Enterprise Group Of Legal Issues

Enterprise group, as one type of enterprise union without legal person statue which is formed by a mount of independent enterprises in law with controlled relationship and under the unified management through share-holding, contracts or otherwise, has been developing rapidly due to the individual prospective for enterprises and the limited liability of individual company for risk remoteness in the regime of traditional company law. Enterprise group advances economic development tremendously while challenges the traditional legal system mainly embodied with the damage to minority shareholders and creditors of controlled enterprises caused by controlling enterprise in group through controlling status. Nowadays, company law of many countries including China has been improved with the new rule such as fiduciary duties, cumulative voting, information disclosure, shareholders' derivative action, piercing the corporation's veil, deep rock doctrine etc. The paper herein applies comparison research approach introducing the experience abroad for our country's company law improvement. In conclusion, in order to promote the development of enterprise group of our country, the company law regulating enterprise group of our country should be discrete legislative model and stipulate a chapter separately which provides the definition of enterprise group, abandon the compulsive registration of unified company name for whole enterprise group, polish rules of fiduciary duties, shareholders' derivative action, disregarding of corporate personality or otherwise which protect the minority shareholders and creditors of controlled enterprises.