Mike is planning on incorporating his business in the state of Delaware.Which of the following regarding the name of Mike's business is TRUE?
A)He will be able to use the words "Association" or "Institute" in his company name.
B)He will not be able to use abbreviations (such as Inc.or Corp. )in his company name.
C)His company name will not have to include one of the following words: Corporation,Incorporated,Company or Limited.
D)His company name can be the same as another corporation that already exists in Delaware.

Question

Quizplus · Accepted Answer

CIn Delaware, businesses are allowed to use words like "Association" or "Institute" in their company names, providing flexibility in how they present themselves. Additionally, Delaware law requires that the name of a corporation must contain one of the words "Corporation," "Incorporated," "Company," or "Limited," or their abbreviations, ensuring that the corporate status of the entity is clear. This means that options B and D are incorrect because Delaware does allow the use of abbreviations like "Inc." or "Corp." in company names, and it does not permit a company to have the same name as another existing corporation in the state to avoid confusion and ensure distinctiveness in business identities.

Mike Is Planning on Incorporating His Business in the State