Name Change in Contracts
When a company changes its name while the contract is in effect, the parties will want to ensure that they modify the terms.
Both parties could agree to continue the contract without modifying the name.
Changing your name does not legally affect your contracts. The entity is liable under the contract.
Legal Considerations in Name Changes
- It is essential for parties to immediately modify the contract to identify the change in name.
- You must prepare a contract outlining the specifics of the name change and its effects on your business before you can legally change the name of your firm.
Effects on Business Name Change in India
- For a company and LLP changing name, certain legal obligations must be adhered to.
- Publication of Name: The company must display its name and address prominently, and other official documents must reflect the name change details.
Contract Renaming
- Always put a contract amendment in writing and have both parties sign and date it.
- If the actual name of the company changes, the contracts will remain valid especially with a business identification number.
Contractual Obligations and Name Changes
- If a company changes its name, contracts remain valid with rights and obligations transferring to the new company.
How to Handle Contract Mistakes
- When a name is spelled incorrectly on a contract, it may not necessarily invalidate the contract.
Void Contracts
- An example of a void contract would be a circumstance where a mistake of identity is of paramount importance to the contract.