1966

LAWS OF MARYLAND

[Ch. 311

CORPORATE ASSETS IN CONSIDERATION OF THE ISSUANCE OF
SECURITIES OF ANOTHER CORPORATION; OR

(4)        ANY ACT INCIDENT TO A JUDICIALLY

APPROVED REORGANIZATION IN WHICH A SECURITY IS ISSUED:

(I)       IN EXCHANGE FOR ONE OR MORE OUTSTANDING
SECURITIES, CLAIMS, OR PROPERTY INTERESTS; OR

(II)       PARTLY IN SUCH EXCHANGE AND PARTLY FOR
CASH.

(B)       LIMITATION OF "FRAUD," "DECEIT," AND "DEFRAUD."

AS USED IN THIS TITLE, "FRAUD," "DECEIT," AND
"DEFRAUD" ARE NOT LIMITED TO COMMON-LAW DECEIT.

(C)       SECURITIES GIVEN WITH OR AS BONUS FOR PURCHASE
OF SECURITIES.

ANY SECURITY GIVEN OR DELIVERED WITH OR AS A BONUS
ON ACCOUNT OF ANY PURCHASE OF SECURITIES OR AMY OTHER
THING IS CONSIDERED TO CONSTITUTE PART OF THE SUBJECT OF
THE PURCHASE AND TO HAVE BEEN OFFERED AND SOLD FOR VALUE.

(D)      GIFT OF ASSESSABLE STOCK.

A PURPORTED GIFT OF ASSESSABLE STOCK IS CONSIDERED
TO INVOLVE AN OFFER AND SALE.

(E)  SALE OR OFFER OF A WARRANT OR RIGHT.

EVERY SALE OR OFFER OF A WARRANT OR RIGHT TO
PURCHASE OR SUBSCRIBE TO ANOTHER SECURITY OF THE SAME OR
ANOTHER ISSUER AND EVERY SALE OR OFFER OF A SECURITY
WHICH GIVES THE HOLDER A PRESENT OR FUTURE RIGHT OR
PRIVILEGE TO CONVERT INTO ANOTHER SECURITY OF THE SAME OR
ANOTHER ISSUER IS CONSIDERED TO INCLUDE AN OFFER OF THE
OTHER SECURITY.

REVISOR'S NOTE: This section presently appears as
Art. 32A, § 25(d) and (j) (3) through (6).

The only changes are technical changes in
style.

SUBTITLE 2. DIVISION OF SECURITIES.

11-201. ADMINISTRATION OF TITLE.
(A) DIVISION OF SECURITIES.

THIS
SECURITIES

TITLE SHALL BE ADMINISTERED BY THE DIVISION OF
WHICH IS CREATED AND CONTINUED AS A DIVISION