No. 22-63
It is the opinion of this office that in a case wherein the Secretary of State determines that the requested name of a Not For Profit Corporation is one so similar to a name previously on file in his office so as to mislead or deceive the general public or persons he may refuse to file such name.
Cite as Mo. Op. Att'y Gen. No. 22-63
NOT 1•
1
PROFIT f'ORP·- RATIONS :
<.,;()l'{POI"V\TION.J :
SECRh~ARY OF STATE :
NAME~ :
DISCITh'TION :
It ls the opinion or chis office that
in a caoc wherein the Secretary of
State determines that the requested
name or a Not For Profit Corporation
is one so similar to a name previously
on file in his o:fice so as to mislead
or deceive tne ~eneral public or persons
dealing uith the corporation, he may refuse to 'ile such name .
February 28, 1963
..
Opinion No . 22
Uonorable Warren 1 . Hcarnes
socretary or state
State of M1eeouri
Jcrreraon City, Mieaouri
Dear Mr. Hearne& :
F\LE
-~
This Will acknowledge receipt or your recent letter
roquestill6 an opiru.on ot this office.
Your request reads
aa follows:
"This department baa recently been
requested to determine whether or not ono,
or aJl7 of the following namea, are avail-
able for use as the name or a Not For
Profit Corporation under Chapter 355.
The names presented are aa follows:
1 .
St. Ferdinand 'l'ownahip Democratic
Club .
2.
St. Ferdinand Town8h1p Independent
Democratic Club t
3.
Independent Democratic Club or
st. Ferdinand Townahip.
"We currently have on file with this ortice,
and in good standing, a corporation formed
tmder Chapter 355. under the name St.
Ferdinand 'fownsh1p Regular Democratic Club.
"Section 355. 035., paragraph (2) states that
a corporate name-
' shall not be the •- aa the
name or any corporation, whether
f or Pro£it or HOt For Protit,
existi.ns under aDT law or the
state--. •
\
Honorable Warren E. Hearnes
"'l'he problem involved, es tb1e department
eees 1t i&, whether or not the name or a
corporation presently on file with this
oi'fice precludes use or the names, or one
Of them, presented ~0 this Office, Which
in turn hinges upon the interpretation of
the word •same' in 355.035.
11We would appreciate your opinion in this
matter so that the problem might be re.
solved 1n this case, and f uture cases to
come betoN this office."
In reply to your question we agree with your observation
that the solution to the ~ueat1on presented depends upon the
meaning or the word "same as used in Section 355.035, RS . .,
1959.
The pertinent part of' Section 355.035, RSib 1959, reads
as follows:
"The corporate name • * •
" (2) Shall not be the same as the Dame
of any corporation, whether for prof it
or not t or profit, exist ing under any
law o£ this state, or any foreign c~r
poration, whether for prof it or not for
profit, authori_zed to transact its busi-
ness or conduct its af.fairs in this state,
and * * *"
l~ will be noted that the above statute uses the term
"shall not be the same as the name of an.y corporation • • •
11
while our General irid BUsiness Corpor~t1ons Act, Chapter 351,
RSMb 1959, in Section 351.110 ~gulat1ns names of corporations
uaes entirely different language aa follows:
"'lhe corporate name * • *
.
" (3) Shall not be the same as, or deoept1velJ
similar to~ the name of any domestic cor-
poration exist!nB under any law of this
state or en, toreiaa eorporat1on author-
ized to transact business 1n this state,
or a name the exclusive right to which is,
at the time, reserved in the manner pro-
vided in this chapter. "
Honorable Warren B. Hearnes
As ~
be oeen there is a SI~at difference between the
two statut es, the older 5eot1on 351. 110, RS~ 1959. using
the term "or deceptively similar to" while our newer Section
355. 035, RS!tb 1959, usee the language u ehall not be the aame
as • • •
11
There are tn.anJ cases conetru~ the meaning of the
older Section 351.110, RS!tJ 1959, among them tbe f ollowing:
BDI)1re Trust Co. v . BIJI)1re Finance Co. , 41 S.W.2<1 847 .
These
cases all turn upon the nor deceptively s1m1larn portion or
351.110, RS)t) 1959. It may be pointed out that there are no
cases construing the meaning or Paragraph 2 or Section
355.035, RS~b 1959.
lfllile it may have been better had our legislature in
enacting Section 355. 035, RSMo 1959, used the same tel'm1n-
ology as Section 351. 110, RSMo 1959, it chose, either by
design or othe~se, to use different langu$ge and by so doing
has given general Not Por Profit corporations greater leewq
1n choosing a name .
