Hello.
I am using the edit object actuator, and using it to spawn in Objects.
Of-course the issue I have with this is whenever there are 2 or more of the same object the game gets confused because I have two identical instances.
For example, I am using the mouse over any hitObject function. I point my mouse over my second instance but it detects only the first.
What I want to know is if it is possible to change the objects name upon spawn, or some method to define my objects as two completely separate instances.
The game does not get confused - you get confused. You do not gt two identical instances. You get two separate instances with equal name.
Two persons are not necessarily identical because they have equal names ;).
Do not cure the symptom, cure the cause.
Cause
You stepped into the beginners trap: You think of names not of objects.
Names are just strings. They are just helpers that (if well chosen) help you as human being to guess what the object they represent is good for. The BGE works with the objects. To confuse you (and others) the BGE returns the object name when performing a print() operation on a KX_GameObject.
KX_GameObjects are not strings and No, you can’t convert strings into KX_GameObjects. To confuse you even more you can use names to lookup the scene and the syntax does not deal with ambiguous object names (scene.objects[name]).
What is the conclusion of this: Do not rely on the object names as much as you can.
If you do (e.g. on save/load operations) make sure you can handle all situations (no object, one object, multiple object with the same name)
Your issue
Now you can argue this does not help you any further. Here is the hint to your problem: check the API doc for hitObject. If you do not get what I mean, recap what I wrote about names and read the documentation again.
I’m pretty sure after reading it the fifth time you will say “D’oh!” (or something similar) ;).