Charles Jones Blog
We get questions from time to time about which to order a Corporate Status Report or Good Standing Report. In order to figure this out- you need to determine what information you are trying to glean from the report.
The Corporate Status Report produced by Signature will include board of director information and information regarding whether an entity is in existence and active in the state of NJ. You might order the Report to find out if a company has in fact been incorporated and whether its charter is still in effect, and whether it has filed Franchise Taxes. The Corporate Status Report includes information about a corporation such as: date of formation, name of the registered agent, registered office the status (active, dissolved, and revoked) , and principal office address of the entity if any.
NOTE - If a company is not active, it does not legally exist and therefore cannot be part of a real estate transaction. It is available for all types of entities – including: corporations, LLC’s and LLP’s.. It is not available for banks or insurance companies.
The Good Standing is available in either Long or Short form, and provides conclusive evidence from the State that the company is active and all reports and taxes are current within two years.
The Good Standing Short Form from the state contains the following information:
- Previous or alternate names
- Status of annual reports
- Certification from the Treasurer of the state of NJ.
- Date Company was registered by the Dept of Treasury.
- Notation of whether the charter for the company is ACTIVE or has been REVOKED.
- Latest registered agent information – name, address and Signature of the state treasurer
There are two variations of Long Forms that can be obtained from the state: With Charter Documents; With Board of Directors. Signature currently provides the version “With Charter Documents”. Therefore, the Good Standing Long Form includes all the information noted above as well as a list of Charter Documents with filing dates.
A key difference between a Good Standing Report and a Corporate Status Report is that the latter will only show the current Annual Report year. So if an entity is current this year but not last year – you will not find that out with a corporate status report. A good standing will provide that information. Another difference is the price. Good Standing Certificates are more expensive due to higher statutory fees.
Patrick T. Roe
Senior Vice President, Sales & Marketing