On The Dormant Shareholder Rights Protection System

Anonymous investment came out from modern market economy. It relieves the situation about capital shortage since the financial crisis in2008. It stabilized and develops economic in China. Just because of that, how to better protect the rights of dormant stockholders has become a key problem in theory study. The author intends to start from the characters of dormant stockholders, analyze the substance, definition of its identification. He suggests improving the legislation to protect dormant stockholders. Also, he talks about how to choose the right path, in order to offer more sufficient protection for dormant stockholders.Besides the introduction and the ending, it includes four chapters.Chapter1:Summary of dormant stockholders system. Starting from the concepts and characters, it summarizes some main theories in current academia. It concludes that the right protection for dormant stockholders in China is in the initial stage of qualification.Chapter2:Analysis of the abroad rights protection system for dormant stockholders. This chapter compares the different definition for dormant stockholders between common law and civil law. The common law solves the problem about anonymous investment by equity trust system. The civil law has quite a lot disputes about anonymous investment. By comparing these two, it offers us a better idea about how to set up Chinese protection system for dormant stockholders.Chapter3:Rethink of the dormant stockholders existing provisions in China. It talks about related Chinese laws, analyzes its deficiencies. Then it mentions about several possible choices. In the end, it tells that equity trust is the best choice to improve the protections for dormant stockholders in China.Chapter4:Introduction of equity trust. It suggests improving the identification system of dormant stockholders, the system when dormant stockholders violate prohibition or forces, the system of disputes related to dormant stockholders. Further to say, it suggests the equity trust should be involved, to enhance the right protect for dormant stockholders.