The Discussion On Constructing The Systems Of Composition With Creditors And The Reorganization Of Bankruptcy In China

The system of composition with creditors and the system of reorganization are two of the most important systems in bankruptcy systems .The birth of the two systems changed the traditional bankruptcy law substantially .The traditional bankruptcy system focused on bankruptcy liquidation ,which place the interests of creditor and debtor in a conflicting position. However, The system of composition with creditors and the system of reorganization concern the harmony of creditor interests and debtor interests more. The aim of them is to prevent bankruptcy which could bring great loss to creditor and debtor and even cause economic crisis.The first part of the article reviews the historical background of the system of composition with creditors and the system of reorganization. It discussed the content and characteristics of the system of composition with creditors and the system of reorganization and compared them.The second part lays emphasis on the construction of the system of composition with creditors Firstly, the part points out the shortcomings of the system of composition with creditors of our country, such as the absence of independent the system of composition with creditors, the disunion of the system of composition with creditors and so on. All them make the system of composition with creditors ineffective on prevention of bankruptcy.The last two parts of the article focus on the construction of the system of reorganization. At first, it indicated the differences between the system of reorganization in China and it in other countries. Then it studied the reasons and application of the reorganization, the court's acceptance and examination of the reorganization application, the agreement of the reorganization and termination and completion of the reorganization. All the parts discussed how to construct the relative perfect and independent the system of composition with creditors in relation to the enterprise conciliation and reorganization law (draft).