Legal Study On Regulation Of Transnational Corporations

As is well known, transnational operation has been becoming irresistible tide of contemporary world economy. The activities of transnational corporations can also be compared to a double-bladed sword, which has negative effects as well as positive effects. As it is becoming public focus, a large quantity of juridical problems regarding transnational corporations has emerged, such as how to define the transnational corporations, and how to effectively and moderately supervise the activities of transnational corporations, as well as how to coordinate the international legal regulation of transnational corporations. It is really a complicated legal problem, and may be of no precise solution.In order to make up the shortage of mainstream theory on legal regulation of transnational corporations, and bring its positive effects into full play in the economic and social development, in this article, the author addressed primarily the legal regulation of transnational corporations. And by using the former experts'theory of transnational corporations for reference, exerting the frame of political-economic analysis, the author analyzed the contemporary mechanism of the domestic and international legal regulation of transnational corporations and put forward her own views, i.e. the global governance is the best choice to restructure the legal regulation mechanism of transnational corporations. The article consists of eight chapters and is organized as follows:In chapter 1, the relationships between states and transnational corporations are discussed, and the definitions, characteristics and law natures of transnational corporations explained. And then it surveys the interdependent relationships between host states and transnational corporations.In chapters 2 to 5, it looks back the contemporary legal regulations mechanism of transnational corporations. In details that, in chapter 2 it discusses the domestic legal regulation mechanism and in chapters 3 to 5 it probes into international legal regulation mechanism. In these chapters some sensitive issues, such as foreign investment access clauses, performance requirement clauses, investment disputes settlement clauses, and so on are summarized too. In brief, the challenge from recent bilateral and multilateral investment treaties to host states'jurisdiction on transnational corporations is comprehensive and deep and the international controls over transnational corporations activities are desirable.In chapters 6 and 7, it probes into the restructuring of legal regulation mechanism. In the author's point of view that global governance is the best choice. The reasons of failure of contemporary mechanism are analyzed, and it is concentrated on how to effectively and moderately supervise the activities of transnational corporations through global governance mechanism.In chapter8, it probes into the necessity of legal regulation of transnational corporations in China and the issues come forth in the institutional building.