The Protection Of Minority Shareholders In The Listed Companies

Capital is the centre of the distinctive characteristic of modern corporation system is that the order of its rights and system. This characteristic requests the capital majority rule shall be implemented. The capital majority rule has a great significance to keeping the balance of interests among the shareholders. However, the application of this rule will inevitably lead to some interests conflicts between the larger shareholders and small shareholders. In the meantime, this rule provides the larger shareholders with a "legal" method of figuring for self-interests and doing harm to the interests of corporations and middle & small shareholders. At present, strengthening the protection of the rights and interests of middle & small shareholders has become a core in the legislation of corporation in the world. Comparison and induction are the mainly methods in this articles review and analyze the present situation, the reasons of being invaded, legal principle and realistic meanings of the protecting the rights and interests of middle & small shareholders in our country. Combined with the spirits of the new Corporation Law of our country, drawing on the mature theory approach and judicial practice of foreign country, the article also analyzes the methods of perfecting the mechanism of protecting the rights and interests of middle & small shareholders while calling for improving the legal level of protecting the rights and interests of middle & small shareholders in our country.This article is mainly divided into three parts. The first part, it introduced the relevant theory. Then discusses the phenomena of invading the rights of minority shareholders, and the meanings of protection of minority shareholders. In the second part the author discusses the legal system in the United states, England and other countries about the protection of minority shareholders according to the duty of controlling shareholders, protection of real rights and the rights of lawsuit. In the third part, the author will research and analysis Consummation of the relevant system of protection of minority shareholders, mainly including the protection of real rights under corporate governance, the increase of lawsuit for minority shareholders, and increase the possibility of lawsuit in order to protect the procedural rights of minority shareholders.