PHJim, right, that is an even "folkier" way of using Cmaj7.
I invented my harmonization of 17 Feb 14 - 04:06 AM to answer the additional challenge of using Cmaj7/G. As you now see, your statement of 11 Feb 14 - 01:55 AM does not hold water if taken literally, though it is principally correct, of course.
Traditional harmonic theory would interpret the dissonances as "passing notes", not as members of chords. Thus, we cheated.
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