Vermont § 1626 - Failure to register; enforcing compliance

§ 1626. Failure to register; enforcing compliance

• (a) A person transacting business in this State who is not registered with the Secretary
  of State as required under this subchapter and any successor to the person or assignee
  of a cause of action arising out of the business of the person, may not maintain an
  action or proceeding or raise a counterclaim, crossclaim, or affirmative defense in
  this State until the person, successor, or assignee registers with the Secretary. (b) The failure of a person to register as required under this subchapter does not impair
  the validity of a contract or act of the person or preclude it from defending an action
  or proceeding in this State. (c) An individual does not waive a limitation on his or her personal liability afforded
  by other law solely by transacting business in this State without registering with
  the Secretary of State as required under this subchapter. (d) If a person transacts business in this State without registering with the Secretary
  of State as required under this subchapter, the Secretary is its agent for service
  of process with respect to a right of action arising out of the transaction of business
  in this State. (e) A person that transacts business in this State without registering with the Secretary
  of State as required under this subchapter shall be liable to the State for: (1) a civil penalty of $50.00 for each day, not to exceed a total of $10,000.00 for each
  year, it transacts business in this State without a registration; (2) an amount equal to the fees due under this subchapter during the period it transacted
  business in this State without a registration; and (3) other penalties imposed by law. (f) The Attorney General may maintain an action in the Civil Division of the Superior
  Court to collect the penalties imposed in subsection (e) of this section and to restrain
  a person from transacting business in this State in violation of this subchapter. (Amended 1961, No. 217, § 1, eff. July 13, 1961; 1981, No. 125 (Adj. Sess.), § 4; 1995, No. 179 (Adj. Sess.), § 10; 2015, No. 128 (Adj. Sess.), § C.3; 2025, No. 10, § 4, eff. July 1, 2025.)