HARRY HUGHES, Governor

3491

(2) EACH PART OF THE PLAN THAT CONTAINS THE ARTICLES
OF INCORPORATION OF A NEW COOPERATIVE SHALL BE FILED SEPARATELY
AND RECORDED AS ARTICLES OF INCORPORATION FOR THE NEW
COOPERATIVE.

5-5A-26.

(A)  (1) ANY ENTITY OPERATING ON A COOPERATIVE BASIS AS OF
THE EFFECTIVE DATE OF THIS SUBTITLE MAY ELECT TO SECURE THE
BENEFITS OF AND BE BOUND BY THIS SUBTITLE.

(2)  IF THE ENTITY ELECTS TO SECURE THE BENEFITS OF
THIS SUBTITLE, IT SHALL AMEND ITS ARTICLES AND BYLAWS TO CONFORM
WITH THIS SUBTITLE.

(3)  CONSUMER COOPERATIVES ORGANIZED BEFORE JULY 1,
1985, SHALL BE CONSIDERED TO BE IN COMPLIANCE, EXCEPT THAT ANY
SUBSEQUENT AMENDMENTS TO THEIR ARTICLES OF INCORPORATION OR
BYLAWS SHALL CONFORM TO THIS SUBTITLE.

(B)  ALL CONSUMER COOPERATIVES ORGANIZED ON OR AFTER JULY 1,
1985, SHALL CONFORM TO THIS SUBTITLE.

5-5A-27.

THE FACT THAT ECONOMIC ACTIVITY OF A COOPERATIVE OR OF A
COOPERATIVE'S SUBSIDIARIES OR RELATED ENTITIES IS ORGANIZED UNDER
THIS SUBTITLE MAY NOT IN ITSELF CAUSE THE ACTIVITY TO BE
CONSIDERED A CONSPIRACY, A COMBINATION IN RESTRAINT OF TRADE, AN
ILLEGAL MONOPOLY, OR AN ATTEMPT TO LESSEN COMPETITION OR FIX
PRICES ARBITRARILY.

5-5A-28.

COOPERATIVE STOCK, MEMBERSHIP INTEREST, OR OTHER EVIDENCE OF
MEMBERSHIP CAPITAL IS NOT A SECURITY UNDER THE MARYLAND
SECURITIES ACT OR ANY LAW RELATED TO THAT ACT.

5-5A-29.

THE MARYLAND GENERAL CORPORATION LAWS ARE APPLICABLE TO
COOPERATIVES, EXCEPT TO THE EXTENT THAT THE MARYLAND GENERAL
CORPORATION LAW EXPRESSLY EXEMPTS COOPERATIVES OR IS CONTRARY TO
OR INCONSISTENT WITH THIS SUBTITLE.

5-5A-30.

THIS SUBTITLE MAY BE CITED AS THE "MARYLAND CONSUMER
COOPERATIVE ACT".

[Subtitle 6A. Consumer Cooperatives]

[5-6A-01.

(a) In this subtitle, the following words have the meanings
indicated.