Change In Name Clause

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Guidelines for naming the company

The Companies Act of 2013 stipulates the rules and conditions for naming a company, whether it is a private limited company, a public limited company, or an OPC. When selecting a name for the company, the corporation should consider the following factors:

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The MCA ensures that the proposed name does not resemble any of the names that are currently registered as a trademark or corporate name.
Simply combining the different words or altering the name to its plural form does not make it unique.
Last terms of a One Person Company with OPC Private Limited, Private Company, and Public Company shall be Private Limited and Limited, respectively.
MCA prohibits the use of names that are excessively common or broad, such as Wood Company Private Limited.
Companies' names must begin with a person's name, such as Example Arun Private Limited.

Procedure for company name change

Conduct general board meeting
The suggested name of the corporation will be discussed by the entity's directors. A seven-day notice is given to the directors in order to carry out the board meeting. The following are the motions that must be passed at a board meeting in order for the name change to be approved.
To authorize the Director or Company Secretary to use ROC to determine whether or not a specific name is available.
The Company should ensure that no two firms with the same or similar names are registered. To determine the time and location of the EGM for the approval of the new name, and if authorized, the change in the MOA must be implemented.
Step by step procedure
Check the name's availability
To receive name approval, submit an online application
Organize an EGM or an extra-ordinary general meeting
Filing with the ROC
Central government approval
New incorporation certificate

Restrictions on Changing the Company Name

The following businesses are particularly prohibited from altering their name under Rule 29 of the 2014 Companies Rules:

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The business responsible for not paying the matured deposit.
Business that hasn't repaid its debentures that have matured.
Your business that failed to timely file its annual return.
The business that has failed to pay interest on deposits or debentures or has defaulted on doing so.
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The proposed name is undesirable if it violates the following conditions:

If the following conditions are not met, the applied name will not be acceptable.

Infringes on the Emblem and Name Act
Infringes on a trademark
Contains deceptive or unpleasant language
The name chosen by the company must correspond to the Entity's objectives.
Name of the firm shall not include words that refer to any constitution or legal person, such as LLP, HUF, Trust, and so on.
If the company is registered to provide business-related financial services such as finance, chit, fund, leasing, and so on, such operations must be mentioned in the firm's name.
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Frequently Asked Questions

No, the name must be approved in the event that an existing company changes its name by RUN alone.

Changing of existing name doesn't have any impact on the legal identity of the Company. Changing the name is not creating a new entity. The changed name doesn't:

Affect the existing rights of Companies

Affects the legal proceedings against the Company pending in the old name

Affects the legal proceeding initiated by the Company in the old name.

Re-registration of the name is required. It is also advised to include the previous name permission letter that has since expired.

The name will remain valid after ROC approval for 20 days, during which time a special resolution must be voted and filed; otherwise, the approval letter will become null and invalid.

The Company typically changes its name due to the following factors:

If the Company modifies its commercial operations.

A corporation must be willing to change its current name in order to better reflect the brands it deals with.

Occasionally, if the government directs a name change.

It usually takes around 3-4 working days in total to change the name fo clause on the Companies House register in India.

When Central Government is in opinion that the name is identical with or too nearly resembles the name of:

Existing Company;

on an application by a registered proprietor of a trade mark that the name is identical with or too nearly resembles to his registered trade mark.

To change the company name in India, a special resolution of members is required to be passed in an extraordinary general meeting. The most commonly used way to change the company name is by passing a special resolution of the members. A special resolution is simply a formal decision that should be agreed on by at least 75% of the members' votes. A special resolution can be passed in a general meeting or writing.

No, the name of the company has to be reserved in case of the change company name of an existing Company through RUN form only.

No, the stamp duty is generally paid on the allotment of shares and further, the alteration is not the adoption of a new set of memorandums anyhow.

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