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§ 3-707. Redemption of control shares

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 7. Voting Rights of Certain Control Shares
MD Code, Corporations and Associations, § 3-707
§ 3-707. Redemption of control shares
Currentness
In general
(a) Unless the charter or bylaws provide otherwise, if an acquiring person statement has been delivered on or before the 10th day after the control share acquisition, the corporation may, at its option, redeem any or all control shares, except control shares for which voting rights have been previously approved under § 3-702 of this subtitle, at any time during a 60-day period commencing on the day of a meeting at which voting rights are considered under § 3-704 of this subtitle and are not approved.
Redemption during specific time
(b) In addition to the redemption rights authorized under subsection (a) of this section, unless the charter or bylaws provide otherwise, if an acquiring person statement has not been delivered on or before the 10th day after the control share acquisition, the corporation may, at its option, redeem any or all control shares, except control shares for which voting rights have been previously approved under § 3-702 of this subtitle, at any time during a period commencing on the 11th day after the control share acquisition and ending 60 days after a statement has been delivered.
Redemption for fair value of the shares
(c) Any redemption of control shares under this section shall be at the fair value of the shares. For purposes of this section, “fair value” shall be determined:
(1) As of the date of the last acquisition of control shares by the acquiring person in a control share acquisition or, if a meeting is held under § 3-704 of this subtitle, as of the date of the meeting; and
(2) Without regard to the absence of voting rights for the control shares.

Credits

Added by Acts 1989, c. 51.
MD Code, Corporations and Associations, § 3-707, MD CORP & ASSNS § 3-707
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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