The Research Of The Reasonable Use Of The Bankruptcy Reorganization System

Bankruptcy organization is established with the development of modern economy and the demand of the market operation, the value of which follows the trends of modern international bankruptcy law. Also, the system is the key point for states’legislation emendatory. China’s Bankruptcy Law uses the whole Chapter Eight with the specific provisions on bankruptcy organization to make the bankruptcy law system complete with three main system including liquidation, reconciliation and reorganization. Since the implement of the law, on one hand, there have been a lot of enterprises managing to revive by reorganization; on the other, the system has inevitable problems like high cost, low efficiency, unpredictable result and public power intervening. With the situation of bankruptcy reorganization abuse in the judicial practice, the writer considers that it’s necessary to review this system, and to research the cases in the practice to find problems and conclude judicial experience. This paper discusses proper application of reorganization to protect the legal right of relative parties and make the most of the limited judicial resource.