First American Bank v. Shivers

HARRELL, Judge.

This appeal presents a statutory interpretation question of first impression in Maryland: In what manner must a bank provide notice of the effective date of its merger with another bank to a shareholder who has objected to that merger, so that the shareholder may timely exercise his statutory right to receive the fair market value of his shares?

I

The Financial Institutions Article of the Annotated Code of Maryland contains specific provisions governing mergers of banks. Section 3-719 of the article sets forth the procedures that a stockholder who objects to an approved merger…