On Legal Issues Of Antimonopoly In Merger And Acquisition By Foreign Capital In China

Merger and acquisition by foreign capital produces good results, but at the same time, it brings negative effects, of which monopoly is the most serious. The legal system of foreign investment is not enough to control and regulate the monopoly existing in the merger and acquisition by foreign capital in China, as will bring harm to the competitive order, and will also make foreign investors lose the confidence. So it is necessary for us to study the antimonopoly deeply, which will brings significant effects whether in the improvement of the legal system of foreign investment or in strengthening foreign investors' confidence, and will also affects the utility of the foreign investment.Besides the introduction and the conclusion, the article is divided four parts.Part one expounds the summary of the monopoly in merger and acquisition by foreign capital in China. Firstly, the concept and features of the monopoly and merger and acquisition by foreign capital is defined. And then makes the analysis of the cause resulting in the monopoly in merger and acquisition by foreign capital that is the imperfection of the legal system concerning the foreign investment, weak competitive capacity of enterprises and the superiority which transitional corporations holds, and trades monopoly is the main form of expression. At last the part analyses the main features of the monopoly trend in merger and acquisition by foreign capital in China.Part two analyses the main system of the antimonopoly law of the USA, German, Korea and EU, including the control and regulation aboutmerger and acquisition among enterprises;exemption system;extraterritorial application and executive body carrying out the antimonopoly system.Part three studies provisions and problems concerning antimonopoly in the legal system of foreign investment in China. Although Antimonopoly law is being discussed, the contents of it has been decided on the whole. At first the part explains the provisions concerning the antimonopoly in Merger and Acquisition of Foreign Investment Enterprises Provisions and Merger with and Acquisition of Domestic Enterprises by Foreign Investors Tentative Provisions, and then discusses the issues: lack of standard in controlling the merger and acquisition among enterprises, inadequacy of explicit provisions concerning the exemption system, absence of theoretical basis in extraterritorial application, and indefinite power enjoyed by executive body.In the last part, it puts forward four pieces of proposals on the problems existing in the legal system concerning the antimonopoly: issuing Antimonopoly Law as soon as possible, specifying the antimonopoly provisions in the legal system of foreign investment in force, establishing independent authority body in charge of the antimonopoly law according to laws, strengthening international cooperation to exploit the antimonopoly's extraterritorial force to the full.