Study On The Revocable Mechanism Of The Resolution Of The General Shareholders' Meeting

In January, 2006, Chinese new "Company Law" implemented .The Article 22 of newly revised "Company Law" specifies the revocable mechanism of the resolution of the general shareholders' meeting which provides shareholders with the right to sue. Compared with 1993 "Company Law", this is a great improvement. However, the new article is relatively easy and in practice it will encounter some questions. In this paper, a case on the revocable mechanism of the resolution of the general shareholders' meeting is used to show our country's status quo about this. Also, I give advice on how to improve it. This paper is divided into six parts.Partâ… : Sbject of the revocable mechanism of the resolution of the general shareholders' meeting, that is, litigants which include the plaintiff and the defendant. The plaintiff refers to the shareholders who are eligible to withdraw such a trial .The defendant refers to the people who is eligible to have the respondent. In order to avoid abuse of the system to achieve unlawful purpose, our "Company Law" takes strict restrictions on the plaintiffs appeal. And the plaintiff must be eligible shareholders. Like the provisions of most countries in the world, New "Company Law" specifies company as defendant.Partâ…¡: Reasons for the revocable mechanism of the resolution of the general shareholders' meeting. Only when a resolution complies with the relevant provisions of the law, it is likely to come into effect .Otherwise it should be cancelled. Main reasons to withdraw it including the flaws in procedures, method sand content in resolution.Partâ…¢: Relating legal issues after judgment of the resolution of the general shareholders' meeting. In order to seek consistency of legal relations between companies, the sentence of revoking the resolutions of general assembly will have effect on the people who have revocation right, the company and the third person. Content of withdrawn general assembly resolution relating to civil actions retract when the resolution was made by relevant provisions of our "General Principles of Civil Law".Partâ…£: The ratification, withdrawal, exemption flaw of the revocable resolution of the general shareholders' meeting. Specification about remedies in our law is too simple. But the above methods not only settle the flaws in resolution but also help company operate smoothly.Partâ…¤: Security system of the revocable action of the resolution of the general shareholders' meeting. In order to prevent malicious shareholders from abusing right, corporate law provides security system of the revocable action of the resolution of the general shareholders' meeting. The company can make a request to the court to require the plaintiff to provide security when the shareholders sue.Partâ…¥: This paper analyzes the status quo and bond system of the revocable mechanism of the general shareholders' meeting in our country. It gives advice on how to improve the party system, security system and the remedy system of general assembly.