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Use the same name as another band?

You can't possibly know this for sure. And in that, I think you proved his point.

I'll clarify that as, none of the names are taken by any bands with any kind of internet presence. IMO, if you don't have at the very least, a myspace or a domain name, you're not serious enough to be called a band. Some may disagree of course... And the names are unique enough that I could be 99% sure about half of them, without even doing a search.

That said, it really wouldn't bother me if our band picked a name that was shared by a folk band in Saskatoon that's only played one show to the old folks home. The significance of a band name is highly overrated.
 
Personally, I really like original band names. But, taking existing band names is fine, too, as long you're sure that both bands can't be mixed up. Means, if you play the same genre and/or live in the same region, I'd avoid it. Otherwise, it seems fine to me.