Can a company conduct business under a name other than its own name or legal name?

Yes. A corporation may conduct business and identify itself under a name other than its own. In Quebec, the law uses the term “name” of the corporation, while under federal law, it uses, among other terms, the expression “corporate name.”

The name of a Quebec corporation is set forth in its articles of incorporation, specifically its articles of association and certificate of incorporation. Under federal law, the corporate name is specified in the articles of incorporation.

A corporation may conduct business under a different name, commonly referred to as trade name, business name, or, sometimes, corporate name, subject to compliance with applicable rules.

For example, a corporation incorporated under the name 1234-5678 Québec Inc. could conduct its business under the trade name Construction ABC. In a contract or other document where the company’s name must appear, it could be identified, for example, as 1234-5678 Québec Inc., doing business as Construction ABC.

Using a trade name allows a business to adopt a name that reflects its activities without changing the company’s name in Quebec or its legal name under federal law.

Before using a trade name, it is particularly important to verify:

• that it complies with the requirements set forth in applicable laws;
• that it does not infringe on the rights of another company or a third party;
• in Quebec, that it complies with applicable French language requirements;
• under federal law, that it complies with the requirements and prohibitions applicable to the names under which a corporation may conduct business;
• that it is registered with the Quebec Enterprise Registrar when such registration is required.

These checks help ensure, among other things, that you will not have to change the trade name used to operate the business at a later date.

The use of a trade name does not create a new corporation or alter its legal identity. Contracts, rights, obligations, and liabilities remain those of the corporation.

Furthermore, the use of a trade name does not exempt the corporation from indicating its own name on documents required by law. In Quebec, the corporation’s name must, in particular, be indicated on its commercial instruments, contracts, invoices, and orders for goods or services. A similar requirement applies to the corporate name of a federally incorporated company.

A trade name should also not be confused with a trademark. A trade name is used to identify the business in the course of its activities, whereas a trademark is used, in particular, to distinguish a company’s products or services from those of others.

In summary, a corporation may conduct business under a trade name that differs from its name in Quebec or its federal corporate name. This trade name must comply with applicable legal requirements and be the subject of the required filings. However, its use does not alter the corporation’s legal identity, and its name or corporate name must continue to appear on the documents prescribed by law.