3232                                          LAWS OF MARYLAND                                      Ch. 833

(I)  OWNS AN EQUITABLE INTEREST, INCLUDING A
COOPERATIVE INTEREST, IN A UNIT PRIOR TO ITS INITIAL SALE TO A
MEMBER OF THE PUBLIC;

(II) IS AN OFFICER OR DIRECTOR OF A COOPERATIVE
HOUSING CORPORATION BEFORE THE INITIAL SALE OF A COOPERATIVE
INTEREST TO A MEMBER OF THE PUBLIC;

(II) EXERCISES CONTROL OVER COOPERATIVE
INTERESTS BEFORE THEY ARE TRANSFERRED TO INITIAL PURCHASERS,
EXCLUDING MANAGEMENT AGENTS AND SALES AGENTS ACTING IN THEIR
CAPACITIES AS SUCH; OR

(III)  RECEIVES A MATERIAL PORTION OF THE SALES
PROCEEDS, NOT INCLUDING CUSTOMARY BROKERAGE COMMISSIONS OR
PAYMENT FOR INDEBTEDNESS TO AN INSTITUTIONAL BANKER, FROM THE
INITIAL SALE OF A COOPERATIVE INTEREST TO A MEMBER OF THE PUBLIC;
OR

(IV) BEARS A RELATIONSHIP SPECIFIED IN SECTION
267(B) OR SECTION 707(B)(1) OF THE INTERNAL REVENUE CODE TO A
PERSON DESCRIBED IN THIS SUBSECTION.

(2) "DEVELOPER" DOES NOT INCLUDE A COOPERATIVE
HOUSING CORPORATION.

(J) "INITIAL PURCHASER" MEANS A MEMBER OF THE PUBLIC, NOT
AN AFFILIATE OF OR A SUCCESSOR TO THE DEVELOPER, WHO, FOR VALUE,
ACQUIRES A COOPERATIVE INTEREST AS PART OF THE INITIAL SALE OF A
COOPERATIVE INTEREST WHICH IS USED FOR RESIDENTIAL PURPOSES.

(K) "INITIAL SALE" MEANS THE FIRST TRANSFER OF A
COOPERATIVE INTEREST TO AN INITIAL PURCHASER.

(L) "MEMBER" MEANS A PERSON WHO OWNS A COOPERATIVE
INTEREST.

(M) "MEMBERSHIP CERTIFICATE" MEANS:

(1)  A DOCUMENT, INCLUDING A STOCK CERTIFICATE ISSUED
BY A COOPERATIVE HOUSING CORPORATION, EVIDENCING OWNERSHIP OF A
COOPERATIVE INTEREST; OR

(2)  IF THERE IS NO OTHER DOCUMENT WHICH SATISFIES
PARAGRAPH (1) OF THIS SUBSECTION, A PROPRIETARY LEASE.

(N) "MOVING EXPENSES" MEANS COSTS INCURRED TO:

(1)  HIRE CONTRACTORS, LABOR, TRUCKS, OR EQUIPMENT FOR
THE TRANSPORTATION OF PERSONAL PROPERTY;

(2)  PACK AND UNPACK PERSONAL PROPERTY;

(3)  DISCONNECT AND INSTALL PERSONAL PROPERTY;