Supreme People's Court circulates draft of new Company Law interpretation | Practical Law

Supreme People's Court circulates draft of new Company Law interpretation | Practical Law

The Supreme People's Court has published for public comment a draft of its fourth judicial interpretation of the Company Law of the People’s Republic of China. The draft curbs the ability of majority shareholders to abuse their superior position to the detriment of minority shareholders, creditors and employees. It also addresses the enforcement of a shareholder’s pre-emptive rights and procedural issues related to derivative suits.

Supreme People's Court circulates draft of new Company Law interpretation

Practical Law UK Legal Update 6-626-6552 (Approx. 7 pages)

Supreme People's Court circulates draft of new Company Law interpretation

Published on 19 Apr 2016China
The Supreme People's Court has published for public comment a draft of its fourth judicial interpretation of the Company Law of the People’s Republic of China. The draft curbs the ability of majority shareholders to abuse their superior position to the detriment of minority shareholders, creditors and employees. It also addresses the enforcement of a shareholder’s pre-emptive rights and procedural issues related to derivative suits.