Shareholder Representative Legal Action

shareholder representative action is an important way to safeguard the rights of small and medium-sized shareholders. China’s "Company Law" in2005for the first time established a shareholder representative suit, but the judicial proceedings on behalf of shareholders practical effect has been less than ideal. In practice, the Shareholder Representative Litigation System not only incentives for small and medium-sized shareholders not strong, and easy for malicious use. This problem, namely the thesis research aim is to solve the Shareholder Representative Litigation Shareholder Representative Litigation System to find a point of balance, both to stimulate small and medium-sized shareholders maintenance to safeguard their legitimate rights through legal channels while at the same time to prevent itsmalicious use. This article first departure from shareholders on behalf of the Introduction to the litigation system, introduced a shareholder representative action connotation, characteristics and background and conditions. Followed by efforts to analyze some of the problems encountered by shareholders on behalf of the proceedings at this stage in China, the most prominent of minority shareholders filed enthusiasm on behalf of the litigation is not enough, and susceptible to malicious use. Finally, try to put forward a series of programs to solve a problem at this stage. On the one hand from the clearly proper legal status of the parties, to take legal action incentives to protect the shareholders’ right to know three aspects to enhance the enthusiasm of minority shareholders filed a shareholder representative suit; shareholder representative suit on the other hand from the procedural and substantive perspectives filed to be a limit to prevent Fan Gudong on behalf of the litigation system in the malicious use...