Study On The Labor Claim Status In Legislation Of Bankruptcy Law

Although the recently-enacted Enterprise Bankruptcy Law of China prescribes that labor claim shall possess the first position to be satisfied, labor claim always can't be satisfied when total property of a bankrupt enterprise has been set guarantee for loan. Whether labor claim can be given priority over real right guaranteed and whether real right guaranteed should be partially restricted in bankruptcy proceedings has raised great attention in Bankruptcy Law legislation. In the process of Bankruptcy Law revision, the second draft of Bankruptcy Law suggests a different model against the first draft on this issue. Thus, it brings about great arguments. Under this background, the aim of this paper is to find out the way of determining the status of labor claim and how to build a system to settle the problem of labor claim satisfaction. A profound research into the problem of labor claim status in Bankruptcy Law will not only be beneficial to protecting labor claim creditor's interest, secured creditor's interest and interest of the creditor of bankruptcy, but also be beneficial to maintaining the order of the community and transaction safety, and to promoting the legislative process of Bankruptcy Law.Applying analysis-synthesis method, comparative approach, value method and the method of theoretical and empirical analysis, this paper deeply probes into the status of labor claim in Bankruptcy Law and brings forth some proposals for system construction. The author believes that the problem of labor claim status in Bankruptcy Law should comprise two sides: one is the nature of labor claim; the other one is the satisfaction sequence. In order to strengthen the protection on labor claim, the legislation of Bankruptcy Law of China should confirm the nature of real right guaranteed of labor claim. Bankruptcy Law should not only lay some limit on realization of real right guaranteed, but also restrict the realizing quantity of labor claim. Bankruptcy Law should establish rules of balancing the interest between labor claim and real right guaranteed in order to maintain the order of community and to maintain transaction safety. In the mean time, the author believes that the fundamental way to solve the problem of labor claim satisfaction is to establish other suitable legal system and to achieve a comprehensive protection mechanism together with relevant provisions under Bankruptcy Law. .Chapter One of this paper defines the concept of labor claim firstly, and analyzes the types of labor requests, among which some should be comprised in and some should not be comprised in as labor claims, thus laying down the logical starting point. Chapter Two discusses the characteristics of labor claim status, classifies the views on nature of labor claim and satisfied sequence between labor claim and real right guaranteed, and puts forward the viewpoint that labor claim should be confirmed as legal real right guaranteed and should be prior to real right guaranteed on a restricted basis. Chapter Three attempts to search the theoretical fundamentals and realistic basis to support afore-mentioned viewpoint. Chapter Four attempts to put forward some proposals for system construction of labor claim status in the legislation of Bankruptcy Law.This paper deeply researches the labor claim status in Bankruptcy Law on the basis of former research achievements. For the first time the author puts forward the idea that Bankruptcy Law should set up the rule of limiting labor claim priority, the rule of satisfaction order on labor claim priority's objects, and the rule of satisfying labor claim with fixed value of real right guaranteed. The author hopes this research would be beneficial to the Bankruptcy Law revision process of China.