Section 5-6 - C-01. Definitions. - Maryland Statutes

§ 5-6C-01. Definitions.
 

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

(b)  Benefit corporation.- " Benefit corporation" means a Maryland corporation that elects to be a benefit corporation in accordance with § 5-6C-03 of this subtitle and has not ceased to be a benefit corporation through the operation of § 5-6C-04 of this subtitle. 

(c)  General public benefit.- "General public benefit" means a material, positive impact on society and the environment, as measured by a third-party standard, through activities that promote a combination of specific public benefits. 

(d)  Specific public benefit.- "Specific public benefit" includes: 

(1) Providing individuals or communities with beneficial products or services; 

(2) Promoting economic opportunity for individuals or communities beyond the creation of jobs in the normal course of business; 

(3) Preserving the environment; 

(4) Improving human health; 

(5) Promoting the arts, sciences, or advancement of knowledge; 

(6) Increasing the flow of capital to entities with a public benefit purpose; or 

(7) The accomplishment of any other particular benefit for society or the environment. 

(e)  Third-party standard.- "Third-party standard" means a standard for defining, reporting, and assessing best practices in corporate social and environmental performance that: 

(1) Is developed by a person or entity that is independent of the benefit corporation; and 

(2) Is transparent because the following information about the standard is publicly available or accessible: 

(i) The factors considered when measuring the performance of a business; 

(ii) The relative weightings of those factors; and 

(iii) The identity of the persons who developed and control changes to the standard and the process by which those changes were made. 
 

[2010, chs. 97, 98.]