Corporation Deadlock In The Limited Liability Company And Judicial Intervention

American scholar Patel has pointed out: "The limited liability company is the great invention, whose significance even exceeds that of the invention of the steam engine and electricity." As a basic enterprise-organizing system in modern times, the limited liability company has become a strong driving force and a powerful lever for economic development. With the enactment of the new "Company Law" in China which creates a favorable legal environment for the creation of the company, the unique advantages of the limited liability company and China's financial resources, the limited liability company will become the first choice for business investment and its number will be doubled. However, the prosperity of the limited liability company is followed by a growing number of corporation deadlock.Corporation deadlock is enormously harmful and even disastrous. It paralyses the operation of making police and management, which not only makes the company's normal operation impossible, wanes the interests of the shareholders and creditors, but also impacts the safety of the market economy and the stability of society. Subsequently, it will curb the socio-economic development. As a result, it's necessary that corporation deadlock be given relief. There are many ways of relief, but this paper expounds on judicial relief.Following a concise and common thinking way of "asking questions, studying, resolving problems", this paper studies the issue of the judicial power's intervention in corporation deadlock in detail. To understand what to study is the first step, so analysis of the basic theory of corporation deadlock is made in the first chapter. This chapter introduces the legal definition of deadlock, summarizes a series of characteristics of deadlock, discusses the nature of deadlock, analyses the reason why deadlock emerges, classifies deadlocks according to different standards, and points out that the corporate deadlock can do great harm to shareholders, to the corporation and to the whole society. The support of theory plays a fundamental role. Therefore, the second chapter indicates to interpreting the theoretical basis for judicial intervention in corporation deadlock. This chapter mainly introduces the rationales behind breaking the corporation deadlock overseas, such as the contract theory of corporation, the theory of fails of anticipation benefits, shareholders trust obligations theory, theory of corporate social responsibility and relief rights theory. The third chapter is devoted to introducing the main modes of the judicial intervention in corporation deadlock in the Western developed countries,...