§ 4-603. Stockholders' right to avoid dissolution
West's Annotated Code of MarylandCorporations and Associations
MD Code, Corporations and Associations, § 4-603
§ 4-603. Stockholders' right to avoid dissolution
(a) Any one or more stockholders who desire to continue the business of a close corporation may avoid the dissolution of the corporation or the appointment of a receiver by electing to purchase the stock owned by the petitioner at a price equal to its fair value.
(b)(1) If a stockholder who makes the election is unable to reach an agreement with the petitioner as to the fair value of the stock, then, if the electing stockholder gives bond or other security sufficient to assure payment to the petitioner of the fair value of the stock, the court shall stay the proceeding and determine the fair value of the stock.
(c) After the fair value of the stock is determined, the order of the court directing the purchase shall set the purchase price and the time within which payment shall be made. The court may order other appropriate terms and conditions of sale, including:
(d) The petitioner:
(e) The costs of the proceeding, as determined by the court, shall be divided between the petitioner and the purchasing stockholder. The costs shall include the reasonable compensation and expenses of appraisers, but may not include fees and expenses of counsel or of other experts retained by a party.
Credits
Added by Acts 1975, c. 311, § 2, eff. July 1, 1975.
Formerly Art. 23, § 109.
MD Code, Corporations and Associations, § 4-603, MD CORP & ASSNS § 4-603
Current through legislation effective through April 25, 2024, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
End of Document |