The founding shareholders of a real estate company invited a famous state-owned enterprise to invest and invest in the real estate company it started. The state-owned enterprise invested 30 million yuan to hold about 18% of the equity of the real estate company. However, the founding shareholder controls the company by taking advantage of the position of the major shareholder, and does not hold the meeting of shareholders and the board of directors of the company for a long time. The state-owned enterprise has not received any investment in 6 years. In this case, the state-owned enterprise entrusted me to a court to file a lawsuit.

Results:
 

The company law of the People's Republic of China, passed in 1993, was enacted when China was just entering the market economy. Among them, there are no clear legal restriction measures for major shareholders to use the dominant position of controlling the company to infringe on the interests of other shareholders, and there are few relevant academic studies. After accepting the case, the lawyer of our firm applied profound legal principles to put forward the shareholder representative litigation theory of the company, and put forward a series of theoretical explanations on the behaviors of major shareholders who use the dominant position of controlling the company to infringe the interests of other shareholders, and successfully persuaded the judge of the court to support the lawsuit request of our client. The host judge of this case wrote a related academic paper based on the judicial practice of this case, and won the prize in the Supreme Court's essay contest.
 

Under the common push of everybody, the newly revised "company law" in 2005 has joined the relevant provisions. Such as "company law" article 20 the shareholders of a company shall not damage the interests of the company or to other shareholders by abusing the shareholder rights, article 75 of this law objection shareholder equity repurchase right of claim, and article 148 to article 153 of the company senior management personnel to the company's loyal diligence obligation and recourse to related violations of the sanctions.