§ 4-502
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/md/corporations-and-associations/4-502·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
§4–502.
A close corporation may not have outstanding any:
(1)Securities which are convertible into its stock;
(2)Voting securities other than stock; or
(3)Options, warrants, or other rights to subscribe for or purchase any of its stock, unless they are nontransferable.