A Comparative Study On The System Of Company Capital

There are three modes of company capital systems that have been developed in thecountries of civil law system and common law system during the long history of thelegislation for companies: the statutory capital system focusing on security; the authorizedcapital system focusing on efficiency, and the electric capital system between the abovetwo system. Due to the differences of the orientation of legislative values, the three modesof company capital system result in the differences of their arrangements of specificinstitution. By comparing and analyzing orientations of legislative values, registeredcapital systems, capital provision systems, this paper concludes that all the three companycapital systems have their own merits and the adoption of the company capital system foreach country depends on the country's own political ,economic and cultural developmentduring the corresponding time period and is the result of the balancing between thesecurity and efficiency. This paper falls into three parts: Part one is about the analysis of principle of law into the capital system for company,covering the definition of company, the merits and demerits of the three modes ofcompany capital system and a brief introduction to the three principles of company capitalsystem; part two is about the comparative analysis into the three modes of companycapital system existing in both civil law system and common law system ..covering suchfive aspects as the orientation of legislative values, registered capital systems, capitalprovision systems, capital alteration systems an liability systems, as well as the rulesthereof of different countries; part three conducts an analysis conducts an analysis into thefeatures of China's existing company capital system and historical reasons to form suchfeatures, and on this basis, by combining the comparative analysis into the companycapital system of individual countries puts forward an idea concerning the revision andimprovement of China's company capital system, including the suggestion on theprovisions of registered capital system on decreasing the capital minimum, the provisionsof capital provision system on increasing the ratio of intellectual property right theprovisions of capital alteration on buying back the augmented shares, the provisions ofliability system on augmenting personality negation system, and presents the conclusion:China, as a country of civil law system, should practice eclectic capital system.