Tennessee House Bill HB0964

Tennessee 2023-2024 Regular Session

• Introduced: 1/30/23
• Refer: 2/2/23
• Refer: 2/14/23
• Refer: 2/21/23
• Refer: 3/1/23
• Refer: 3/7/23
• Chaptered: 4/18/23
• Passed: 4/18/23

Caption

AN ACT to amend Tennessee Code Annotated, Title 61, relative to limited partnerships.

Impact

The bill's provisions grant domestic and foreign limited partnerships the flexibility to operate under assumed names, providing clarity on how these names can be adopted and changed. These partnerships will be required to file an application with the Secretary of State, detailing their true name, jurisdiction of formation, and the proposed assumed name. This legislative change is anticipated to streamline the business registration process, making it easier for partnerships to communicate branding and operational identity without the constraint of their legal names. Additionally, it includes provisions for the renewal of assumed names every five years, maintaining an updated business identity in state records.

Summary

House Bill 0964 aims to amend Tennessee Code Annotated, Title 61, specifically targeting provisions related to limited partnerships. The legislation introduces the concept of an 'assumed name', which is defined as any name used by a domestic or foreign limited partnership that differs from their official name. This amendment is significant as it allows limited partnerships to adopt alternative names to facilitate business operations while ensuring they remain compliant with state regulations. The introduction of these provisions is considered to modernize and simplify the business process for partnerships operating within Tennessee.

Sentiment

The sentiment surrounding HB 0964 appears generally positive among business-oriented stakeholders who view these changes as beneficial for fostering a more flexible business environment. Proponents argue that simplifying the approval process for assumed names would not only enhance operational branding but also attract more partnerships to register within Tennessee. However, there may be concerns regarding the enforcement of these provisions and the implications for public knowledge of business identities, though these points have not generated significant public opposition thus far.

Contention

Notable points of contention include the potential implications for transparency in business operations, as allowing partnerships to operate under assumed names could obscure the identities of the true entities behind a business. Critics may argue that this could make it more challenging for consumers and regulators to ascertain ownership and accountability. Yet, the balance achieved through required filings with the Secretary of State aims to alleviate these concerns, ensuring that while businesses can operate under different names, their official identities remain accounted for in state records.