Legislative Regulation On Corporate Donation

Corporate social responsibility means that a corporation gives first priority to making the largest profit for shareholders with the secondary aim to maintain and promote the interest of the society. Corporate donation is one important aspects of corporate social responsibility. The amended corporation law ensure the legitimacy of corporate social responsibility, at the same time indirectly provide the theoretical basis for legitimacy of corporate donation The company donation is the company's property disposition, and it inevitably lead to the conflict of diverse interests. How to balance the company's donation of conflicts of interest, provide a reasonable solution for company donation, then provide an effective theoretical support for the company donation of institutionalization and standardization, These are the problem may pay attention to in the legal system designed of company donation. The company donation can be healthy development in condition of reasonable legal constraints.This thesis is composed of five parts.The elementary theory is "Theoretical Analysis of Corporate donation". Corporate donation is a corporate act in premise of compliance the law and company charter, voluntary and free of charge donate its legal property to other people. Corporate social responsibility is the theoretical basis for corporate donations. The corporate donation is a unilateral legal act. From the perspect of law and economic to analysis the value of the corporate donation, it is conducive to achieving long-term interests of the company.The second part is expounded the necessity of the corporate donation legal constraints.It will lead to the conflict of company stakeholders interests, it should be a reasonable, effective and equitable balance of interests mechanism, therefore, in order to protect the rights and interests of the company stakeholders related to constraint the corporate donation.The third part is the constraints of corporate donation decision-making mechanism. From the five aspacts to expound the corporate donation decision-making mechanism. Company charter is the basis for building corporate donation decision-making mechanism. In company charter, Board of Trustees should be awarded to exercise the corporate donates general decision-making power. To establish a standardized application, examination, the decision-making corporate donation process. The purpose of corporate donations should not be limited to the scope of social welfare undertakings.In premise of compliance the law and company charter, Companies can independently choose the donate targets. The property of the corporate donation should comes from the company after-tax profits, the corporate donation may not exceed a percentage of the company's after-tax profit.The forth part, the corporate donation right of withdraw. In situation of violation of law or company charter, the company has right of withdraw to safeguard the interests of the company. In addition to encouraging corporate donations, gives the company the right to remove improper donations. At the same time, it is necessary to empower the shareholders of the company the right to withdraw.The fifth part is the legal responsibility constraints of the Corporate donation. Companies have corporate property rights and have an independent ability to assume responsibility,so the company is the main legal responsibility of corporate donation. Breach of contract responsibility is the main form of legal liability to Corporate donations. Corporate donation liability should be adopted no-fault liability principle, and it should be in line with the following five elements. The Corporate donation should has a clear assigned allocation of the liability.