On The Case Of The Xiangtan Jiayuan Business Limited Company Dissolution Suit

As the one of the important parts in business, corporation’s normal and highlyefficient operation makes big importance in social life. The normal operation relies onthe appropriate exercise of rights between the corporation governance structure andthe shareholders. They discharge their functions and powers through board ofshareholders or directors. Most of the corporation governance structure involvescertain numbers of shareholders、directors and executives. It’s common to havedifferent voice in daily operation. Generally speaking, the internal disagreement couldbe solved through exchanging views. If not, there will be a lot of obstacles ofcompany governance structure. These obstacles will block the healthy operation ofcompany even leads to the company deadlock, if the disagreement cannot be decided.In this time, court plays a important part in the life of company.In this case, because the shareholders Mr Lu and Mr Wu in Xiangtan JiayuanBusiness Company want to dissolute the company, they have problems with the actualcontroller Mr Dong and the company. So they bring a suit against the company and MrDong. After the case to court, the both sides seriously disagree with each other. Theplaintiffs ask for dissolution of the company, but the respondents think the other haveno right in it and the company works well. It is observed that the focuses of dispute inthis case are the standing rights of plaintiffs and the reasons of company dissolution.The both sides blame each other for injuring to interest of company and shareholdersby self-proving. In order to solve these problems, it’s critical important to correctlyunderstand the laws and define what the rights of shareholders and the ways ofsolving company deadlock are according to related laws. Only when the ways ofsolving company deadlock are exhausted can company be dissolved for safeguardingthe social stability.