A Research On The Equity Bona Fide Acquisition System Of Limited Liability Company In China

The first show of the bona fide acquisition system is in the Property Law of China,which aim is to find a balance between the right holder and the third party in good faith,and ultimately to achieve the best legislative results that to protect the security of the transaction and to maintain the order of the market.With the rapid development of the economy,the position and importance of equity in market transactions become more prominent which is as an invisible social wealth.So the protection of equity trading market security and order has become another important task of our legislation.Provisions of the Supreme People's Court on Several Issues concerning the Application of the Company Law of the People's Republic of China(?)which came into force in 2011,apply the Bona fide acquisition system to equity trading.It announced that the bona fide acquisition system in the Property Law can be applied to the case of nominal shareholder disposing of shares and the case of sell twice.But it did not mention applying the bona fide acquisition of movable property or the bona fide acquisition of immovable property.The author takes the point that the equity is the basis for shareholders to participate in the management of the company and obtain the distribution of the company's earnings.It has both property characteristic and personal characteristic.The analysis of equity bona fide acquisition system needs to be made again according to its particularity.The right of equity is different from the possession of movable property and the register of immovable property.The change model of equity is different from the delivery of movable property and the change registration of real estate.So the difference of elements must be considered when the equity bona fide acquisition system is applied on the basis of its particularity.The author will try to analyze the constituent elements of the equity bona fide acquisition by comparing the constitutive elements of the bona fide acquisition,summarizing the study of the equity bona fide acquisition from the start of analyzing the nature,definition,right appearance and change pattern of equity.The law of life lies in the implementation.The equity bona fide acquisition system will be finally be implemented in the case of equity disputes.It is incumbent for judges to apply it in a complex case of equity disputes.The author will distinguish the common cases of equity disputes in the text to describe the appliance of the equity bona fide acquisition system of different cases by analyzing cases.The author aim to make the application of the equity bona fide acquisition system more reasonable and unified,as the same that making the equity transactions in the market more standardized and healthy.