The LegalZoom $50,000 Peace of Mind Guarantee

LegalZoom was founded by attorneys with experience at some of the best corporate law firms in the country. That's why we can offer the following guarantee.

LegalZoom guarantees that your LLC or corporation will be valid and effective at the time the formation documents are filed and accepted by the Secretary of State (or other government authority).

If your LLC or corporation is found by a court of competent jurisdiction within the United States to be invalid at the time the formation documents were properly filed with the Secretary of State (or other government authority) solely due to the fault of LegalZoom, we will remedy the issue. If it cannot be remedied, we will pay you $50,000.

Guarantee Details

  • To make a claim on the guarantee, you must notify us in writing within 30 days after a challenge has been made to the validity of your LLC or Corporation. Notices should be sent by U.S. certified mail to our corporate headquarters, Attn: General Counsel. Only you may initiate a claim on this guarantee. Claims cannot be made on a class or representative basis.
  • This guarantee does not cover any failure by you to abide by our Terms of Use or Terms of Service, any situation where there is comparative or contributory negligence by anyone (other than LegalZoom), or any failure by you to meet the business's subsequent requirements after the initial formation documents have been filed, including, but not limited to:
    • Filing applications and paying all required fees for qualification as a foreign corporation or limited liability company in all states where the company is "doing business" (as that term is defined in the relevant jurisdictions),
    • Maintaining registered agent requirements as defined in all relevant jurisdictions,
    • Filing annual reports and making all required tax payments with the state of incorporation or organization, and with state(s) where qualified to do business in a timely manner,
    • Filing amendments to filed documents upon any change that would make the current documents no longer accurate.
  • This guarantee does not cover any issues caused by or related to inaccurate or unlawful information provided by you or your agents to LegalZoom.
  • This guarantee only covers instances where the corporation or LLC is declared invalid in its entirety. LegalZoom will not be responsible for any consequential damages.
  • This guarantee will remain in effect so long as your corporation or LLC meets all state and federal corporate, regulatory, capitalization, securities and tax requirements, and is made notwithstanding any limitation of liability in our Terms of Use or Terms of Service.
  • This guarantee does not apply if your corporation or LLC is conducting an illegal activity or has an unlawful purpose.
  • LegalZoom reserves the right to amend this guarantee unilaterally at any time by posting the new terms on the LegalZoom website.

Updated January 26, 2012