Concerning The Rights Of Limited Partners

Limited Partnership is a kind of cooperation organization way different thanGeneral Partnership and Cooperation Limited, and it plays an important role in thedevelopment of market economy. China revised its Law of the People’s Republic ofChina on Partnerships in2006by adding related regulations on Limited Partners to thethird chapter of the Law. This revision establishes the law status of limited partners andfills the vacancy of China in such aspects. Yet there is still problem with the said issue.We start the essay with the rights of limited partners, introduce the difference betweenthe “Limited Partners” as stipulated in the Law of People’s Republic of China onPartnerships and “General partners”, and then analyze the problems with the exercise ofthe rights of limited partners, and provided suggestions accordingly. We seek to betterprotect the rights of limited partners and promote the development and perfection of thelimited partnership system.The first part of the essay defines “Limited Partnership”,“Limited Partners” and thefeature of limited partnership, describes the relationship between limited partners andgeneral partners in partnership cooperation, and analyzes the root for the differentbetween limited partners and general partners’ right. The second part of the essayelaborates on those prominent differences of limited partners and general partners’ rightand the content of these rights. The third part analyzes current problems with theexercise of the right of limited partners and negative factors brought about by theinadequacy in law making. Based on the third part, the fourth part uses the CooperationLaw of China and limited partnership law in the States as reference, and providessolutions and law making suggestions on solving the problem with the right exercise oflimited partners.