On 5 December 2012 the Government of the Republic of Lithuania adopted the Resolution No. 1452 on the amendment of the Resolution “On Establishing the Register of Legal Entities and Approving the Regulations of the Register of Legal Entities” No. 1407 dated 12 November 2003. The Resolution No. 1452 came into force as of 1 May 2013 and prescribes that the name of a legal entity must meet the norms of standard Lithuanian language.
The aforementioned Resolution provides that the Registrar of the Register of Legal Entintities (VšĮ „Registrų centras“), having received an application to make a temporary entry of the name of a legal entity in the Register of Legal Entities, must seek the opinion of the State Commission of the Lithuanian Language on the compliance of the name in question with the norms of standard Lithuanian language. If within 6 working hours the State Commission of the Lithuanian Language comes to a conclusion that the name of the legal entity does not meet the norms of the standard Lithuanian language, the Registrar shall not be allowed to make a temporary entry of such name in the Register. Such conclusion of the State Commission of Lithuanian Language shall also restrict registering a legal entity with such name or registering the amended establishment documents with the changed name of the legal entity, if the name was not previously included in the Register.
Both previous and actual wording of the Resolution “On Establishing the Register of Legal Entities and Approving the Regulations of the Register of Legal Entities” No. 1407 provides, that the name of a legal entity, subsidiary or representative office must meet the requirements, stipulated in the Articles 2.39 and 2.40 of the Civil Code of the Republic of Lithuania and other legal acts. The Article 2.40 provides that the business name of a legal entity shall be composed by taking into consideration the norms of standard Lithuanian language norms. The same Article provides for an exclusion from the general rule: a business name of a legal entity may be composed only of letters, which may not be perceived as words and numerals or their combinations only in cases when such business name is customary in the society. It is also allowed to register a name of a legal entity without complying with the rules of the standard Lithuanian language if the legal entity is related to a foreign legal person or other organisation. Resolution No. 1407 also gives reference to this exception. The Law on State Language also provides that legal entities in Lithuania should be registered with Lithuanian names only.
The Resolution No. 1452 generally implemented the provision on the compliance of the names of legal entities with the norms of standard Lithuanian language which was originally stated in legal acts but was not previously applied in practice. However, the new order may cause much inconvenience when choosing a name for an affiliate of an existing Lithuanian legal entity or for a newly established company, planning to do business internationally.
The new wording of the Resolution No. 1407 can be found
here.
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