One Absence Of Shareholders Of The Legal Issues Discussed

The laws and regulations on One-man Company are based on the needs of economy and social life, which in nature is to expand the application of limited liability. In recent years, more and more countries have recognized One-man Company as a legitimate entity, which accelerates the reform of Company Law worldwide. And China also followed the trend and recognized One-man Limited Liability Company in the Company Law of P.R.C. for the first time. Although there is one chapter specified on One-man Company, the rules are so general that they are difficult to put into practice and the rules are not complete enough to solve all the problems on One-man Company. As the rapid development of economy, more and more investors choose to open a One-man Company which boasts many advantages such as simple corporate governance structure, low operation cost and so on. However, because of the simple corporate governance, the business credit of One-man Company is always very low and the property of the shareholder is always mixed with that of the company, which are the origin of conflicts and disputes. Moreover, because the shareholder plays a special role in One-man Company, the "absence" of shareholder leads to the deadlock of the company and new disputes.This paper introduces the kinds of the "absence" of the shareholder of One-man Company and then discusses the influence that it exerts to the acts of the company inside and outside of the company. And then on the basis of the corporate personality theory, this paper analyzes the capacity for civil conduct of One-person Company after the absence of its shareholder. Finally, this paper tries to find out some proper legislative ways to solve the problem of the absence of the shareholder in One-man Company on the reference of the practice of other countries.This paper comprises four parts:The first part discusses the special role which the shareholder plays in One-man Company and the characteristics of the corporate governance structure of One-man Company. And it also introduces legitimate kinds of One-man Company in China.The second part mainly discusses the kinds of the absence of the shareholder in One-man Company and the corresponding results. On the basis of the discussion, the paper analyzes the limitation to the acts of the One-man Company after the absence of the shareholder.The third part looks into the legal personality of One-person Company and analyzes the relationship between the organs of One-person Company and its capacity for civil conduct. And then it makes a further discussion on the One-man Company's capacity for civil conduct after the absence of its shareholder.The fourth part tries to find the ways to solve the problems which stem from the absence of One-man Company's shareholder on the reference of the practice of other countries.