The bill seeks to enhance the integrity of business registrations by invalidating articles of incorporation for cooperative associations, nonprofit corporations, and both foreign and in-state business corporations if they contain the name or address of a non-existent person or one not affiliated with the entity. It establishes that such invalid filings will be classified as a misdemeanor, and the Secretary of State is mandated to revoke the registration of any association or corporation found to have submitted invalid articles. Key amendments to Chapter 53 NMSA 1978 include the explicit declaration that articles containing non-existent names or addresses are invalid, and the requirement for the Secretary of State to act upon proof of invalidity.

Additionally, the bill modifies the process for filing articles of amendment and applications for certificates of authority, specifying that the certificate of amendment must be returned to the corporation by the Secretary of State, replacing previous references to the commission. It also stipulates that applications for a certificate of authority are invalid if they include non-affiliated names or addresses, with similar penalties for individuals responsible for such filings. The provisions of this act are set to take effect on July 1, 2025.

Statutes affected:
introduced version: 53-4-6, 53-8-32, 53-10-1, 53-11-11, 53-11-13, 53-12-3, 53-13-5, 53-17-6