On the Judicial Review of the Minority Shareholders of Limited Liability Companies Exercising the Right of Veto

DOI

10.2991/aebmr.k.201128.042How to use a DOI?

Keywords

Limited liability company, Minority shareholders, Veto power, Voting rights

Abstract

In order to avoid the oppression of large shareholdrs, the minority shareholders of limited liability companies often adopt the terms of one person, one vote, minimum attendance, super majority decision and even unanimous consent. Such clauses give the minority shareholders the right to veto the meeting matters to varying degrees. The dissenting shareholder’s right to claim for share repurchase was introduced into China’s company law in 2005, and its main function is to protect the interests of small shareholders. This paper analyzes the veto power and the existing problems of the small shareholders of the limited liability company, and then puts forward the relevant scheme to protect the interests of the small shareholders of the limited liability company by increasing the proportion of the voting rights of the resolution. At the same time, it analyzes the rights of small shareholders to prevent them from abusing the company’s rights after giving them the power. The experimental results show that the new company law protects the legitimate rights and interests of the minority shareholders of the limited liability company, and restricts the shareholders who abuse the rights of the company. Both the major shareholders and the minority shareholders are satisfied with the amendment of the company law.

Copyright

© 2020, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Huashan Lin
PY  - 2020
DA  - 2020/11/30
TI  - On the Judicial Review of the Minority Shareholders of Limited Liability Companies Exercising the Right of Veto
BT  - Proceedings of the 2020 2nd International Conference on Economic Management and Cultural Industry (ICEMCI 2020)
PB  - Atlantis Press
SP  - 201
EP  - 205
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.201128.042
DO  - 10.2991/aebmr.k.201128.042
ID  - Lin2020
ER  -