| In the rapid development of my country’s securities market for decades,various violations of laws and regulations have emerged one after another.Small and medium investors account for more than 99% of investors in my country’s securities investment field.In these infringement cases,the individual investors often suffer the most.However,these investors are widely distributed across the country,and the degree of damage varies.Many investors often choose to abandon their legal rights through civil litigation due to cost-benefit considerations.In these infringement cases,the penalties received by the violators are often very limited,and they cannot sufficiently deter other potential violators,and the compensation received by small and medium investors in the litigation cannot cover their payment for the lawsuit.The cost has caused the representative litigation system stipulated in the "Civil Procedure Law" to be in a dormant state for a long time.With the gradual implementation of the registration system and the promulgation of the new "Securities Law",violations of laws and regulations in the securities market require stricter supervision.How to activate the securities representative litigation system and regulate the relevant behaviors of securities market entities is an urgent need to consider problem.The promulgation of the new "Securities Law" in December 2019 responded to the practical problems of this system.Special representative litigation was filed on the basis of the indeterminate representative litigation system in Article 54 of the Civil Procedure Law.The system has formed a securities dispute class action system with Chinese characteristics.This system takes the Investor Services Center as a qualified plaintiff in the special representative litigation,and all kinds of investors participate in the litigation on the principle of "explanatory withdrawal,implied participation".This article focuses on the special representative litigation system stipulated in the new "Securities Law",taking the first case of special representative litigation,Kangmei case as the starting point,and on the basis of demonstrating the eligible status of the plaintiff of the investor services center,and drawing lessons from foreign practices.Long class litigation experience has led to some problems that may exist in the practice of the special representative system,including the monopoly status of the investor services center,progressive litigation procedures,and more detailed criteria for the selection of the investor services center,which is the special representative litigation.Suggestions and suggestions on the improvement of the system.Due to the asymmetry of information,the litigation status of small and medium investors and securities market entities is very different,and their rights and interests are difficult to maintain through personal power.Therefore,the investor services center came into being.The Investor Services Center was established in 2014 as a non-profit organization.Its establishment is intended to provide rights protection for small and medium investors across the country.The investor services center has a natural advantage in filing a representative lawsuit.On the one hand,the investor services center is professional and public,and can more comprehensively protect the legitimate rights and interests of investors.On the other hand,the investor services center can greatly save judicial resources by joining the securities litigation.Therefore,the Investor Services Center has naturally become a qualified plaintiff in the special representative litigation.The investor services center has a monopoly position in the special representative litigation.From a long-term perspective,the investor services center’s monopoly position may infringe the rights and interests of investors,and the number of investor protection agencies in my country is prioritized,and case support is insufficient.In the later stage,when the special representative litigation system is operating steadily,competition between investor protection agencies can be opened up,and the investor services center and lawyers will form a benign interaction to jointly promote the development of the special representative litigation system.Secondly,special representative litigation needs to be filed on the basis of ordinary representative litigation.The difficulty of initiating ordinary representative litigation and the possibility of conflict between the scope of the right holder during the transfer of the case to jurisdiction have become obstacles to the special representative litigation.It can be improved through the progressive approach.Contradictions in progressive procedures such as the practice rules of litigation and the expansion of the scope of pre-trial review.Finally,the current selection criteria of the investor services center are not clear.The relevant agencies can further refine the selection criteria of the investor services center,focusing on cases with significant social impact,establishing an open and transparent publicity mechanism and introducing external supervision. |
