The Company Set Up A Number Of Legal Issues

Corporation foundation system is an important content of corporation law. Whether its regulation reasonable and perfect has a direct bearing on the realization of its autonomous idea and makes a tremendous impact on balance in profit among shareholders, creditors and the public. This paper makes a systematic study of several important legal problems about corporation foundation system with the science of law history and comparative jurisprudence for the purpose of giving suggestion on consummating corporation foundation system in our country.This paper includes six chapters. Chapter one expounds concept, principles and two patterns of corporation foundation in broad outline. It forms the basis and premise of the following chapters.Chapter two probes into concept of sponsors and legal status, rights, and duties of the corporation under foundation. It emphatically analyses several viewpoints and theories in view of sponsors' legal status and holds the opinion that sponsors are organ of the corporation under foundation.Chapter three deals with legal status of the corporation under foundation. It discusses beginning and end stage, right capacity, behavior capacity, duty capacity and legal nature of the corporation under foundation. This chapter makes a thorough search on legal nature of the corporation under foundation is mass organization and a temporary and transitional social existence.Chapter four sets forth procedures of corporation foundation. It explains explicitly the legal problems about sponsors' subscribing for shares of the corporation and recruiting shareholders and sessions of corporation foundation.Chapter five makes clear the legal liability of corporation foundation from the following three aspects: the liability when the corporation is validly founded; the liability when the corporation is not founded; the liability when the corporation is founded with flaw.Chapter six talks about the current situations of corporation foundation system and gives legislative suggestions on it. This chapter puts some suggestions on amendment and consummating of corporation foundation system on the basis of the about chapter and holds the idea that in order to form perfect and reasonable corporation foundation system we should lower the button found quota of corporation foundation, put authorized capital system in practice, consummate the regulation of sponsors' rights and duties and add up the regulation of invalid corporation foundation.