Study On Shareholder's Derivative Suits

Shareholder's Derivative Suits is an important system in company law. In the operation process of a company, the company's interests may be infringed by directors, supervisors and senior managers. As a victim, the company has right to claim compensation to the infringers. However, in case that the company refused to claim compensation to the infringers, the interests of small shareholder will be infringed. The company law of China amended in October 25,2005, introduced Shareholder's Derivative Suits system, which provided judicial relief method to protect shareholders especially small shareholders' interests. This paper intends to provide some suggestive value tropism and entity rules through introduction and analysis on Shareholder's Derivative Suits.This paper consists of introduction, text, conclusion. The text could be divided into four parts.The first part is brief introduction to Shareholder's Derivative Suits, which could be divided into four parts. First part introduces the meaning of Shareholder's Derivative Suits. Second part analyses characters of Shareholder's Derivative Suits. Third part introduces system basis on the origin of Shareholder's Derivative Suits. Fourth part introduces system value on Shareholder's Derivative Suits.The second part introduces legislation of United Kingdom, U.S.A, South Korea, Japan, Taiwan district of China through comparison analysis method. Shareholder's Derivative Suits originated from equity law in United Kingdom. This paper specially introduces development history of Shareholder's Derivative Suits. This paper intends to provide suggestions to perfect Shareholder's Derivative Suits in China.The third part, firstly, introduces problems existing in judicial practice of Shareholder's Derivative Suits form a case. Part two introduces basic contents and legislation provisions of Shareholder's Derivative Suits in China, and points out problems existing in Shareholder's Derivative Suits system in China.The fourth part provides roads to perfect Shareholder's Derivative Suits in China. In this part, the author provides suggestions in five aspects, respectively in plaintiff's qualification of shareholder, expenses in Shareholder's Derivative Suits, securities for expenses in Shareholder's Derivative Suits, defining of company and other shareholders 's legal position in Shareholder's Derivative Suits, Settlement in Shareholder's Derivative Suits.The last part of this paper is conclusion, mainly introduces two problems. First one is to conclude the defects of this paper. Second one, through referring to theoretic fruits on Shareholder's Derivative Suits in other countries and theoretic situation of Shareholder's Derivative Suits system in China, is to conclude some suggestions, which are suggestive in the view of the author, in order to perfect Shareholder's Derivative Suits system in China.