Can a Corporation Validly Change its Corporate Name Under its General Power to Amend its Articles of Incorporation and Result in Dissolution?

Can a corporation validly change its corporate name under its general power to amend its Articles of Incorporation and result in dissolution?
A corporation may change its name by merely amending its charter in the manner prescribed by law. The change of name of the corporation does not result in dissolution. The changing of the name of a corporation is no more the creation of a corporation than the changing of the name of a natural person.
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Corporations are legal entities that are subject to a variety of rules and laws. A corporation’s name, which distinguishes it in the commercial world, is one of its key features. But organizations occasionally rebrand, combine, or acquire, which results in a name change. But may a corporation’s name change cause it to dissolve? This piece seeks to examine this query and several connected ideas.

What is this RA No. 11232 in relation to?

The Revised Corporation Code of the Philippines, also known as RA No. 11232, is a law that was passed on February 20, 2019, and it regulates corporations in the Philippines. With the passage of this legislation, the preceding Corporation Code underwent a number of amendments that improved corporate governance, increased minority shareholder protection, and permitted the formation of corporations by a single shareholder.

Does amending imply altering?

Yes, a change is implied by an amendment. The modification or revision of the clauses in the Articles of Incorporation is referred to as an amendment in the context of companies. A corporation’s name, goals, capital stock, and other important details are all outlined in the Articles of Incorporation, a legal document. The name of the corporation and other clauses in the articles of incorporation may be altered as part of an amendment.

What makes articles and amendments different from one another?

A corporation’s name, mission, capital stock, and other important information are all contained in the Articles of Incorporation, a legal document. During the incorporation process, the Securities and Exchange Commission (SEC) receives a copy of the Articles of Incorporation. Contrarily, amendments describe modifications made to the terms of the Articles of Incorporation, including the name of the corporation.

What distinguishes an Amendment from a restatement?

A change to the terms of the Articles of Incorporation is referred to as an amendment. Rewriting the Articles of Incorporation to reflect the present status of the corporation is referred to as a restatement, in contrast. In a restatement, a new document is made that replaces the old Articles of Incorporation. If the company has undergone significant changes, like a merger or acquisition, a restatement can be required.

In conclusion, a corporation’s broad ability to amend its Articles of Incorporation includes the ability to change its name without dissolving. But the corporation must adhere to the rules outlined in the Philippine Revised Corporation Code, which includes getting the SEC’s authorization. In order to prevent legal issues, firms must also make sure that no other entity is already using their new name. To guarantee compliance with all relevant rules and regulations, it is crucial to engage with legal advice.