1774

LAWS OF MARYLAND

[Ch. 311

REVISOR'S NOTE: This section is new language derived
without substantive change from Art. 11, §70,
except the last paragraph which is included in
§6-117(c) of this subtitle.

The provisions for voting rights of preferred
stock, presently in Art. 11, § 69, are
included in §6—121(f) of this subtitle.

The term "debt instrument" is defined in
§6-101(e) of this subtitle.

The provisions of present §70 as they relate
to trust companies are included in §§6—138(c)
and 6—146 of this subtitle.

6-126. MANAGEMENT OF BANK.

(A)   DIRECTORS; QUORUM.

(1)      THE BOARD OF DIRECTORS OF A STATE BANK
SHALL MANAGE ITS AFFAIRS.

(2)         A MAJORITY OF THE BOARD OF DIRECTORS
CONSTITUTES A QUORUM.

(B)       BEFORE ELECTION OF DIRECTORS.

BEFORE THE ELECTION OF THE BOARD OF DIRECTORS, THE
MANAGEMENT OF THE AFFAIRS OF EACH STATE BANK SHALL
CONFORM, TO THE EXTENT APPLICABLE, TO THE GENERAL
CORPORATION LAW RELATING TO MANAGEMENT OF A CORPORATION.

REVISOR'S NOTE: This section is new language derived
without substantive change from the first two
sentences of Art. 11, §34 and from Art. 11, §
32.

6-127. DIRECTORS - NUMBER; QUALIFICATIONS; OATH; TENURE;
ELECTIONS; VACANCY.

(A)   NUMBER.

EACH STATE BANK SHALL HAVE AT LEAST FIVE AND NOT
MORE THAN 30 DIRECTORS.

(B)   QUALIFICATIONS.

(1)    A MAJORITY OF THE DIRECTORS SHALL BE
RESIDENTS OF THE STATE.

(2)   EACH DIRECTOR SHALL OWN IN GOOD FAITH AND
IN HIS NAME UNENCUMBERED SHARES OF CAPITAL STOCK OF THE
STATE BANK OR OF A CORPORATION WHICH OWNS MORE THAN 80