{"id":5123,"date":"2015-11-12T00:00:00","date_gmt":"2023-08-12T08:04:04","guid":{"rendered":"https:\/\/www.millerthomson.com\/issues-with-naming-societies-and-not-for\/"},"modified":"2024-09-16T11:04:24","modified_gmt":"2024-09-16T15:04:24","slug":"issues-with-naming-societies-and-not-for","status":"publish","type":"post","link":"https:\/\/www.millerthomson.com\/en\/insights\/social-impact\/issues-with-naming-societies-and-not-for\/","title":{"rendered":"Issues with Naming Societies and Not-For-Profits in Canada"},"content":{"rendered":"<p>One of the first things a not-for-profit is faced with on incorporation is what name it will have. Names are important because they play a role in developing an organization\u2019s reputation. A name can also cause issues for an organization, such as where the name is too similar to another organization\u2019s name.<\/p>\n<p>Before becoming invested in a particular name, an organization should be aware of the naming requirements in the particular jurisdiction in which it will incorporate. This article sets out the naming requirements for BC societies and federal not-for-profits.<\/p>\n<p><strong>Naming Requirements for BC Societies<\/strong><\/p>\n<p>The naming requirements for BC societies are in the BC <em>Business Corporations Act<\/em> and its regulations. According to these, names must not resemble another company\u2019s name, a name reservation or a registered extra-provincial company\u2019s name such that it would likely confuse or mislead the public. If the name an organization wants to use is too similar to one that is currently reserved or registered, it will have to obtain the consent of the holder of the other name.<\/p>\n<p>BC societies\u2019 names generally have three elements: a distinctive element, a descriptive element, and a designation. A distinctive element differentiates the name from that of another organization (e.g. Star). A descriptive element describes the nature of the society (e.g. Soccer). The general policy of the BC Registry is to require the designations Association, Foundation, Society or Club. If the name contains \u201c Church\u201d or \u201cMinistry\u201d, these designations are not required. A uniquely coined word used with a designation is usually sufficiently distinctive that a descriptive element is not required (e.g. Starla Society).<\/p>\n<p>The name cannot connote any connection with the government, Crown or Royal Family, unless the appropriate authority has consented. A society will have to obtain the BC Office of Protocol\u2019s consent to use \u201cBritish Columbia\u201d or \u201cBC\u201d, unless they are immediately before the designation.<\/p>\n<p>Names must not include words that are restricted by other statutes or imply a connection with a university or a professional association. Words restricted by statute include: \u201cBoard of Trade\u201d, \u201cChamber of Commerce\u201d, \u201cbank\u201d, \u201cR.C.M.P.\u201d, \u201cFarmers Institute\u201d, \u201cprovince\u201d, \u201ctrust\u201d and \u201cco-op\u201d.<\/p>\n<p>Bill 24, the new <em>Societies Act<\/em>, received royal assent on May 14, 2015 and will replace the <em>Society Act<\/em>. The new <em>Societies Act<\/em> will set out its own naming requirements. The draft regulations are not yet out, so it is too soon to see if the requirements will change.<\/p>\n<p><strong>Naming Requirements for Federal Corporations<\/strong><\/p>\n<p>Federal not-for-profit corporations have different requirements that they have to comply with under the <em>Canada Not-for-Profit Corporations Act<\/em> (\u201cCNCA\u201d). The prohibitions in the CNCA\u2019s regulations include names that:<\/p>\n<ul>\n<li>cause confusion with a trademark, official mark or a trade-name;<\/li>\n<li>are descriptive of the corporation or its goods or services;<\/li>\n<li>are primarily the name of an individual or a geographic place; and<\/li>\n<li>mislead the public with respect to its activities, goods, services or employees.<\/li>\n<\/ul>\n<p>A not-for-profit will also have to comply with Corporation Canada\u2019s Name Granting Compendium (the \u201cCompendium\u201d). The Compendium has not yet been updated to reflect the CNCA; however, Corporations Canada is in the process of revising it.