The Effectiveness Of The Articles Of Association

Articles of Association are the existence and activities of the fundamental basis for the charter company's role as the constitution for the country. The property of self-rule, self-government is source nature of The Article of Association .The Article of Association follows the rules of self-government and mandatory rules of law to have its own force effect. Dual-structure of the Articles of Association will help avoid the conflict between the specific details of the different levels of effectiveness, and operational procedures, for reference. This article discusses the effect period of the Article of Association, the interior and exterior efficacy of the Article of Association, especially pointed out that the Article of Association has limited exterior efficacy. When the Article of Association acts against the civil contract laws or mandatory rules of company laws, it will cause effect blemish. The invalidation of the Article of Association will result in the inefficacy of the company and taking into account of business safety and society cost, the law should limit the cause for the Article of Association inefficacy and make the amend system. While China's "Company Law" should set up the company constitution invalidation system, it is necessary to increase civil liability. The company's future legislation should fully draw on the company's Anglo-American legal system, the relevant provisions in order to establish a civil liability regime as a leader, administrative,criminal responsibility for the integrity of the two wings of theresponsibility system..