On The Shareholder Inspection Right Of The Limited Liability Company

The right to know is the basis of the other rights of the shareholder’s, for which the inspection right is the foundation and guarantee. But collaboration of human resource in the limited liability company is much stronger than in Co. LTD. And the provision of the laws regarding the limited liability company’s equity transfer is more stricter than Co. LTD. So the desire to know about the company operating of shareholders in the limited liability company is more urgent. As legitimate rights and interests of shareholders in the limited liability company are infringed by the company,they would collect evidence to protect their rights by inspecting the materials of the company. Meanwhile the shareholders will know more about the operating of the company. Inspection rights of the limited liability company will be resourced in this paper.In the first part, inspection rights will be analyzed. The right is subject to qualitified shareholders. The problem will be mainly discussed whether the special shareholders have the right to inspect such as the nominee shareholders and registered shareholders, and whether the defective shareholders have this right, and that whether parent-subsidiary corporation, former shareholder, successor have it.In the second part, the scope of the limited liability company shareholder inspection right will be analyzed. One is the right to inspect the recordings of the board and supervisory committee, the other is the right to inquire the original documents and the accounting vochers in consulting the accounting books of the company. That is not metioned in the company law. In Article 33 of the Company Law, iust the scope of inspect rights is ruled.In the third part, the exercise of the right of shareholders to consult in the limited liability company will be explored. The procedure is not ruled in detail. It will be defined through the analysis of those. Whether the written request referring to the purpose, time, place and means and expenses is necessary when shareholders inspectthe documents. And whether employing a professional is allowed to inspect the regarding materials on behalf of shareholders.In the fourth part, the cognizance of proper purpose will be discussed. Through identifying the reasonable purpose and how to distribute the onus probandi of the purpose, the problem may be some cleared.In the fifth part, the relief procedure and responsibility of shareholders’ inspect rights will be talked about. Relief procedure would be explored from the applying of proceedings, litigants, and the jurisdiction of court. The responsibility of the abuse of the inspect rights and the duty of the company and the actual controllers are reasoned also.