(a) 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) (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.
Structure Maryland Statutes
Title 4A - Limited Liability Company Act
Subtitle 2 - Formation and Powers
Section 4A-203.1 - Authority of Regulatory Bodies Which License Professionals Not Restricted
Section 4A-204 - Articles of Organization
Section 4A-205 - Certificate of Correction
Section 4A-206 - Execution of Articles and Certificates
Section 4A-207 - Filing With the Department
Section 4A-209 - Reservation of Name; Transfer of Reserved Name
Section 4A-210 - Principal Office and Resident Agent
Section 4A-212 - Conversion of Individual Proprietorship to Limited Liability Company
Section 4A-213 - Effect of Converting Partnership to Limited Liability Company