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Should The Secretary Of State Accept Filings By Cannabis-Related Business Entities?

Seven years ago, the California Secretary of State announced the debut of "Cannabizfile", a portal "for all information relevant to cannabis-related business and trademark filings with the Secretary of State".   According to...more

Knowingly Offering A False Annual Statement For Filing With The Secretary Of State Is A Felony

The Statement of Information required pursuant to California Corporations Code Section 1502 is not required to be signed under penalty of perjury.  However, the statute does require that the corporation (not the individual...more

Beneficial Ownership Reporting May Soon Be Coming To California With A Brobdingnagian Price Tag!

Beginning January 1, 2024, many companies became subject to the beneficial ownership reporting requirements of the Corporate Transparency Act.   The Financial Crimes Enforcement Network (FinCEN) estimated that the total costs...more

California's LLC Certificate of Cancellation - One Form That May Not Fit All

The California Revised Uniform Limited Liability Company Act deals separately with the dissolution and cancellation of a California limited liability company and the cancellation of registration of a foreign limited liability...more

How Will The Secretary Of State Know A Corporation's Purpose?

Yesterday I wrote about my concern that about the constitutionality of  SB 1168 (Limón).  This bill  would allow the California Secretary of State to cancel the articles of incorporation or the filing of a statement and...more

Does Bill Authorizing The Secretary Of State To Cancel Corporations Have An Illegitimate Purpose?

Recently, I wrote that California Senator Monique Limón had introduced legislation, SB 1186, that would allow the Secretary of State to cancel the articles of incorporation or the filing of a statement and designation by a...more

"The Secretary Of State Has No Issue With Bimbo" - Should She?

A dozen years ago, I posed the question of whether it might be possible to incorporate under a crass, indecent or otherwise offensive name.   That post mentioned the Court of Appeal's holding in Lee v. Superior Court, 9...more

Bill Would Vest Secretary Of State With Broad Powers To Cancel Business Entities

Last month, California State Senator Monique Limón introduced a bill, SB 1168,  that would endow the California Secretary of State with the power to cancel the articles of a domestic corporation or the filing of a statement...more

What To Do When A Business Entity Has Been Wrongfully Begotten

Over the years, I have been frequently called to assist in cases of wrongful termination. Rarely have I encountered the converse - the formation of an entity using a stolen identity.  Fortunately, the Civil Code has created a...more

Why It Is Impossible To File Articles Of Incorporation And A Statement Of Information Simultaneously And A World Without Chevron

A California corporation begins existence upon the filing of its articles of incorporation.  Cal. Corp. Code § 200(c).  The filing of initial articles of incorporation starts a 90 day clock on the filing of the newly hatched...more

When It Comes To Service Not Every Domestic Corporation Is A Corporation

Yesterday's post mentioned mentioned Chapter 17 of the California General Corporation Law which governs service of process in addition to the provisions of the California Code of Civil Procedure.  Corporations Code Section...more

Form Unknown? There's A Statute For That

The California Code of Civil Procedure sets forth the general rules governing the service of summons.  Cal. Code Civ. Proc. §§ 415.10 - 415.95.  Chapter 17 of the General Corporation Law adds to these provisions.  In some...more

Don't Lose Sight Of these Cryptic Articles

The California Secretary of State's online Business Search is easy to use and provides quick access to key corporate documents.  According to the Secretary of State, Business Search provides free access to PDF copies over 17...more

Nevada Adopts M&A Broker Exemption Rule

Readers may recall that last December, President Biden signed the Consolidated Appropriations Act of 2023, HR 2617.  This legislation included a statutory exemption for mergers and acquisition brokers.  15 U.S.C. §...more

Do These 2022 Legislative Changes Require A Bylaw Refresh?

During the 2021-2022 legislative session, the California Secretary of State sponsored legislation, 2022 Cal. Stats. ch. 617, making numerous changes to the Corporations Code in anticipation of the implementation of its...more

Nevada Enacts Law Permitting Correction Of Erroneous Corporate Filings

In Chapter 9 of James Joyce's Ulysses, Stephen Dedalus proclaims "A man of genius makes no mistakes.  His errors are volitional and are the portals of discovery".  Alas, not every person filing a corporate record is a "man of...more

How Many Offices Must A California LLC Have?

The California Revised Uniform Limited Liability Company Act contemplates requires that a California LLC have at least two types of offices - a principal office and a designated office....more

This Amendment To An LLC's Articles Of Organization Is Strictly Verboten!

The California Revised Uniform Limited Liability Company Act requires that the articles of organization include several prescribed statements, including the street address of the limited liability company's initial principal...more

What Can Be Done If You Believe That You Were Improperly Appointed An Officer Or Director

On occasion, someone might perceive that they have been improperly  appointed as a director or officer of a corporation.  If this unfortunate circumstance occur, is there any mechanism for publicly disclaiming the...more

Can Your Corporation's Or LLC's Name Be An Emoji?

The word "emoji" is the romanization of two Japanese words (絵 and 文字) that together mean picture character.   Emojis essentially marry an ancient form of writing, pictography, to a modern technology, smart phones....more

Federal Court Rules California Board Quota Law Unconstitutional

A little over a year ago, I wrote that California Superior Court Judge Terry Green had found that AB 979 facially violates the Equal Protection Clause of the California Constitution,  Cal. Const. Art. I, § 7.  Crest v....more

California Proposes Its Own Corporate Transparency Act For Non-California Corporations And Limited Liability Companies

Earlier this week, Senator Melissa Hurtado amended her placeholding bill, SB 738, to flesh out her proposed Corporate Transparency Act.  As amended, the bill would require foreign corporations that register to transact...more

Government Censorship By Proxy?

Last week, I wrote about an unsuccessful challenge to the activities of the Office of Elections Cybersecurity within the California Secretary of State's office: Is The California Secretary of State Monitoring What You Publish...more

California Secretary Of State Inadvertently Releases Records Of Forced Sterilizations

The first law signed by California's first Governor, Peter Burnett, was the The Act Concerning the Public Archives (Chapter 1, Statutes of 1850). The act instructed the Secretary of State, William Van Voorhies, to classify...more

Is The California Secretary of State Monitoring What You Publish Online?

In 2018, the California legislature established a "ministry of truth" within the California Secretary of State's office - the Office of Elections Cybersecurity.  By statute, the OEC has a duty “to monitor and counteract false...more

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