國(guó)際商法 business organization教材

Chapter2LawofBusinessOrganizationWhatisbusinessorganization?Whatformsdoesbusinessorganizationhave?PartnershipLawDefinition&NatureofPartnershipPartnershiptherelationwhichsubsistsbetweenpersonscarryingonabusinessincommonwithaviewofprofitbusinesstrade,occupation,professionpersonindividuals,partnerships,corporationandassociationscontractagreementbetweenpartnersconcerningtothefirmbusinessRights,DutiesandLiabilitiesRightsDutiesLiabilities1.Management2.Shareintheprofitsandsurplus3.Inspectrelatedmaterials4.PropertyrightsFiduciarydutyRenderinformation1.Liabilitiesofpartnersincontract2.Liabilityofpartnersforwrongs3.LiabilityofincomingpartnerDissolutionandwindingupofpartnershipDissolutionistheendingupofapartnership.Windingup(liquidation)isaprocesswherethepartners,oradministratorassumecontrolofthepartnershiptoliquidatetheassets,settleaccounts,disposeofitsbusiness,distributethenetassetstocreditorsandanysurplustotheproprietors.ReasonsforDissolutionA.NonwrongfulDissolution1.ByretirementofapartnerwheretheFirmisofnofixedduration.2.Bycompletionoftheagreedperiodorventure.Tip:Thepartnerscanatanytimeunanimouslyagreetodissolveapartnership.Allthatisnecessaryisforapartnertonotifytheotherpartners.B.WrongfulDissolution1.Byapartnerexcercisingthepowertodissolvewhenhedoesnotpossesstheright2.Bypartners’refusaltocarryouttheirobligationunderapartnershipagreement3.Byapartner’sfailuretopayhispartnershipcontributionorrefusaltofurnishtheservicesagreedonTip:Apartnerwhowrongfullydissolveslosestherighttodemandawindingupandliquidation.C.AutomaticDissolution1.Bydeathorbankruptcy2.Byunlawfullycarryingoutthebusiness.3.Byapartnerlosingherlicensetopracticetheprofessionorcarryonthebusinessofpartnership.D.ByorderofacourtThisusuallyoccursonpetitionbyoneormorepartners.Groundsforsuchaction:insanityofapartner,permanentdisabilityofapartner,willfulorcontinuingbreachofthepartnershipagreement.IntroductiontoL.P.andL.L.P.L.P.What‘sthedifferenceamongG.P.,L.P&L.L.P.?LAWOFCORPORATIONSDefinitionClassificationsCreationFinancingManagementMember’sRightsWindingupThePrincipalCharacteristicsoftheCorporation1.Creation(becreatedonlybypermissionofagovernment)2.LegalStatus(anindependentlegalpersonorentity)3.Powers(toacquire,hold,conveyproperty,sueandbesuedinitsownname)4.Management(shareholderselectaboardofdirectors,whichmanagethecorporationanddelegatemanagementdutiestoofficers.)5.Owner’sLiability(theshareholdershavelimitedliability)6.TransferabilityofOwner’sInterest(theownershipinterestinacorporationisfreelytransfereable)7.Taxation(e.g.ashareholderwouldhavepersonalincomefromthecorporationwhenthecorporationpayshimadividend.Thiscreatesadouble-taxationpossibility:thecorporationpaysincometaxonitsprofits,andwhenthecorporationdistributestheafter-taxprofitsasdividends,theshareholderspaytaxonthedividends)Classification1.Byliabilityofmembers2.Bymembership3.BythesizeofthebusinessCreation:IncorporationProcedure1.Selectanameofthecompany2.DrawupMemorandumofAssociation3.Certificateofincorporation4.Appointthedirectors5.Completeandlodgetheapplicationform

CorporateManagement—Director’sDuties1.Dutytobeloyaltothecompany2.Dutyofcare3.The“businessjudgment”ruleShareholder’sRightsandLiabilitiesShareholders’meetingsb.Shareholders’electionofdirectorsc.Fundamentalcorporatechangesd.Shareholders’Inspectionandimformationrightse.Distributiontoshareholdersf.Shareholders’lawsuitsg.Shareholders’liabilities

a.shareholders’meetingsArticle104ofChinaCompanyLawstates:Theannualmeetingoftheshareholders’generalmeeingshallbeconvenedonceayear.Aninterimshareholders’generalmeetingshallbeconvenedwithintwomonthsifanyofthefollowingsituationoccurs:1.ifthenumberofdirectorsislessthanthenumberstipulatedbythislaw,orlessthantwo-thirdsofthenumberrequiredbythearticlesofassociationofthecompany;2.iftheamountofthecompany’slossesthathavenotbeenmadeupreachesone-thirdofitstotalsharecapital;3.ifshareholdersholdingtenpercentormoreofthecompany’ssharesrequesttoconveneashareholders’meeting;4.iftheboardofdirectorsdeemsitnecessary;5.ifthesupervisoryboardproposesthatsuchameetingbeconvened.c.FundamentalCorporateChangessuchasmerger,consolidation,shareexchange,asaleofallorsubstantiallyalloftheassetsofthebusinessotherthanintheregularcourseofbusiness,adissolutionrequireshareholders’action.e.DistributiontoShareholders1.Dividends2.ShareRepurchasesf.Shareholders’Lawsuits1.shareholders’individuallawsuits2.shareholders’classactionsuits3.shareholders’derivativeactionsg.Shareholder’sLiabilities1.ShareholderLiabilityforIllegalDistributions2.ShareholderLiabilityforCorporateDebtsTerminationofCorporationA.DissolutionbyAgreementB.InvoluntaryDissolution1.Byajudgmentofacourt2.Byashareholder’sapplicationforacourttodissolveacorporation

WindingUpProcessForeignInvestmentEnterprisesChinaEquityJointVenturesChinaContractualJointVenturesChinaForeignCapitalEnterprisesDefinition,Creation,ContractandArticlesofAssociation,FormofOrganizationandRegisteredCapital,WaysofContributingInvestment,JointVenturesManagement,DurationandDissolutionChinaEquityJointVenturesDefinition:Article4oftheChinaEquityJointVenturesLawstates:anequityjointventureshalltaketheformoflimitedliabilitycompany.Legalcharacteristics:theprofitsandlossesaredistributedbetweenpartiesinproprotiontotheirrespectiveequityinterestsintheventure.Thischaracteristicsdistinguishesitfromacontractualjointsventure.Registration:awrittenapplication2.thefeasibilitystudyreport3.jointventureagreement,contractandarticlesofassociation4.listofcandidatesforchairman,vice-chairmanofboardofdirectorsanddirectors5.writtenopinionsTheaforesaiddocumentsshallbewritteninChinese.WaysofContributingInvestmentEachjointventurermayinvestincashormaycontributebuildings,factorypremises,equipmentorothermaterials,industrialproperty,proprietarytechnology,orrighttotheuseofasite,appraisedatappropriateprices,asinvestment.ChinaContractualJointVentureDefinition:Foreignenterprises,otherbusinessorganizationsorindividualsandChineseenterprisesorotherbusinessorganizations