Research On Legal Problems Of Corporate Deadlock

In China,the company is the main body of market economic activities,and its good operation plays an important role in the development of the entire society.However,in the course of the company’s operation,the company often falls into a deadlock situation where the company has serious difficulties in operation and management.The company deadlock will not only have a certain adverse impact on the normal operation of the company,but may also damage the interests of the company’s creditors,shareholders,and employees.Therefore,it is very important to resolve the company’s deadlock and provide effective relief to the company’s deadlock.China’s relief of company deadlock is reflected in legislation in Article 182 of the "Company Law of the People’s Republic of China" and in Article 1 of "Provisions of the Supreme People’s Court on Several Issues concerning the Application of the Company Law of the People’s Republic of China(II)" The four situations stipulated by the latter are defined by the academic and judicial practice circles as a typical state of corporate deadlock.At the same time,corporate deadlock is also regarded as the sole reason for the company’s judicial dissolution.In recent judicial practice,judges often do not strictly review the substantive requirements for compulsory dissolution of a company when they dissolve cases of company dissolution.Instead,they have shown that the company’s deadlock has been expanded to explain the company’s repression.Inside,this highlights the difficulties in applying the law in the dissolution of company litigation in judicial practice and the inadequacy of remedies for shareholder suppression in China.Although the Supreme People’s Court issued Guiding Case No.8 on the relief of company deadlocks,giving the refereeing standards that lower people’s courts should refer to when resolving similar cases,subsequent judicial practice proved that the lower people’s courts were merely mechanically referring to the guiding cases.Standard,when reviewing the company’s deadlock,it only pays attention to whether there are serious obstacles to humanity within the company,and does not review the company’s operating status.It does not actually resolve the company’s internal problems,and its judgment cannot change the company’s survival.Whether or not,the company’s dissolution lawsuit has been reduced to a greater extent as a tool for the game of rights of opposing shareholders.For this reason,this article compares the advantages and disadvantages of foreign legislation and judicial practice,draws on the useful experience,draws thebest of its advantages and removes its dregs,and puts forward some suggestions for improving China’s corporate deadlock relief measures.The first is to establish a fault-based assessment center.Judgment rules: In a company with serious human obstacles that cause the company to be paralyzed,the shares of the remaining assets obtained by shareholders can be divided by identifying possible faults of shareholders;the second is compulsory equity to explore relief measures for the problem of "shareholder suppression" Replacement,through the establishment of a compulsory equity replacement system in line with China’s actual situation to solve the problem of shareholder suppression.