Maryland § 6-103
Full text of Maryland Maryland Code § 6-103, with citation guidance and answers to common questions.
§ 6-103.
(a) This section applies only to public service companies that operate in Maryland.
(b) (1) A public service company may not:
(i) capitalize or issue bonds against or as lien on a contract for consolidation, merger, or lease; or
(ii) except as provided in paragraph (2) of this subsection, capitalize a franchise or the right to own a franchise.
(2) A public service company may capitalize a franchise or right to own a franchise in an amount not exceeding the amount, exclusive of any tax or annual charge, actually paid to the State or a political subdivision as consideration for the grant of the franchise or right.
(c) The stated capital, as determined under Title 2, Subtitle 3 of the Corporations and Associations Article, of a public service company formed by a merger or consolidation of corporations may not exceed, solely by virtue of the merger or consolidation, the stated capital of the corporations merged or consolidated plus any additional sum paid in cash.
(d) (1) This subsection does not apply to the capitalization of a franchise to be a public service company.
(2) Notwithstanding any other provision of this article, the Commission may approve the capitalization of tangible and intangible property of:
(i) a newly chartered public service company; or
(ii) a public service company organized or reorganized by the purchaser of the franchise and property of its predecessor at a sale under judicial proceedings, mortgage, or deed of trust.
(3) Capitalization under paragraph (2) of this subsection shall be in the amount and form that the Commission considers reasonably necessary to enable the public service company to obtain the capital necessary to establish itself as a going concern.
Frequently Asked Questions About Maryland § 6-103
What does Maryland Code § 6-103 cover?
Section 6-103 is part of the Maryland Code, the codified statutory law of Maryland. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Maryland § 6-103?
A common citation format is "Maryland Code § 6-103" (Maryland). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Maryland law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Maryland official source linked on this page or consult a licensed Maryland attorney.
How does Maryland § 6-103 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Maryland can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Maryland.