Legal Study On Perfecting The System Of Company Share Repurchase Of China

After world war II , the legal system of company share repurchases has been considered as the principal instrument of capital management. Its functions on improving the labour-capital relations, protecting minor shareholders rights and boosting the price of undervalued stocks were also highly valued. To study the history, development and current state of company share buyback in the countries and districts of the common law system and the continent law system, the author noted that the common tendency of enlarging the applicable scope of company share repurchase has formed in these countries and districts. Taking United States, United Kingdom, Germany, France, European Union, Japan, Taiwan and Hong Kong of China for example, the author compared the legislation style and experience on company share repurchase such as the systems of applying scope, restriction on property and quantity, decision-making body, restriction on possession and disposure of owner's shares, decision-making procedure, report procedure, information disclosure procedure, avoidance of illegal behaviors in these countries and districts. Then with an analysis of the practice of company share repurchase in China, the author set forth the defects and loopholes in the legal system of our country's company share buyback now. Therefore some legal advice and structure construction to reform the legal system of company share buyback in China were given as the purpose of this thesis.