Construction And Perfection Of The Company's Terms Of Reference Of The Board Of Supervisors In China

The modified Company Law, which made a great advancement for thecompany system in China, has been passed in 27th Oct, 2005. The right of theboard of supervisors in company has been expended. But besides theimproved aspect, there are still some defects that we did not change. Just fromthis point of view, I compare the Supervisor System of company in German,Japan and China. These three countries belong to the same legal system butthere are great differences between the there countries. One side, I affirm theprogress we have achieved in the modified Company Law, on the other side Iwant to make some advices to improve the Supervisor System of company inChina.In this article, I prove my view from five aspects. Firstly, I expatiate thetheory of the supervisor system of company. Secondly, I introduce twodifferent kinds of Supervisor System nowadays in Common Law and in CivilLaw. Thirdly, I compare the characteristics of Supervisor System in German,Japan and China. Fourthly, I compare the supervisor's rights regulated by theCompany Law in German and Japan. Finally, I summarize the progress wehave achieved in the modified Company Law and advise where and how weshould continue to improve.