Study On The Legal System Of Stock Repurchase

Stock repurchase is a common capital operating instrument in major market economy countries and districts in which there is a mature legislation of stock repurchase. But stock repurchase is still a new thing in China in which the legislation of stock repurchase is just in primitive level. In recent years, there are some remarkable changes in legislation of stock repurchase both in China and abroad. This article will analyze the reason of the changes of the legislation of stock repurchase in abroad, in order to seek the rule which can be used as reference for the legislation of China. Meanwhile, this article will analyze the problems and deficiencies both in legislation and practice of stock repurchase in China .Based on these analysis, this article will bring forward an advice for how to perfect the legislation of stock repurchase in China, in order to make the stock repurchase exert its function in Chinese market economy activities . This article mainly adopt comparative analysis method and the method of combining the theory with practice . The whole article will be divided into four chapters: Chapter one will discuss the definition and connotation of the stock repurchase, and analyze the legal theory of the stock repurchase. And disclose the functions and problems of the stock repurchase by discussing the major legislation reasons both in prohibiting random stock repurchase and in relaxing the stock repurchase. Chapter two will analyze the legislation evolvement of stock repurchase in major market economy countries and districts, and search the real reason of relaxing the legislation of stock repurchase, and conclude that the pattern of the legislation of stock repurchase will be "permission in principle and prohibition in exception". Chapter three will discuss the deficiencies in the legislation of stock repurchase in China based on the related legislation status , and will disclose the problems in the practice of the stock repurchase in China by analyzing some cases, through which to demonstrate the necessity and urgency of perfecting the legislation of stock repurchase in China. Chapter four will firstly analyze special background of the legislation of stock repurchase in China; and then bring forward that emphasizing company's benefit as one of the principle in discussing how to perfect the legislation of stock repurchase in China. Finally, bring forward the suggestions to perfect the pattern and system of the legislation of stock repurchase in China, and think over how to perfect the detailed issues of the legislation of stock repurchase in China both in company law and security law.