China's One-man Company Risk Prevention System

As the amending of the company law in 2005 in China, the one-man company legal system has been established in our nation. But because of the deficiency in the legal practice and the rules in this field, there are no functional ways to prevent the risks in this field from coming into being. This article tries to pry into this field and points out the suggestions in how to take precautions and how to perfect this anti-risk system in our nation's company law in order to reduce and define the risks to the minimum.There are four chapters in this article:The first part analyzes the concept, the characteristics, and the meaning of the one-man company. The method to point out the appearance of the risks of the one-man company, and except the human nature, the author analyzes the reasons lying in the risks of the imperfect system of the one-man company.The second part analyzes the legislation of the one-man company in our nation. The history of the one-man company legislation can be divided into two parts by the point of the new corporation law of 2005. In the first part will analyzes and draws a conclusion of the state-owned enterprise, the foreign-funded enterprise, the couple company and the actual one-man company stipulated in the former company law, and the second part will analyzes the one-man company legislation after the company law modifying and confirms its experiences and defects in the anti-risk system construction.The third part compares the legislation of the one-man company law in the different countries and regions from the establishment, running and the commitment of liabilities of one-man company to review the legislation in foreign states and offers the foundations to perfect the system of the one-man company in our nation in Part Four.The forth part focuses on how to build up the risk prevention system through the capital guarantee, the application of deep-rock doctrine, the accountancy, the relative system, the public interest litigation and the perfect of relative system after analyzing the defects of risk prevention and referring from the legislation of the foreign countries.