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State Statutes - Maryland - Article Legal Officials - (g10) - Section 45H
Maryland Statutes
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Section 45H

      (a)      The Corporation may not issue shares of stock, or declare or pay dividends.

      (b)      The Corporation may not itself:

            (1)      Participate in litigation unless the Corporation or a grantee is a party, or a grantee is representing an eligible client in litigation in which the interpretation of this subtitle or a guideline established by the Corporation under this subtitle is an issue;

            (2)      Under any provision of this subtitle, interfere with any attorney's professional responsibilities to clients established by the Code of Professional Conduct;

            (3)      Contribute or make available corporate funds or services to any political party or association, or the campaign of any candidate for public or party office;

            (4)      Compete directly or indirectly with any grantee named in § 45C(e) of this subtitle.

      (c)      No part of the net earnings of the Corporation shall inure to the benefit of any member, trustee or officer of the Corporation, or any private person, except that reasonable compensation may be paid for services actually rendered to or for the Corporation, and no member, trustee or officer of the Corporation, or any private person shall be entitled to share in the distribution of any of the corporate assets on dissolution of the Corporation.

      (d)      Except as provided and permitted under §§ 501(h) and 4911 of the Internal Revenue Code, no part of the activities of the Corporation shall be the carrying on of propaganda, or otherwise attempting to influence legislation, and the Corporation shall not participate in or intervene in (including the publication or distribution of statements) any political campaign on behalf of any candidates for public office.

      (e)      Notwithstanding any other provisions of this subtitle, the Corporation shall not conduct or carry on any activities not permitted to be conducted or carried on by an organization qualified under § 501(c)(3) of the Internal Revenue Code or by an organization, contributions to which are deductible under § 170(c)(2) thereof.

      (f)      In the event of the liquidation, dissolution or winding up of the Corporation in any manner or for any reason whatever, all of the assets of the Corporation after the payment of the obligations and liabilities of the Corporation shall be transferred to one or more corporations or associations having a similar or analogous character or purpose as may be selected by the Corporation's trustees; provided, further, however, that any transferee corporation shall qualify under the provisions of § 501(c)(3) of the Internal Revenue Code.


 
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