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§ 5-6C-07. Duties of director

West's Annotated Code of MarylandCorporations and AssociationsEffective: April 14, 2015

West's Annotated Code of Maryland
Corporations and Associations
Title 5. Special Types of Corporations (Refs & Annos)
Subtitle 6c. Benefit Corporations (Refs & Annos)
Effective: April 14, 2015
MD Code, Corporations and Associations, § 5-6C-07
§ 5-6C-07. Duties of director
In general
(a) A director of a benefit corporation, in performing the duties of a director, including the director's duties as a member of a committee and in addition to the duties described in § 2-405.1 of this article:
(1) In determining what the director reasonably believes to be in the best interests of the benefit corporation, shall consider the effects of any action, or decision not to act, on:
(i) The stockholders of the benefit corporation;
(ii) The employees and workforce of the benefit corporation and the subsidiaries and suppliers of the benefit corporation;
(iii) The interests of customers as beneficiaries of the general or specific public benefit purposes of the benefit corporation;
(iv) Community and societal considerations, including those of any community in which offices or facilities of the benefit corporation or the subsidiaries or suppliers of the benefit corporation are located; and
(v) The local and global environment; and
(2) May consider any other pertinent factors or the interests of any other group that the director determines are appropriate to consider.
Beneficiary
(b) A director of a benefit corporation, in the performance of duties in that capacity, does not have any duty to a person that is a beneficiary of the public benefit purposes of the benefit corporation.
Immunity
(c) A director of a benefit corporation, in the reasonable performance of duties in accordance with the standard provided in this subtitle, shall have the immunity from liability described in § 5-417 of the Courts Article.

Credits

Added by Acts 2010, c. 97, § 1, eff. Oct. 1, 2010; Acts 2010, c. 98, § 1, eff. Oct. 1, 2010. Amended by Acts 2015, c. 22, § 1, eff. April 14, 2015.
MD Code, Corporations and Associations, § 5-6C-07, MD CORP & ASSNS § 5-6C-07
Current through legislation effective through May 9, 2024, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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