<\/p>\n<p><em>Absolutely Prohibited Names<\/em><\/p>\n<p>Under the CNCA, the following words are absolutely prohibited in a corporate name:<\/p>\n<ul>\n<li>\u201ccooperative\u201d or \u201cco-op\u201d, if it connotes a cooperative venture;<\/li>\n<li>\u201cParliament Hill\u201d;<\/li>\n<li>\u201cRoyal Canadian Mounted Police\u201d or \u201cRCMP\u201d; and<\/li>\n<li>\u201cUnited Nations\u201d or \u201cUN\u201d, if it connotes a relationship to the United Nations.<\/li>\n<\/ul>\n<p><em>Qualifiedly Prohibited Names<\/em><\/p>\n<p>In addition to the above, a name is prohibited if it connotes that the not-for-profit does any of the following without the consent of the appropriate body:<\/p>\n<ul>\n<li>carries on business under royal, vice-regal or governmental approval;<\/li>\n<li>is connected with the Government of Canada, the government of a province, the government of another country or a subdivision or agency of any such government;<\/li>\n<li>carries on the business of a bank, loan company, insurance company, trust company or another financial intermediary that is regulated by the laws of Canada; or<\/li>\n<li>carries on the business of a stock exchange that is regulated by the laws of a province.<\/li>\n<\/ul>\n<p><span style=\"text-decoration: underline\">Consent to Use a Name May be Required<\/span><\/p>\n<p>Some provinces absolutely forbid certain uses of their names in federal names. When the use may be permitted, Corporations Canada will often require the not-for-profit to obtain the consent of the appropriate government. This information is in the Compendium.<\/p>\n<p>If a not-for-profit wants to use a name that would connote that it is connected with a professional association, it must obtain the professional association\u2019s consent. Corporations Canada will also reject names that suggest the not-for-profit is a degree-granting institution, unless it is authorized to grant degrees (e.g. \u201cuniversity\u201d).<\/p>\n<p>A not-for-profit cannot have a name that connotes it is a financial institution like a loan, trust, or insurance company or a bank. There are also certain words that the Office of the Superintendent of Financial Institutions must consent to (e.g. \u201cfiduciary\u201d, \u201ctrust\u201d, \u201cloan\u201d).<\/p>\n<p><em>Other Considerations<\/em><\/p>\n<p>The only legal elements permitted are: \u201cIncorporated\u201d or \u201cInc.\u201d and \u201cCorporation\u201d or \u201cCorp.\u201d. The English and French forms do not have to be literal translations, however they cannot be so different as to appear to be two different not-for-profits.<\/p>\n<p><strong>Conclusion<\/strong><\/p>\n<p>For more information on the BC and federal naming requirements, see the following guides:<\/p>\n<p>BC Registry\u2019s Name Approval Request Instructions: <a href=\"http:\/\/www.bcregistryservices.gov.bc.ca\/local\/bcreg\/documents\/forms\/0708bfill.pdf\">http:\/\/www.bcregistryservices.gov.bc.ca\/local\/bcreg\/documents\/forms\/0708bfill.pdf<\/a><\/p>\n<p>Corporations Canada\u2019s Name Granting Compendium: <a href=\"https:\/\/corporationscanada.ic.gc.ca\/eic\/site\/cd-dgc.nsf\/eng\/h_cs01407.html\">https:\/\/corporationscanada.ic.gc.ca\/eic\/site\/cd-dgc.nsf\/eng\/h_cs01407.html<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>One of the first things a not-for-profit is faced with on incorporation is what name it will have. Names are important because they play a role in developing an organization\u2019s reputation. A name can also cause issues for an organization, such as where the name is too similar to another organization\u2019s name. Before becoming invested [&hellip;]<\/p>\n","protected":false},"author":100,"featured_media":14389,"parent":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[535],"insight-format":[416],"class_list":["post-5123","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-social-impact"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.1.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Issues with Naming Societies and Not-For-Profits in Canada | Miller Thomson<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.millerthomson.com\/en\/insights\/social-impact\/issues-with-naming-societies-and-not-for\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Issues with Naming Societies and Not-For-Profits in Canada | Miller Thomson\" \/>\n<meta property=\"og:description\" content=\"One of the first things a not-for-profit is faced with on incorporation is what name it will have. 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