Analysis Of Identification And Legal Liability Of Connected Transaction

The first time "connected transaction" appeared in the law of China is in the Corporate Income Tax Law of the People's Republic of China for Enterprises with Foreign Investment and Foreign Enterprises in 1991.In 2005,the word "connected relation" appeared in the Corporate Law.Henceforth,"connected transaction" exists in the judgements frequently.However,the forms of connected transaction,the judgement standard of improper connected transaction and the legal liability of connected transaction have not been clear in law until now.In the first chapter,two cases choose from the judgement of court try to explain the confusion that courts garble the concept of the effect of transaction and the liability of the transaction which lead to the responsible subject being faulty identified.In the second chapter,the article sort out the concept of connected transaction in law and discuss the essence of connected transaction in theory.In the third chapter,the article conclude the way that court to discern connected transaction and the judgement standard of improper connected transaction.In the fourth chapter,on the basis of criticizing current litigation path of connected transaction,the article bring up its new idea,also,the article discuss the nature and forms of the legal liability of improper connected transaction.In the last chapter,the article summarize the key idea and conclusion.