Home Table of Contents

§ 9-206. Corporate officer or limited liability company member

West's Annotated Code of MarylandLabor and EmploymentEffective: April 9, 2013

West's Annotated Code of Maryland
Labor and Employment
Title 9. Workers' Compensation (Refs & Annos)
Subtitle 2. Covered Employees and Employers (Refs & Annos)
Effective: April 9, 2013
MD Code, Labor and Employment, § 9-206
§ 9-206. Corporate officer or limited liability company member
Currentness
In general
(a) Subject to subsection (b) of this section, an officer of a corporation or a member of a limited liability company is a covered employee if the officer or member provides a service for the corporation or limited liability company for monetary compensation.
Election to be exempt
(b) An individual who otherwise would be a covered employee under this section may elect to be exempt from coverage if:
(1) the individual:
(i) is an officer of a close corporation, as defined in § 4-101(b) of the Corporations and Associations Article; or
(ii) is an officer of a close corporation, as defined under the laws of the jurisdiction in which the corporation is incorporated;
(2) subject to subsection (c)(3) of this section, the individual is an officer of a corporation, other than a close corporation;
(3) the individual:
(i) is an officer of a corporation that earns at least 75% of its income from farm operations; and
(ii) owns at least 20% of the outstanding capital stock of the corporation;
(4) the individual:
(i) is an officer of a professional corporation, as defined in § 5-101(c) or (f) of the Corporations and Associations Article;
(ii) owns at least 20% of the outstanding capital stock of the corporation; and
(iii) performs for the corporation a professional service, as defined in § 5-101(g) of the Corporations and Associations Article; or
(5) the individual:
(i) is a member of a limited liability company, as defined in § 4A-101(k) of the Corporations and Associations Article; and
(ii) owns at least 20% of the outstanding interests in profits of the limited liability company.
Notice of election
(c)(1) A corporation or limited liability company shall submit to the Commission and to the insurer of the corporation or limited liability company a written notice that names the individual who has made an election to be exempt under subsection (b) of this section.
(2) An election under subsection (b)(1) or (b)(4) of this section is not effective until a corporation or limited liability company complies with this subsection.
(3) No more than five officers of a corporation described in subsection (b)(2) of this section may elect to be exempt under subsection (b) (2) of this section.
Regulations
(d) The Commission shall adopt regulations to carry out this section.

Credits

Added by Acts 1991, c. 8, § 2, eff. Oct. 1, 1991. Amended by Acts 1992, c. 536; Acts 1996, c. 437, § 1, eff. Oct. 1, 1996; Acts 2010, c. 669, § 1, eff. Oct. 1, 2010; Acts 2013, c. 43, § 1, eff. April 9, 2013.
Formerly Art. 101, §§ 21, 67.
MD Code, Labor and Employment, § 9-206, MD LABOR & EMPLY § 9-206
Current with legislation effective through October 1, 2024, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
End of Document