2010•Journal of Nanchang UniversityRequires access

Research on the Plaintiff's Qualifications of the Shareholder's Derivative Action in China

Liu Dong-jing

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Abstract

China's Company Law stipulates that the plaintiffs in shareholder derivative litigation shareholder must comply with two conditions of holding time and ratio.This provision is so general that it leads to a loss as well as non-uniform application of the law in the judicial practice.From the outside's provisions,our country should further clarify and improve the plaintiff's qualifications in the shareholder's derivative litigation in order to facilitate the court to find the suitable plaintiff to participate in the proceeding and to protect the small shareholders and the interests of the company.

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What this paper is about

China's Company Law stipulates that the plaintiffs in shareholder derivative litigation shareholder must comply with two conditions of holding time and ratio.This provision is so general that it leads to a loss as well as non-uniform application of the law in the judicial practice.From the outside's provisions,our country should further clarify and improve the plaintiff's qualifications in the shareholder's derivative litigation in order to facilitate the court to find the suitable plaintiff to participate in the proceeding and to protect the small shareholders and the interests of the company.

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Available abstract

China's Company Law stipulates that the plaintiffs in shareholder derivative litigation shareholder must comply with two conditions of holding time and ratio.This provision is so general that it leads to a loss as well as non-uniform application of the law in the judicial practice.From the outside's provisions,our country should further clarify and improve the plaintiff's qualifications in the shareholder's derivative litigation in order to facilitate the court to find the suitable plaintiff to participate in the proceeding and to protect the small shareholders and the interests of the company.

Key concepts: Plaintiff, Shareholder, China, Business, Law, Derivative (finance), Order (exchange), Corporate law

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