PARRIS N. GLENDENING, Governor

Ch. 36

7-302. COMPLIANCE WITH SUBTITLE REQUIRED.

WITH RESPECT TO A TRANSACTION SUBJECT TO THIS SUBTITLE, A PERSON
MUST COMPLY WITH ALL REQUIREMENTS OF THIS SUBTITLE BEFORE THE PERSON:

(1)      MAKES A TENDER OFFER FOR, INVITES TENDERS OF, ENTERS INTO
AN AGREEMENT TO EXCHANGE SECURITIES FOR, OR OTHERWISE ACQUIRES ANY
VOTING SECURITY OR SECURITY CONVERTIBLE INTO VOTING SECURITY OF A
DOMESTIC INSURER OR OF AN INSURANCE HOLDING COMPANY CONTROLLING A
DOMESTIC INSURER; OR

(2)      MAKES AN AGREEMENT TO MERGE WITH OR OTHERWISE TO
ACQUIRE CONTROL OF A DOMESTIC INSURER OR OF AN INSURANCE HOLDING
COMPANY CONTROLLING A DOMESTIC INSURER.

REVISOR'S NOTE: This section is new language derived without substantive
change from the first sentence of former Art. 48A, § 494(a).

In item (1) of this section, the former reference to a "request" for tenders is
deleted in light of the reference to "invites" tenders.

Defined terms: "Control" § 1-101
"Domestic insurer" § 1-101
"Insurance holding company" § 7-101
"Person" § 1-101

7-303. PRE-ACQUISITION NOTIFICATION.

(A)     FILING REQUIRED.

WITH RESPECT TO A TRANSACTION SUBJECT TO THIS SUBTITLE, A DOMESTIC
INSURER OR A PERSON CONTROLLING A DOMESTIC INSURER MUST FILE WITH THE
COMMISSIONER THE PRE-ACQUISITION NOTIFICATION REQUIRED UNDER SUBTITLE
4 OF THIS TITLE.

(B)     TIME OF FILING.

THE PRE-ACQUISITION NOTIFICATION MUST BE FILED AT LEAST 30 DAYS
BEFORE A TRANSACTION SUBJECT TO THIS SUBTITLE IS PROPOSED TO BECOME
EFFECTIVE.

(C)     EFFECTS OF FAILING TO FILE.

THE COMMISSIONER MAY IMPOSE SANCTIONS UNDER § 7-405 OF THIS TITLE
FOR FAILURE TO FILE THE INFORMATION REQUIRED UNDER SUBSECTION (A) OF
THIS SECTION.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 494(a)(1)(iii) and (iv).

In subsection (a) of this section, the limitation "[w]ith respect to a transaction
subject to this subtitle" is added for clarity and consistency.

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