2902

LAWS OF MARYLAND

Ch. 775

(9)  Any security issued by any person organized and
operated:

(i) Not for private profit but exclusively for
religious, educational, benevolent, charitable, fraternal,
social, athletic, or reformatory purposes; or

(ii) As a chamber of commerce, local industrial
development corporation, or trade or professional
association;

(10)  Any commercial paper which arises out of a
current transaction or the proceeds of which have been or
are to be used for current transactions and which evidences
an obligation to pay cash within nine months of the date of
issuance, exclusive of days of grace, or any renewal of such
paper which is likewise limited, or any guarantee of such
paper or of any such renewal; [and]

(11)  Any investment contract OR OTHER SECURITY issued
[after June 1, 1962,] in connection with an employee's stock
purchase, savings, pension, profit-sharing, or similar
benefit plan if, IN THE CASE OF PLANS WHICH ARE NOT
QUALIFIED UNDER § 401 OF THE INTERNAL REVENUE CODE AND WHICH
PROVIDE FOR CONTRIBUTIONS BY EMPLOYEES, the Commissioner is
notified in writing 30 days before the inception of the plan
IN THIS STATE[.]; AND

(12)  ANY SECURITY TRADED PURSUANT TO THE NATIONAL
ASSOCIATION OF SECURITIES DEALERS AUTOMATED QUOTATIONS
(NASDAQ) SYSTEMS FOR WHICH THE COMMISSIONER, BY RULE OR
ORDER, HAS DETERMINED THAT REGISTRATION IS NOT NECESSARY FOR
THE PROTECTION OF INVESTORS.

11-602.

The following transactions are exempted from §§ 11-205
and 11-501 of this title:

(1)  Any isolated nonissuer transaction, whether
effected through a broker-dealer or not;

(2)  Any nonissuer distribution of an outstanding
security if:

(i) A recognized securities manual contains the
names of the officers and directors of the issuer, a balance
sheet of the issuer as of a date within 18 months, and a
profit and loss statement for either the fiscal year
preceding that date or the most recent year of operations;
or

(ii) The security has a fixed maturity or a
fixed interest or dividend provision and there has been no
default during the current fiscal year or within the three
preceding fiscal years, or during the existence of the
issuer and any predecessor if less than three years, in the