"Significantly Inadequate Capital" In The Rule Of Denial Of Legal Personality Specific Application

The reform of the company capital system in 2013 cancelled the original registered capital system,established the subscribed capital system,installment is no longer subjected to time limit.These changes caused chain reactions,include the application of disregard of corporate personality system under the circumstance of "inadequate capitalization".In order to achieve the judicial fairness and justice,and to balance the interests between shareholders and creditors,it is necessary to make an adjustment to apply the rule in this situation.This paper presents the basic theory of "significant shortage of capital" by presenting the current status of “significant shortage of capital” in the application of legal personality in the denial of corporate personality.It attempts to discover and point out that the existing system does not adequately address the application of "capital".Significantly insufficient to negate the judicial issues brought about by the company's independent personality,from the discussion of the current legal provisions can not provide strong legal support for judicial decisions,so as to further study the solution to the problems in the judicial practice out of the way.The main text can be divided into four parts:The first part mainly elaborates on the dilemma in the judicial practice of the "capital shortage" in legal personality,which includes the problems such as the vagueness of the criteria for the identification of "significant capital deficiency",the inconsistent application time,and the unreasonable distribution of the burden of proof.The second part first analyzes the judicial cases since the introduction of the Chinese legal person personality denial rule,and summarizes the legal application situation after the introduction of the Chinese legal person personality denial rule.Secondly,it analyzes the specific application of "significant shortage of capital" in judicial practice in the judicial personality practice,and further demonstrates the application standard of "significant capital inadequacy" in the judicial practice in China.In general,it cannot be used as a stand alone to deny the independence of the company.Personality conditions.The third part focuses on the elaboration of the theoretical basis of "significant shortage of capital",including the clarification of the meaning and criteria of "capital" and "significant deficiency." First of all,it analyzes several mainstream theories of "capital" in the theoretical field,and concludes that the criterion for the determination of "capital" in judicial practiceshould be paid-in capital.Second,the recognition of "significant inadequacy" must not only determine the matching degree between the company's capital and business risks,but also need to combine the company's ability to pay debts.Finally,we concluded the criteria for identifying "significant shortage of capital".The fourth part is to choose the way out for the predicament in the application of "capital shortage" in judicial practice,which is divided into two aspects: legislative advice and judicial advice.