materially false, fictitious or fraudulent statement or representation or make or use any false writing or document knowing it contains materially false, fictitious or fraudulent statements. The act removes the requirement that the secretary of state publish a notice of forfeiture of a limited liability company's (LLC) authority to do business and adds an increased penalty of $250 for failure to maintain a registered agent. The act deems an LLC to be transacting business without authority if: o A member signed a document he knew was false or misleading in any material respect; o The company failed to respond to a subpoena; o The company failed to provide records to a registered agent as required by the act; o The company provided fraudulent information to the secretary of state; o The company cannot be served by the secretary of state or the registered agent at its current address. The act provides for administrative dissolution of a corporation or a nonprofit corporation for various reasons in addition to current law. The act provides for an additional reinstatement fee if the corporation was administratively dissolved for failing to maintain a registered agent. The act provides for revocation of a foreign corporation's authority to do business if it has failed to respond to a subpoena and for various additional reasons.