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§ 3-414. Appointment of receiver, involuntary dissolution

West's Annotated Code of MarylandCorporations and Associations

West's Annotated Code of Maryland
Corporations and Associations
Title 3. Corporations in General--Extraordinary Actions (Refs & Annos)
Subtitle 4. Dissolution
MD Code, Corporations and Associations, § 3-414
§ 3-414. Appointment of receiver, involuntary dissolution
Currentness
Scope of section
(a) This section applies to any proceeding for involuntary dissolution of a corporation, except one brought under § 3-413(c) of this subtitle on grounds of insolvency.
Action by court
(b) In a proceeding for the involuntary dissolution of a corporation, after notice and hearing, the court:
(1) May appoint one or more temporary receivers or trustees to take charge of the assets and operate the business of the corporation, if necessary or proper to preserve them, pending a final determination as to dissolution; and
(2) Shall determine whether the corporation should be dissolved.
Dissolution
(c) If it appears that the corporation should be dissolved, the court shall enter a final order dissolving the corporation, and direct that it be liquidated under court supervision by one or more receivers appointed by it.
Powers of receiver or trustee
(d) A receiver, temporary receiver, or trustee has all the powers of a receiver provided in this subtitle and any other powers provided in the order of the court, including the power to continue the corporate business.
Powers of court
(e) If it orders dissolution, the court may provide by order:
(1) For the distribution in kind of the assets of the corporation to the stockholders; or
(2) For some stockholders to receive assets of a different nature than other stockholders having the same type of interest.

Credits

Added by Acts 1975, c. 311, § 2, eff. July 1, 1975.
Formerly Art. 23, § 79A.
MD Code, Corporations and Associations, § 3-414, MD CORP & ASSNS § 3-414
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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