HB403 Alabama 2013 Session

Updated Feb 27, 2026

Low Interest

Summary

Primary Sponsor: Bill Poole
Republican
Session: Regular Session 2013
Title: Business entities, name reservation with Secretary of State, process for foreign and domestic entities combined, effective date for a name reservation expanded, Secs. 10A-1-5.03, 10A-1-5.04, 10A-1-5.11, 10A-1-5.12, 10A-1-5.14, 10A-1-5.15 am'd.; Secs. 10A-1-5.21 to 10A-1-5.25, inclusive, repealed
Summary: HB403 standardizes Alabama's name reservation rules by requiring a single process for all domestic and foreign entities, extending reservation duration to one year, and updating naming rules with certain exemptions.
What This Bill Does
It requires all foreign and domestic business entities to reserve names with the Secretary of State before transacting; it combines the foreign name registration with the domestic reservation process; it extends the initial name reservation period to one year and allows renewals in defined periods, while preserving rules about name distinguishability and consent; it exempts pre-1981 corporations from the requirement to include 'corporation' or 'Inc.' in their names and repeals several older provisions.

Who It Affects
Domestic business entities planning to transact in Alabama, who must reserve a name and follow the new unified process.
Foreign business entities planning to transact in Alabama, who must reserve a name under the combined process.
Businesses with names that are not distinguishable from existing or reserved names, who may need consent or to change their name under the new rules.
Corporations incorporated before January 1, 1981, who are exempt from the requirement to include the words 'corporation' or 'Inc.' in their names.

Key Provisions
Consolidates the domestic name reservation process and foreign entity name registration into a single process.
Requires name reservations for all foreign and domestic business entities.
Extends the name reservation period from 90 days to one year; reservations may be renewed in 120-day or one-year increments.
Clarifies that certain words indicating entity type (e.g., 'Corporation', 'Inc.') are not counted when determining if two names are the same or indistinguishable, unless the current holder waives this in writing.
Imposes conditions for consent and undertakings when there is a potential name conflict or when a non-distinguishable name is involved.
Exempts corporations organized before January 1, 1981 from the requirement to include 'corporation' or 'Inc.' in their names.
Repeals Sections 10A-1-5.21 through 10A-1-5.25.
Effective date: the act becomes law on the first day of the third month after passage and gubernatorial approval.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Business Entities