Legal Issues Of Corporate Governance And Creditor Checks And Balances

The operation of the modern market is inseparable from its basic carrier - a company .The role of a company is very important for a country's development and prosperity. Good corporate governance is a key factor for a country's effective operation, it is a necessary condition for a company to enhance its competitive strength and to improve its operational performance, it is also a micro-foundation for the modern market to run efficiently and orderly. As the Director-General of the World Bank chief James ? Volfson in 1999, pointed out that "the importance of good corporate governance, is like to the good governance to the world economics." Therefore, the issue of corporate governance has become an important international issue, it is concerned and researched by political, economic and legal areas. As to the structure of the corporate governance, the traditional theory claims that the separation of ownership and operating rights is its theoretical foundation, namely, the configuration problem of right and obligation is the key factor between general meeting of shareholders, board of directors, board of supervisors and corporate management .However, Since the 20th century, 60 years the corporate governance theory has been development considerably, The company stakeholders is the company's major creditors, it should or not to participate in corporate governance and how to participate in corporate governance has been referred to agenda about the theory of stakeholder governance.The field of law in China has also researched the theory about the governance of stakeholder for many years. The interests of the company's creditor has also concerned by the relevant laws and regulations. But, after all, the interests of creditor is impacted by the model of "shareholder-oriented", and can not be protected effectively, it is not only unfair for the creditors , but for the company's long-term development is also disadvantage. This paper will start from the term of "corporate governance" ,analysing the theoretical basis about the creditor involved in the company management. Then ,this paper will use the two ways that the direct and indirect participate in corporate governance to inspect the legal means about creditor participate in corporate governance of relevant nation.On this basis, this paper will discuss the legislative status of our country and our country's creditors in corporate governance, then introduce some relevant measures for the participation of creditors in corporate governance, to make a valuable point for relevant institutions of our country.