The Improvement Of The Legal System Of China’s Share Repurchase

Since1970s Share repurchases developed in the U.S. stock market, this systemgradually extended to the securities markets of the United Kin-gdom, Germany,Japan and other countries. A growing number of companies chose to use Sharerepurchases to run the business. However, everything happens for both sides, theexistence of the share repurchase has its positive significance, while improper use ofthe repurchase will adv-ersely affect the legal rights of the company andshareholders. Most countries confirm share repurchases with law, and try to regulateits positive significance through the legal system.After several revisions and practice, China also knows that the imp-ortance ofShare repurchases to the economic development. And our country gradually relaxesthe restriction for the shares repurchase of the Company. However, the positivefunction of our country for the share repurchase has still not been paid enoughattention. So that the share repurchases system in our country has not been developedthat well. In recent years, our country starts to focus on the positive role of the sharerepurchases system, many experts and scholars gave a series of recommendations ofhow to establish the system. This article briefly discusses the concept andclassification of the company share repurchase, through further analysis of the twosides of the repurchase of the shares, there is a attitude in how to balance these twodifferent sides. To learn from practical experience of the other countries on the legal regulation of share repurchase system, combined with the existing law and provisions,I’d like to discuss how to develop and improve the legal system of our country’s sharerepurchase.This article is divided into four main parts of the discourse:Chapter1: Repurchase System Overview. First of all, I’d like to begin with theconcepts and classification of the Repurchase system. And then I’d like to analysis thepositive and dispositive features of Company the share repurchase.Chapter2: An overview of the legal share repurchase system of our country. Thethird part described the development of our share repurchase system, including thehistorical evolution of our share repurchase sys-tem, and an overview of the existinglegal basis. Through the brief overview of the legal provisions above, I’d like to do aoverall judgment of our existing regulations.Chapter3:The practice of the company share repurchase system of othercountries. The second part focuses on the share repurchase system of the United Statesas well as Japan, the two of most economically developed countries. At the same time,the relevant provisions of other Western countries are briefly described. And then I’dlike to make a concluding summary of the specific content of these provisions.Chapter4: deficiencies and improvement of share repurchases legal system ofour country. First, I’d like to point out the lack point of the legal system of ourexisting share repurchase. And then I’d like to give some advice to the development ofthe law system of share repurchase.