A proposed name of Company is considered undesirable ifa)It resembles closely with of an existing company the name of an existing companyb)It is identical with the namec)In case of any of the above of India, United Nations etc.d)It is an emblem of GovernmentCorrect answer is option 'C'. Can you explain this answer?

Question

Answer

The name proposed for a company is considered 'undesirable' if it is identical to the name of an existing company, or if the proposed name closely resembles the name of an existing company, or if it is an emblem of a government organisation. In all these cases, the name proposed is considered 'undesirable'.

Answer

This is so because when a company is already existing in the same name then other company can't have the same name because if it happens then the new company will get the same recognition ,goodwill etc of the existing company...
for eg if a new company get name registered as adidas then it will also get the same repo as the existing adidas company...
and a name which resembles the name of an existing company is also not allowed bcoz for eg...
if someone wants to get it company registered as abibas which is resembling adidas then some people who are not educated enough will think that they both are the same companies . then it will indirectly establish a report for the new company...

Answer

Undesirable Name of a Company

In the context of proposing a name for a company, an undesirable name refers to a name that is not suitable or appropriate for various reasons. One such reason is when the proposed name closely resembles or is identical to the name of an existing company. Additionally, if the proposed name resembles or is identical to well-known entities such as India or the United Nations, it is also considered undesirable. Furthermore, if the proposed name includes an emblem of the government, it is deemed undesirable as well.

Resemblance to an Existing Company
When suggesting a name for a company, it is crucial to ensure that it does not closely resemble or is identical to the name of an existing company. This is important to avoid confusion among consumers and to prevent any potential legal issues related to trademark infringement. If a proposed name is too similar to an existing company, it may lead to customer confusion, dilution of the existing brand, and may even result in legal action.

Resemblance to Well-Known Entities
In the case of proposing a name for a company, it is also considered undesirable if the name resembles or is identical to well-known entities such as India or the United Nations. These entities have established their own brand identities and using similar names can create confusion, misrepresentation, and may result in legal implications.

Inclusion of Government Emblems
If a proposed name includes an emblem of the government, it is also considered undesirable. Government emblems are protected by law and should not be used in commercial ventures without proper authorization. Using government emblems without permission can lead to legal consequences, as it may be seen as an attempt to associate the company with the government or mislead consumers.

Conclusion
In conclusion, a proposed name for a company is considered undesirable if it closely resembles or is identical to the name of an existing company. Additionally, if the proposed name resembles or is identical to well-known entities such as India or the United Nations, or includes a government emblem, it is also considered undesirable. It is important to choose a unique and distinctive name for a company to avoid confusion, legal issues, and misrepresentation.

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