Texas Law Firm Name Game: Assumed Identities

In Texas, a law firm can operate under an assumed name or a doing business as (DBA) name. This is a name other than its legal or registered name. An assumed name certificate, also known as a fictitious name certificate, must be filed with the county or state. This discloses the real name and address of the owner(s) of the business. An assumed name certificate does not give the registrant any right to use the assumed name in a way that violates the law, including laws of unfair competition, unfair trade practices, copyright, and trademark. It is a misdemeanor to conduct business or a professional service in Texas under an assumed name with the intention of violating this law.

Texas law firms can operate under an assumed name or a 'doing business as' name

Texas law firms can operate under an assumed name or a "doing business as" (DBA) name. This is a name other than the firm's legal or registered name. An assumed name can be useful for a business for a number of reasons. For example, a business may wish to use an assumed name for a particular product or service, or to use a name that is catchier or more memorable than its legal name.

An assumed name is also referred to as a "fictitious name" or "DBA". A DBA is not a business license, and it does not provide trademark rights or exclusive rights to the name. It is simply a way for a business to notify the public that it intends to operate under a different name.

To operate under an assumed name, a Texas law firm must file an assumed name certificate with the Texas Secretary of State. This certificate discloses the real name and address of the owner(s) of the business. It is important to note that filing an assumed name does not give the firm the right to use the name in a way that violates the law or infringes on the rightful use of the name by others.

There is no limit to the number of assumed names a firm can have, and an assumed name filing is valid for 10 years. If a firm wishes to stop using an assumed name before the 10-year period ends, it can file a form to terminate or abandon the name.

It is important to consult with a private attorney to determine the best course of action for a business's specific needs and to ensure compliance with all applicable laws and regulations.

An assumed name certificate must be filed with the county or state

In Texas, an assumed name certificate, also known as a DBA (Doing Business As) or fictitious name certificate, is a document that allows business owners, sole proprietors, and corporations to operate under a name other than their legal or registered name. This certificate must be filed with either the county or the state, depending on the type of business entity.

Prior to 2019, all assumed names were filed in the county or counties in which the business operated. However, with the enactment of House Bill 3609, the requirements changed. Now, non-registered business operations, such as sole proprietors and general partnerships, must file their assumed name certificates with the county clerk in each county where they maintain a business office or conduct business. On the other hand, corporations, LLCs, limited partnerships, and other registered business entities are required to file their assumed name certificates directly with the Texas Secretary of State.

It is important to note that an assumed name certificate does not grant exclusive rights to the name. It simply provides information about the underlying business's identity and location. The certificate discloses the real name and address of the business owner(s) so that consumers know whom to hold accountable in case of any issues. Additionally, the use of an assumed name does not change the personal asset liability of the business entity, unlike forming an LLC or corporation.

When filing an assumed name certificate, the registrant should be aware that it does not grant any right to use the name in a way that violates the law or infringes on the rightful use of the name by others. It is the responsibility of each business entity to protect its name and goodwill. The certificate also does not restrict others from filing the same assumed name or using it to establish a new entity.

The process of filing an assumed name certificate typically involves submitting the required forms and paying the associated fees. In Texas, the secretary of state collects a $25 fee for each assumed name certificate filed. It is recommended to consult with a private attorney for guidance on protecting a business name and ensuring compliance with applicable laws.

Registration of an assumed name does not guarantee exclusive use

Texas law allows businesses to operate under an assumed name, also known as a DBA (Doing Business As). This is done by filing an assumed name certificate with the Texas Secretary of State. However, registration of an assumed name does not guarantee exclusive rights to use that name.

Chapter 71 of the Texas Business and Commerce Code states that the Texas Secretary of State cannot reject an assumed name certificate based on a name conflict. This means that multiple businesses can have the same assumed name on file. Therefore, registering an assumed name does not prevent other businesses from filing or using the same name. It is the responsibility of each business to protect its name and goodwill.

To ensure exclusive rights to an assumed name, businesses should take additional steps beyond registering the name. This may include trademarking the name or seeking legal advice to understand the options available to protect their brand and business goodwill.

Additionally, businesses must ensure that their chosen assumed name does not infringe on existing trademarks or create confusion among consumers. This includes considering the industry, geographic area, and similarity of products or services to other businesses using the same or similar names. Failure to do so may result in potential exposure to claims of trademark infringement.

While registering an assumed name does not guarantee exclusivity, it is still a crucial step for businesses wishing to operate under a name other than their legal or registered name. It allows businesses to advertise and conduct business under the assumed name while providing public disclosure of the business's true identity and location.

Assumed names offer an additional level of asset protection

In Texas, a business entity may operate under an assumed name, also known as a DBA (Doing Business As). This is a name other than its legal name. An assumed name certificate must be filed with the county clerk in each county where the business is maintained. If the business does not have a physical location, the certificate must be filed in each county where the business is conducted.

An assumed name certificate provides information about the underlying business's identity and location. It does not give the business the right to use the assumed name in a way that violates the law, including unfair competition, unfair trade practices, copyright, and trademark. It also does not prevent others from filing the same assumed name or using it to form a new entity.

The main purpose of an assumed name statute is to protect the public when dealing with businesses that use names other than their true names. The public needs access to the true names of businesses for various purposes, including checking credit ratings, searching for legal judgments, and bringing suit.

It is important to note that the use of an assumed name does not change the personal asset liability of the business owners. If a business is sued, the owners may still be personally liable, depending on the structure of the business. However, by using an assumed name, the business can create a layer of separation between the assets of the business and the personal assets of the owners, which can provide some level of protection.

Failure to register an assumed name does not impact the validity of contracts

In Texas, a business entity may file an assumed name certificate, also known as a DBA ("Doing Business As") certificate, to notify the public that it intends to operate under a name other than its legal name. This allows businesses to advertise and conduct business under the assumed name.

While filing an assumed name certificate is a requirement for businesses operating under a fictitious name in Texas, failure to do so does not impact the validity of contracts entered into by the business. However, it is important to note that there are potential consequences for non-compliance, including fines and personal liability for owners or managers if the business is sued.

In the context of contracts, the use of an assumed name by itself does not determine the validity of the contract. The critical factor is whether the parties have knowingly and willfully committed to a set of terms and conditions. If a party uses a pseudonym or false name on a contract, it may be challenging to prove the contract's binding nature on that party. However, if the other party is aware of the true identity or has been informed of the use of a pseudonym, it is unlikely to amount to fraud.

Additionally, it is worth noting that the use of an assumed name does not provide exclusive rights to the name. The filing of an assumed name certificate does not prevent others from filing or using the same name. Therefore, businesses should consult with attorneys to protect their names and goodwill through appropriate legal means, such as trademark and tradename laws.

In summary, while failure to register an assumed name in Texas may have certain consequences, it does not directly impact the validity of contracts entered into by the business. The focus remains on the parties' commitment to the terms and conditions outlined in the contract, regardless of the name used.

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