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HomeCorporations CodeCh. 22§ 2257 Unauthorized Corporate Name Use

§ 2257 Unauthorized Corporate Name Use

Corporations Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 2257 Unauthorized Corporate Name Use

This law says it's a crime to put someone's name in a company ad or announcement without permission, making people think that person works for or owns the company when they really don't.

Key Takeaways

  • •You must have permission before using someone’s name in any corporate advertisement or announcement.
  • •The false use must make people think the person is an officer, agent, shareholder, or promoter of the company.
  • •Doing this on purpose is a misdemeanor (a criminal offense).
  • •The rule applies to any kind of company, whether it already exists or is just being planned.

Example

A new tech firm prints flyers that say "Emily Smith, Chief Executive Officer" even though Emily never worked for the firm and never gave permission to use her name.

Because the firm used Emily's name without her okay and tried to make people believe she was an officer of the company, they broke the law.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 2257 Unauthorized Corporate Name Use

Every person who, without being authorized so to do, subscribes the name of another to or inserts the name of another in any prospectus, circular or other advertisement or announcement of any corporation, domestic or foreign, whether existing or intended to be formed, with intent to permit the document to be published and thereby to lead persons to believe that the person whose name is so subscribed is an officer, agent, shareholder or promoter of such corporation, when in fact no such relationship exists to the knowledge of such person, is guilty of a misdemeanor. (Added by Stats. 1975, Ch. 682.)

Last verified: January 10, 2026

Key Terms

misdemeanorprospectusadvertisementcorporationofficeragentshareholderpromoter

Related Statutes

  • § 8816 Unauthorized Corporate Name Use
  • § 12676 Unauthorized Name Use In Prospectus
  • § 22000 Unauthorized Name Use Fraud
  • § 2251 Fraudulent Securities Issuance Penalty
  • § 2254 Corporate Financial Fraud Prohibition

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Corporations Code. Section 2257.
View Official Source