Research On China’s Enterprise Bankruptcy Reorganization

Reorganization system was set up by bankruptcy law of China. The transplantation ofthe system is an important innovation in bankruptcy legislative history because it combineswith the national condition of China. At present, the more developed market economycountries and regions have established relatively complete legal systems of corporatereorganization. China passed the enterprise bankruptcy law of the People’s Republic ofChina at the twenty-third meeting of the Standing Committee of the Tenth NationalPeople’s Congress in August27,2006and made more important provisions of thesystem and its application.Since the new bankruptcy law was enacted, reorganization system has played apositive role in preventing enterprise bankruptcy, maintaining economic order andstabilizing society. On the whole, the provisions of bankruptcy law to reorganizationsystem are relatively complete, but it also exist some problems that deserve furtherresearch about how to understand it correctly and implement it specifically. This paper isabout to research and discuss this problem in order to perfect bankruptcy reorganizationsystem of our country.This paper is divided into six parts and uses the method of deductive to describe thebackground and significance, the research methods and the main problems and theinnovation point of the paper. Firstly, by analyzing the legal theories and theliteratures, this paper expounds the basic theory of the bankruptcy reorganizationsystem, including the concept and characteristics, the function and value of the bankruptcyreorganization system and the difference between other relative systems. Secondly, byusing the method of comparative analysis, foreign bankruptcy reorganization system isinvestigated in this paper and makes comparison of reforming system betweenAnglo-American law system and continental law system to sum up valuable experience oflegislation. Thirdly, by using the methods of demonstration and case study, the currentsituation of the bankruptcy reorganization system of our country and the existing problems, especially the creditor benefit protection and the lack of legal basis is thoroughly analyzed.Finally, the reorganization system is redesigned by using the provisions of bankruptcy lawtheory which has the novelty of countermeasures including redefine the scope of reformingreasons; use the theory of power restraint and balance moderately to limit the discretion ofthe court in reorganization proceedings in allusion to the scope of applicants of therestructuring plan, improve the related relief system of creditors and administrators aimingat the scope of the subject in reorganization plan; enrich and improve relevant judicialinterpretations of bankruptcy reorganization system. At last, the paper makes a generalsummary of the whole article.