01/11/2025
DO YOU KNOW THAT SCHOOL OWNERS OR PROPRIETORS NEED MORE THAN JUST BUSINESS NAMES TO CONFER CORPORATE PERSONALITY ON THEIR ESTABLISHMENTS?
Now let's see what the law says👌
On March 4, 2022, the CAC directed that schools, academies, and similar institutions can no longer be registered as business names because such institutions require corporate attributes—perpetual succession, capacity to contract, and ability to issue certificates—which business names lack.
Under Section 814 CAMA 2020, business-name registration only recognizes the name, while Section 818 CAMA 2020 confirms that it does not confer corporate personality, nor the ability to sue or be sued in that name.
Since educational institutions must possess corporate personality, Section 41 CAMA 2020 makes company incorporation the proper structure, granting perpetual succession and capacity to sue or be sued and issue certificates.
Accordingly, new schools must register as companies, and existing ones registered as business names should upgrade.