(a) A corporation may lend money to, guarantee an obligation of, or otherwise assist an officer or other employee of the corporation or of its direct or indirect subsidiary, including an officer or employee who is a director of the corporation or the subsidiary, if the loan, guarantee, or assistance:
(1) In the judgment of the directors, reasonably may be expected to benefit the corporation; or
(2) Is an advance made against indemnification in accordance with § 2-418(f) of this subtitle.
(b) The loan, guarantee, or other assistance may be:
(1) With or without interest;
(2) Unsecured; or
(3) Secured in any manner that the board of directors approves, including a pledge of the stock of the corporation.
Structure Maryland Statutes
Title 2 - Corporations in General -- Formation, Organization, and Operation
Subtitle 4 - Directors and Officers
Section 2-401 - Function of Directors
Section 2-402 - Number of Directors
Section 2-403 - Qualifications of Directors and Nominees for Director
Section 2-404 - Election and Tenure of Directors
Section 2-405 - Directors Holding Over
Section 2-405.1 - Standard of Care Required of Directors
Section 2-405.2 - Corporate Limitations on Director Liability
Section 2-405.3 - When Director of Investment Company Deemed Independent and Disinterested
Section 2-406 - Removal or Resignation of Director
Section 2-407 - Vacancy on Board
Section 2-408 - Action by Directors
Section 2-409 - Meetings of Directors
Section 2-410 - Dissent of Director to Action of Board
Section 2-411 - Executive and Other Committees
Section 2-412 - Required and Permitted Officers
Section 2-413 - Election, Tenure, and Removal of Officers
Section 2-414 - Powers and Duties of Officers and Agents
Section 2-415 - Holding More Than One Office
Section 2-416 - Financial Assistance to Officers and Employees
Section 2-418 - Indemnification of Directors, Officers, Employees, and Agents