Allam is attempting to rebrand the club as Hull Tigers in order to increase their commercial appeal, but the FA is set to block the proposal.
The governing body released a statement following a meeting last Wednesday in which the membership committee had made the recommendation to reject the request to the FA council after “consultation with stakeholders within and outside of the game”.
The statement added that a full vote would take place on April 9.
Allam responded by again insisting his intention to walk away from the club should his plan fail, but denied he would liquidate the club.
He also revealed he is planning to ask Hull City’s season ticket holders to vote on the issue.
“We will announce a ballot this week, and we will challenge the decision,” he said.
“If the FA does not allow our plan, we will walk away, put it on the market to sell the club. We would not put it into liquidation; there is a lot of money at stake. I will get my money when I sell.”