While, as stated supra, there are no cases construing
Paragraph 2, Section 355. 035, RSMo 1959, 1t 1s substantially
the same statute as previo~sly enacted bf the State of Illinois
1n 1943, which statute was taken substantially f rom an
earlier Illinois lta1:ute.
There are only t ·10 casea noted in
connection with this Illinois s.tatute which must be stven
conaicleration 1n this matter. They are:
Peop:.e ex rel.
Felter v. Rose, (1907) 225 Ill. 496. SO NE 293. '- 294; and
International Committee or the Young Women•a Christian Asso-
ciation v. toung Women' s Christian Ae&Oo1ation of Chicago,
(1902) 194 Ill. 194, 62 NE 551.
It should be noted that in
ne1 ther or the above cases did the court rule directly upon
the statute involved, but it is belleved that they applJ to
the question under consideration.
The Y~ung women 1 s Christian Association oaae, supra,
involved an inJunction filed by the Young Women•s Christian
Asaocut1on or Ch1eago [the older asaoo1at1on] against the
International Committee or the Young Women•s C~1st1an
Aseoci_ation.
The court • ruling tor the Young \iomen • s Christian
Association or Chicago, stated that the defendant would be
enjoined from usj,ng the name International Committee of the
Young Women•s Christian Association bec~use or 1ts similarity
to the plaintiff • s name.
That 1.t would contuse the general
public and cause them to direct donations to it which were
Mant for the plaintiff organi-zation. That it \'las a name
-3-
HonoPable Warren E. Hearnen
calculated to deceive and mislead.
Therefore~ they would
not be allowed to profit from it.
The Rose case, supra, was a mandamus action brought
aga1net the Secretary or State or n11no1s in an atteJ~~>t
to f orce h1ln to 1'1le a corporate name which he had ref'Used
to tile because o£ its s1Ddlar1ty to a name ot a corpora-
tion alrea11y authorized to do business in Illinois. The
Supreme Court of Illinois, ruling tor the Secretary or state,
stated they would not compel lam to perfol"m what might well
be a v&J.n act. That the names 1n qu$8t1on were ao similar
t~t 1n a proper oaee they [the co\lrt} might be compe1led to
enjoin the use or the request&d name.
The essence of the
opinion is stated as follows, 1. c. 294:
"U this mandamus is awarded this court
might be put 1n the absurd position ot
being required to sustain en injunction
against the use of tha name wh1.oh 1t has
colllpelled the Secretary of State. by
mandamus~ to authorize. The SecNtary
or state wil?l not be .NAuired.. by mandamus
issuing oUti or thli cou , to issue a certifi-
cate o£ incorporation When it 1s plainly
apparent that the effect will be to IIIia•
lead the l!\lbl1c de&l1ng Wi~h such cor-
poration. •
(Emphaais euppl:ted)
So; wnile the court did not construe the statute spec1f1oallf,
they intimate trom the above language that the Secretary of
state tna¥ have some portion or meuure or discretion in the
fil~ of names or Nbt For Profit Corporations,
Thus; 1n the question befor-e us, it does not seem con-
cei Vkble that our legislature [even 1n the face or the
d1tfeJtenoe in language or Sections 351.110 and 355.035, RSr-t>
1959] would have intended to pet"ID1t the organization of a
NOt Por Profit Corporation with a name deceptively similar
to that of another ex1st1ng corporation or one that could be
so calculated to deceive and mislead the genera! public or
persons dealing with the corporat1Qn.
-4-
Honorable Warren E. Hearnea
CONCLUSION
n is the opinion of th:ts office that 1b a caso wherein
the Secretary o£ State determines that tho requested name
of a Not Por Profit Oorporati<>n is one so aJ.adlar to a name
previously on N.le 1n his off'ioe ao ae to mislead or deceive
the general publio or pe~sons dealing with the corporation#
he may refuee to file euoh name.
The tot-..go.1ns opinion, which I hereby approve, wae pre-
p&l'ed b7 1fT AB&Siatant, Bobert R. Northcutt.
Yours ·t~ery tr1.1ly,
THOMls P. ltlaartON
Attorney Ge~