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2. Use of controversial terms |
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The role of charity in society includes helping the disadvantaged as well as advancing education in areas some might think are dubious. As such we should uphold a charity's right to have a name which properly reflects its purposes even where those purposes might not meet with widespread approval - or might even be viewed as offensive in some quarters. |
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However a charity's name should not be so capable of being misinterpreted as to allow for two or more meanings one of which might be likely to confuse the work of the charity in the public mind and which might also suggest a non-charitable or immoral activity. |
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There is for instance no particular objection to the use of a term such as "prostitution" in a charity's name. In one example however it was not considered satisfactory for the name Prostitution Working Group to go on our Register because of the lack of clarity in the title. |
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We are not of course suggesting that a charity's name should routinely reflect its purposes. Rather where descriptive terms are used in controversial areas there should be a sufficiently clear relationship between the name and the purposes and/or activities as to dispel anxiety that any morally dubious or illegal activity or anything contrary to the "good name of charity" or to public policy is being promoted. |
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In the case of a charitable company we should not place a name alteration on our Register without a sight of the certificate of change of name (or a certified copy of it). |
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However staff are alerted to the possibility of promoters of charitable companies using initials to satisfy Companies House objections to a name. There may be no legal grounds for Companies House to object to this approach provided the initials are not duplicated elsewhere on the Companies Register and are not otherwise offensive (ie they do not form a vulgar acronym or abbreviation). |
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We are legally entitled to take a different view from that of the Secretary of State for Trade and Industry (Companies House is an executive agency of the DTI) as to whether the name of a particular charitable company is offensive. There may be circumstances where we consider it is unacceptable for a charity to make use of initials that represent a name we have not approved (as in the case of PWG for Prostitution Working Group). The fact that a charitable company has been registered by the Registrar of Companies does not prevent us from directing a change of name on the basis that we consider it offensive even though it complies with company law. |
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Legal advice should always be taken before directing a charitable company to change its name in these circumstances. |
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Further advice on company names is contained in OG 18 C5 and in Companies House guidance booklet GBF2 Company Names. |