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Corporate Name Rejection: Lessons from Ribbon's Journey and Strategies for Success

When your envisioned corporate name hits a roadblock and is rejected by Corporations Canada, knowing how to navigate the situation becomes pivotal. This article delves into the strategies to employ when faced with the rejection of a proposed corporate name. Drawing from the real-life experiences of Ribbon, the authors of this piece shed light on the intricacies of a denied corporate name and offer guidance on effectively resolving the issue.

Ribbon's Experience​

In the pursuit of incorporating their business, Ribbon opted for the name "Ribbon Solutions Inc.", purchased a NUANS Name Search for $13.80, and submitted their incorporation request to Corporations Canada.

The Setback​

Shortly after submitting their incorporation request, Ribbon encountered an unexpected setback:

"We regret to inform you that we are unable to issue a Certificate of Incorporation for Ribbon Solutions Inc."

Corporations Canada conveyed a "Notice of Deficiency" to Ribbon, indicating that the chosen name, "Ribbon Solutions", bore too close a resemblance to "Blue Ribbon Solutions" – an existing name or trademark.

This indicated a breach of Corporations Canada's policy that a corporate name should not induce confusion:

A corporate word name must:

Ribbon's Notice of Deficiency:​

Notice of Deficiency - Page 1 Notice of Deficiency - Page 2

The Remedy​

Ribbon's response was to add an additional descriptive element into their corporate name, enhancing its distinctiveness. Given Ribbon's domain in the business services sector, they appended "Business" to their name, mitigating the potential for confusion with other entities.

Consequently, "Ribbon Solutions Inc." underwent a transformation to "Ribbon Business Solutions Inc.", a modification that received the approval of Corporations Canada, ultimately leading to a successful incorporation. This is the name Ribbon's customers see on their invoices today.

An Alternative Approach - Arguing Uniqueness​

Corporations Canada, as outlined in the Notice of Deficiency, extended the option for Ribbon to articulate how their chosen name would not result in confusion with existing names or trademarks. Upon investigating "Blue Ribbon Solutions", it surfaced that "Blue Ribbon Solutions Ltd." was a cleaning company situated in BC. Given Ribbon's presence in the business services sector, they could have presented a case that the corporate name wouldn't induce confusion, considering the distinctive industries they operated within.

Should Ribbon have opted for this course of action, they would have submitted an ISED-ISDE 3704 - Corporate Name Information Form, containing their rationale supporting the notion that the names would not be confused.

Ribbon Can Help​

Corporate and trade names can be confusing, Ribbon helps guide users through the process of setting up their corporation with the correct naming structure.

Appendix 1 - ISED-ISDE 3704 - Corporate Name Information Form​

Corporate Name Information Form Download a pdf version of the ISED-ISDE 3704 - Corporate Name Information Form