Study On The System Of Shareholder Representative Litigation

In the operation of modern companies, the principle of "capital majority decision" strengthens the dominant position of the major shareholders, and raises efficiency of the company's operations and decision-making, but the major shareholders easily abuse their rights to damage the interests of small and medium shareholders on the basic of this advantage. In view of the interests of small and medium shareholders are damaged frequently, most countries have established a sound shareholder representative litigation system with the intention of using this last line of defense to protect the rights of small and medium shareholders, whether their law is civil law or common law. Shareholder representative litigation system is an important company law system for protecting the interests of small and medium shareholders. It can counterbalance the principle of "capital majority decision" and the phenomenon of "internal control" and it can solve the deadlock of the company. It also has particular significance of managing companies. Shareholder representative litigation system of China was established for the first time when our country amended the "Company Law" in 2005, but there are still a lot of worth exploring about the provisions of this system. In order to protect the interests of small and medium shareholders and improve our company's legal system, it is necessary to learn advanced experiences from developed countries and further improve China's shareholder representative litigation system. This article analyzes shareholder representative litigation system from the perspective of protecting the interests of small and medium shareholders, and compares legislations and judicial practices about this system in other countries; At the same time analyzes relevant provisions of this system in China's "company law" according to China's actual conditions, and puts forward legal suggestions to perfect shareholder representative litigation system of China.