The Theory Of One-man Company Personality Denied

With the development of social economy by leaps and bounds, as a new mode of investment one-man company arises at the historic moment, one-man company came into being as a new form of investment. Its flexible mode of operation and low cost of setting up and favored by many small investors, has also been affirmed most of the world countries. China’s new "Company Law" for the first time admitted that its legal status, which is a major breakthrough in China’s commercial legislation. However, due to the one-man-man company has only one-man shareholder, the lack of effective internal oversight and checks and balances, it is easy to obtain shareholders’ interests and abuse of illegal corporate personality, against the interests of others, more effective and balanced approach to this problem is to take the company to deny the theory of personality, pierce the corporate veil, accountability shareholders."Company Law" Article 20, to establish the company personality denial system, and in section 64 for the one-man-man company Disregard made special provisions Disregard of Corporate Personality system is also known as piercing the corporate veil or piercing the corporate veil, that is to prevent the abuse of corporate personality shareholders, maintaining the company’s creditors and the public interest community, under certain circumstances, to deny the company’s personality, decree hidden behind the shareholders or creditors of the company’s commitment to the public interest against the consequences. Due to the special nature of one-man-man company, so one-man person’s need for governance, especially its secondary. But one-man man company Disregard system is not perfect, but a double-edged sword. On the one-man hand, it prevents shareholders to obtain illegal benefits against the abuse of corporate personality and social public interests of creditors, shareholders deter unscrupulous intentions; the other hand, if too frequent application of the system, it is likely to threaten the most basic principles of corporate system-the limited liability principle, be enthusiastic investors severely affected, so how much more cautious apply this system is particularly important. Although the one-man-man company Disregard the institutional framework has been initially set up is completed, but the provisions are relatively general and vague, lacking refinement of operational provisions, it is difficult to apply these theories to specific cases. Therefore, this article attempts to further explore the personality of a person denied the company made its lack of presence at the operational level, and put forward relevant suggestions to improve the legislative and judicial practice perspective.Based on this, the paper is divided into four chapters, the first chapter introduces the general theory of one-man-man company system, including the concept of one-man-man company, background, classification, characteristics, and analyzes a person’s inherent flaws. The second chapter describes the one-man-man company personality denial system, highlighting its theoretical basis, the necessity and the applicable circumstances. The third chapter analyzes the system of one-man-man company Disregard Elements and applicable law. Chapter IV for the one-man-man company denies lack of personality theories exist, given the perfect proposal from the legislative and procedural aspects.