Research On The Liability Of Equity Defect In Equity Trust

Equity trust is a form of trust in which the equity of a company is used as trust property.After the company’s equity is entrusted,the trust company is not only the trustee of the trust,but also the shareholder of the project company,which is regulated by the Trust Law and the Company Law.After the system of registered capital subscribed,as the shareholders of a company’s project the client can use defective equity ACTS as the trust property,and trust often involves the transfer of the ownership of the property,in accordance with the current of the company law,the judicial practice,the judicial organ entrusted people tend to be identified trust the equity of malicious transferee,ask its obligation of contribution make up.In order to prevent and defuse major financial risks,regulators issued the New Rules on Asset Management in 2018,explicitly requiring asset management institutions not to continue to make rigid payments to financial managers.But in practice court trust company manufactured by the principal of defects liability than rigid redemption,it requires trust company for the client to provide the principal in disguised forms,and will further increase the financial risk,trust industry,therefore,determine the equity trust defects liability to equity objects become a problem needs to solve,The solution of this problem will help to enlarge the scale of equity trust in China and promote the development of trust industry.To this,the article studies the principal use of defective equity as the case of the trust property and legal analysis,according to the classification of the structured and unstructured equity stake to accept the trust,and analyzes the relations between the two kinds of trust in the rights and obligations of the parties to a trust,obtained by the principal responsible for equity stake defects in trust,After that,this paper analyzes the reasons why trust companies are the ones responsible for equity defects in equity trust in current judicial practice.Finally,it puts forward suggestions on reasonable allocation of liability for equity defects in equity trust,focusing on perfecting the trust property registration system,clarifying the rights and obligations of all parties in the trust relationship through legislation,and improving the risk awareness of trust companies.The article is divided into six parts.The first part is the introduction,which introduces the source and significance of the topic,and reviews the research results of domestic and foreign scholars.The second part analyzes three typical cases to understand the current court’s thinking on the two different types of business trust dispute cases,structured trust and unstructured trust,which is helpful to build the basic framework of the rights distribution of the parties in the trust relationship.The third part describes the equity trust and classifies the two types of equity trust,structured equity trust and unstructured equity trust,and clarifies the rights and obligations of each party in different types of equity trust according to their respective characteristics.The fourth part,through the introduction of the legislative and judicial status quo,makes it clear that the assumption of liability for equity defects in equity trust has become an incentive to damage the inherent property of trust companies,and analyzes the trust property registration system,the liability assumption system for equity defects,and the trust company’s understanding of risks.The fifth part puts forward countermeasures and suggestions for the problems found in the previous part.The sixth part is the conclusion,summarizes the main theories and countermeasures of this paper,and looks forward to the future development of equity trust system.