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- W2371820964 abstract "Prohibition of business strife, one of the duties of the board members, is a major issue in the modern corporate governance structure. As a result of the separation of ownership and management of the corporation, the power of board members having no ownership in deciding the production and management of the corporation is being continuously strengthened. In order to preclude powerful board members from embezzling and jeopardizing the interests of the corporation and the shareholders, Western countries have promulgated laws to ensure their duties, including the duty not to compete. In the last ten years, China published some laws and regulations regarding the definition and disposal of board members' act concerning the prohibition of business strife. This system did not work well due to some deficiencies and defects, particularly the inconsistency with the subject scope, the uncertainty of duration, the obscurity of competitive limits, the imperfection of the legal liability system and the lack of necessary flexibility. To restructure the system of prohibition of business strife in China, we should follow four fundamental principles: legal interests equity, rights consistent with obligation, mitigating discrimination treatment and litigation remedy. Furthermore, there are five suggestions in this article to perfect the system of prohibition of business strife. First, to change absolute prohibition into relative prohibition and to loosen some restrictions conditionally. Second, to unify the subject scope. Every enterprise should assume equal responsibility under the same regulation, regardless of its ownership style. Third, to define the duration that includes either tenure of the board member or period after his post. Fourth, to define the extent of the duty, especially, to articulate the definitions of ″serving for his own account ″ and ″serving for any other person's account ″, to demarcate the extent of ″the same business as the company ″. Finally, to perfect the legal liability system, especially to embody the procedural clauses of imposing legal liabilities in order to strengthen the litigation remedy." @default.
- W2371820964 created "2016-06-24" @default.
- W2371820964 creator A5015905956 @default.
- W2371820964 date "2004-01-01" @default.
- W2371820964 modified "2023-09-22" @default.
- W2371820964 title "An Analysis and Some Suggestions on the Legislation of Board Member's Duty of Prohibition of Business Strife" @default.
- W2371820964 hasPublicationYear "2004" @default.
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