On The Protection Of Small And Medium Shareholders'rights And Interests In China's Company Law

Since the Third Plenary Session of the 18 th CPC Central Committee,China's private economy has grown stronger.As an important part of market economy,It plays an important role not only in the interests of shareholders,but also in maintaining the proper functioning of social stability and the development of the economy.After several revisions of the Company Law and four judicial interpretations,China has developed to today.Although it plays an important role in the company's active management,there are defects in the management of the responsible person's governance system,so that the interests of small and medium-sized shareholders in the company are seriously damaged.In the internal management and operation of the company,the large shareholders are in absolute control position,while the small and medium shareholders are in a disadvantageous position because of their dispersed ownership and inconvenience in connection with each other.Major shareholders rely on the principle of capital majority and absolute control of the board of directors.Major shareholders arrange their assets and personnel according to their own wishes.This practice can easily lead to their own illegal interest needs and may infringe on the interests of other interests.On the basis of jurisprudence,safeguarding fairness and justice is not only reflected in society and individuals,but also in the interests of small and medium-sized shareholders within the company,which is the extension of law to business.From the social and economic point of view,small and medium shareholders are an indispensable force for the great development of the company,and the normal development of the company is inseparable from a sound governance mechanism and a higher degree of governance.Although the "Company Law" amended by China in 2005 and the Supreme People's Court on September 11,2017,the Provisions on the Application of the Company Law of the People's Republic of China(4)(hereinafter referred to as "Company Law Interpretation IV")The issue of protecting the rights and interests of minority shareholders has been revised,but in practice there are still some shortcomings.Therefore,the protection of minority shareholders' rights and interests has become more and more concerned.The author first discusses the relevant concepts and viewpoints of minority shareholders and the necessity and importance of maintaining minority shareholders.Secondly,the author illustrates the common situation of minority shareholders rights and interests impaired in judicial practice,and analyzes the reasons.Thirdly,combined with the protection of minority shareholders rights and interests Summarized related experiences and Lessons Place some personal suggestions ahead of the content,both at home and abroad.In my opinion,as an important part of the company,the legitimate rights and interests of small and medium shareholders should be protected,but the law should not interfere too much with company management,otherwise it will not only run counter to the principle of corporate autonomy,but also have a negative impact on the long-term development of the company.As the basic principle of company operation,capital majority decision should not only ensure its practical significance,but also restrict the company's own shortcomings,so as to achieve protect equality and equality in human rights and interests of small and medium-sized protectors.