Our Enterprise Legislation attorneys present advice and counsel regarding entity formation, structure, enterprise continuity planning, and documentation of complex enterprise transactions involving mergers, acquisitions and financing preparations. Article 50: A limited legal responsibility company with comparatively few shareholders or comparatively small in scale could have one executive director instead of a board of administrators. If any merchandise within the scope of business of a company is topic to approval as required by legal guidelines or administrative rules, such merchandise shall be authorized based on the legislation.
The place a company restricted by shares is established via share offer, the registered capital shall be the overall paid-up share capital as registered with the company registration authority. The provisions of Article forty seven hereof on the capabilities and powers of the board of administrators of limited liability corporations shall apply to the board of administrators of companies restricted by shares.
If a resolution of the board of directors violates any law or administrative regulation, or the company’s articles of affiliation or a resolution of the final assembly, thereby inflicting the company to incur severe losses, the administrators that took half in such resolution shall be liable to the company for compensation.
The capabilities and powers of the chief director shall be specified in the articles of association of the company. Such amendment to the articles of affiliation of the company doesn’t require a resolution by the board of shareholders. A rare assembly of the board of administrators may be proposed by shareholders representing 10{7fa514c34e37282fd489f0c980edc6b14aa761d0370bc6fb1bde7d36d8197420} or extra of the voting rights or one third or more of the administrators or the board of supervisors.
Article 26: The registered capital of a limited liability company shall be the capital contributions subscribed by all shareholders as registered with the corporate registration authority. These questions fall under the laws that govern business entities, which are state laws.