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A BILL TO BE ENTITLED
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AN ACT
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relating to the names of certain businesses. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 5.051, Business Organizations Code, is |
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amended to read as follows: |
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Sec. 5.051. ASSUMED NAME. A domestic entity or a foreign |
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entity having authority to transact business in this state may |
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transact business under an assumed name by filing an assumed name |
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certificate in accordance with Chapter 71, Business & Commerce |
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Code. Except as provided by Section 9.004(b)(1), the [The] |
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requirements of this subchapter do not apply to an assumed name set |
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forth in an assumed name certificate filed under that chapter. |
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SECTION 2. Section 5.053, Business Organizations Code, is |
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amended to read as follows: |
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Sec. 5.053. DISTINGUISHABLE [IDENTICAL AND DECEPTIVELY
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SIMILAR] NAMES REQUIRED [PROHIBITED]. (a) The name of a [A] filing |
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entity or the name under which [may not have a name, and] a foreign |
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filing entity registers [may not register] to transact business in |
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this state must be distinguishable in the records of the secretary |
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of state from [under a name, that is the same as, or that the
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secretary of state determines to be deceptively similar or similar
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to]: |
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(1) the name of another existing filing entity; |
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(2) the name of a foreign filing entity that is |
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registered under Chapter 9; |
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(3) the assumed name under which a foreign filing |
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entity is registered to transact business in this state because its |
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name is not available; |
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(4) a name that is reserved under Subchapter C; or |
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(5) [(4)] a name that is registered under Subchapter |
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D. |
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(b) Subsection (a) does not apply if: |
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(1) the other entity or the person for whom the name is |
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reserved or registered, as appropriate, consents in writing to the |
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use of the [similar] name and files with the secretary of state a |
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filing instrument that changes the entity's name or withdraws the |
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reservation or registration of the name, as appropriate; or |
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(2) the applicant delivers to the secretary of state a |
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certified copy of the final judgment of a court of competent |
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jurisdiction establishing the entity's right to have the name. |
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SECTION 3. This Act takes effect June 1, 2016. |