MARVIN MANDEL, Governor

1907

Subsection (b) of this section is new language
derived without substantive change from Art.
78C, §§ 3, 2(b) , and 2(e). Because of the
general application of the present language to
this entire title, it is placed here.

The cited sections of the Internal Revenue
Code are presently contained in 26 U.S.C.,
§§856 et seq.

SUBTITLE 2. FORMATION AND QUALIFICATION.

8-201. COMPLIANCE REQUIRED.

A REAL ESTATE INVESTMENT TRUST MAY NOT [[CARRY ON]]
DO BUSINESS IN THE STATE UNTIL IT COMPLIES WITH THIS
TITLE.

REVISOR'S NOTE: This section is new language derived
without substantive change from the third
sentence of Art. 78C, §2 (a).

The Commission notes that present Art. 78C
fails adequately to distinguish which of its
provisions apply to both Maryland real estate
investment trusts formed under this title and
foreign real estate investment trusts desiring
to qualify to do business in the State, and
which of its provisions apply only to one or
the other.

8-202. DECLARATION OF TRUST.

(A)   DECLARATION TO BE FILED.

A REAL ESTATE INVESTMENT TRUST SHALL FILE ITS
DECLARATION OF TRUST FOR RECORD WITH THE DEPARTMENT.

(B)   CONTENTS OF THE DECLARATION OF TRUST.
THE DECLARATION OF TRUST SHALL;

(1)   INDICATE CLEARLY THAT THE TRUST IS A REAL
ESTATE INVESTMENT TRUST;

(2)    STATE THE TOTAL NUMBER OF SHARES WHICH
THE REAL ESTATE INVESTMENT TRUST HAS AUTHORITY TO ISSUE;

(3)     PROVIDE FOR AN ANNUAL MEETING OF
SHAREHOLDERS AFTER THE DELIVERY OF THE ANNUAL REPORT, AT
A CONVENIENT LOCATION AND ON PROPER NOTICE;

(4)         PROVIDE FOR THE ELECTION OF TRUSTEES AT

LEAST EVERY THIRD YEAR AT AN ANNUAL MEETING OF