Corporate Governance Analysis Of Judicial Intervention

Corporate Governance, as a subject especially concerned with the economics and law fields, mainly focuses on Self-governance of the Corporations or of the Shareholders when referred in the cooperate laws. Shareholders, the beneficial owner of the company, play an extremely important role in the Corporate Governance. Therefore, for its most essential purposes of maintaining Corporations Self-governance and safeguarding shareholders'rights and interests, the corporate laws have had the Judicial Power intervene into the Corporate Governance and the Judicial Intervention shall have the following 3 effects on the Corporate Governance: i)providing remedies through litigations for the shareholders'rights and interests involved in the disputes; ii)preventing possible disputes which may arise among the parties inside company as shareholders, directors and managers by intervening into the Corporate Governance and regulating conflicts among the parties; and iii)preventing shareholders from mis-excising their rights, and providing remedies for damages caused by the mis-excises. Judicial Power, as part of public force,works as external mechanisms to regulate the Corporate Governance, and can help to promote the Corporate Governance and safeguard shareholders'rights by its prompt intervention in case that the company get embarrassed to implement its self-governance system. By analyzing the effects of Judicial Intervention to promote and optimize the Corporate Governance, matters of Litigations of Shareholders and Non-litigation System regarding Corporate Governance have been studied, and Judicial Intervention has been expounded to be a reasonable and necessary measure in this article.Theoretical bases for the Judicial Intervention into Corporate...