Improperly Changing Name of Corporation
A small nonprofit corporation held a meeting earlier this year and voted to change its name. An amendment was thereafter filed with the appropriate county Probate Office and is now on file with the Secretary of State. It was, however, discovered several months later that the name was not legally adopted. While the corporation's Bylaws allow for such changes to be made by a majority vote, Alabama law requires that all amendments to the Articles of Incorporation must be adopted by no less than 2/3 majority of a quorum of eligible voters.
Consequently, while the Secretary of State's web site reflects the corporation's new name as a matter of official record, in reality that name was not legally changed. I have advised the corporation that they need to schedule a special election as soon as possible and hold a new vote on the change. If the new name is legally adopted, a new amendment would need to be filed to both address the previous erroneous amendment and to officially change the name based on the legal vote.
Assuming the special election results in the new name being legally adopted, the new amendment form will require that the current name, as stated on the Certificate of Formation/Articles of Incorporation, be included on the form as well as the newly adopted name. Which name would be considered the current name, the original name or the new name as it was previously and improperly filed? If I list the original name, it's not going to match up with the Secretary of State's records. If I list the new name from the earlier (faulty) amendment, am I not going to be basically stating something that is not legally correct?