HBLB Business and Law Practice Test 2025 – Comprehensive Exam Prep

A sole proprietor typically needs to file for a "doing business as" (DBA) name if they wish to operate under a name different from their legal personal name. This filing helps to confirm the business identity and ensure the name isn't already in use by another entity, providing legal recognition of the DBA.

However, the requirement to reserve or register a DBA name is not universally mandated across all states. In some jurisdictions, registration may be necessary, while in others, it may not be required at all. Therefore, while the statement about needing to file to reserve the DBA name can be true in certain contexts and locations, it is also accurate that this is not a blanket requirement applicable in all cases.

Given that the answer suggests that the requirement is false, it emphasizes the variability of the rules governing DBA registrations across different states.