Section 212 - Conversion of individual proprietorship to limited liability company. - Maryland Statutes

§ 4A-212. Conversion of individual proprietorship to limited liability company.
 

(a)  Articles of organization.- An individual conducting a business as a proprietorship may convert the proprietorship to a limited liability company by filing articles of organization that meet the requirements of § 4A-204 of this subtitle and include the following: 

(1) The name of the individual who conducts the proprietorship; and 

(2) A description of the property comprising the business to be conducted by the limited liability company. 

(b)  Liability.-  

(1) An individual who becomes a member of a limited liability company as a result of the conversion remains liable for any obligation or liability of the individual incurred or arising before the conversion takes effect, to the extent that the individual would have been obligated or liable if the conversion had not occurred. 

(2) The individual's liability for all obligations and liabilities of the limited liability company incurred or arising after the conversion takes effect is that of a member of a limited liability company, as provided in this title. 
 

[1997, ch. 659, § 1.]