China Dissolution System

Under the modern market economy conditions, companies have become the important commercial subject in the market. Companies, as natural persons, which are regarded as artificial legal person, have a process from birth to death. However, company exit mechanism is an important legal system of maintaining the transaction security and purifying the subject of market. Company dissolution is a main constitument part of exit mashanism. Company dissolution system, as a legal process to confirm the company become into termination, involves many complicated conflicts of intrest. Therefore, improve the company dissolution institultion is important to balance conflicts of intrest both within and out of companies and protect benefits of stakeholders of companies. Regulations of company dissolution system in new company law are simple and legal blank in content. This article, which analyzed judicial concept of companies, interrelated practices and relative principles in other countries, will discuss the company dissolution system in six aspects. It aims to put forward some references to improve the company dissolution system.Part one is a brief introduction of the Company dissolution. It basically analyzes from concept, nature, legislative purposes, and causes to show the implication of Company dissolution, clarify the legal characteristics of Company dissolution and differentiate the boundary of the concept of company termination.Part two is to analyze the reasons of company dissolution at home and abroad. First it introduces the company dissolution system in Anglo-American law and Continental law, and draw inspiration of constructing reasons of Chinese company dissolution from foreign countries' legislative experiences .Second, it deeply analyzes the present legislative situation and defect the reasons of Chinese company's dissolution.Part three is the conflicts of interest and the balance of relative stakeholders in dissolution .Put forward to build the equilibrating mechanism of conflict of interest in Chinese companies' dissolution through further analyzing the appeal of benefit of stakeholders in Company dissolution and the cause of conflicts, and learning foreign countries' experiences of benefit equilibrating mechanism.Part four is about the Social responsibilities of company dissolution. Traditional companies' autonomous concept cannot effectively protect the interests of relative stakeholders, howerer, the advanced system of social responsibilities of American company dissolution will provide a concept to establish regulations on the social responsibilities of Chinese company dissolution .Prat five is the legal consequences of company dissolution. According to legal regulations and theoretical researches of law circle, the consequence of company dissolution can be concluded as the influences of characteristics and behanvior capabilities of artificial legal peason, and the legal consequence of accounting process will follow the company dissolution.Part six is the improvement of the Chinese company dissolution regulations. Improving company dissolution regulations require companies play a role of autonomy, administrations play a role of management and the judicial authorities play a role of post-relief.