On The Compulsory Approval System Of Bankruptcy Reorganization Plan

Reorganization plan is the core of the bankruptcy reorganization procedure, after voting by creditors meeting whether it can play a role as program of action the key reason lies in the approval of the court. China’s Enterprise Bankruptcy Law sets up the unique mandatory approval system. In other words, if the reorganization plan is not adopted by the meeting of creditors, the court will take mandatory approval to balance the conflict between the social overall interests and the interests of the creditors under the principle of protecting the interests of creditors. To achieve the balance of the interests as the purpose can avoid wastage of judicial resources and save the interests for each part, therefore to the effect of restructuring legislation. However, regarding Chinese’s bankruptcy legal system, setting of the mandatory approval system is just the first step. As for how correctly understanding, using and enhancing this kind of regulations is needed to be further discussed. Thus, this article is to analysis of the problem of the existing system in the points of institutional norms, concepts the theory of the origin and principles of the mandatory approval, learning rules and norms of the United States and other countries, putting forward the proposal from two angles of entity and procedure, hoping to help the use of the system and making it perfect.