Limited Liability Company Shares Inherited Discussed

Could the shares be inherited by the heirs when a stockholder of limited – liabilitycompany dies? What is the character of stock right? Does stock right belong toinheritance defined by the 3rd clause of the Succession Law of the PRC ? Can it beregarded as the object of succession? For the above questions there's noclear stipulation from the Succession Law or the Companies Act of thePRC .The issues on the character of stock right, the succession of stock right, how toinherit stock right and some problems caused during the inheriting are discussed in thedissertation. It thinks stock right is an independent kind of civil rights and can beregarded as the object of succession. Suggestions were advanced that the CompaniesAct should define the character of stock right and prescribe that the stock right of alimited company be inherited. The detailed stipulations on such issues caused duringthe inheriting as when the changing of stock right should become effective, who willexercise the stock right instead before it becomes effective, how to deal with thesituation if there is only one shareholder left or there are more than 50 shareholders inthe company or there is no legal inheritor, should be constituted in the Companies Act.