SOME PROBLEMS IN APPLYING THE LAW ON LEGAL ENTITIES

Authors

  • Yelena Goryacheva

DOI:

https://doi.org/10.52026/1994-408X_2020_62_4_61

Keywords:

business partnership, joint-stock company, bodies of a legal entity, competence of bodies of a legal entity, pre-emptive right to purchase an alienated share in an LLP

Abstract

The article deals with certain problems of civil legislation regulating the activities of legal entities. Legal entities are the main and most active participants in market relations.

Modern civil legislation is aimed at creating favorable conditions for the activities of economic entities, in which they will be able to quickly adapt to the rapidly occurring changes in the economic environment and market structure.

Ensuring the high quality of legislation on the activities of legal entities is not a purely theoretical problem. The practice of applying these rules demonstrates the need for further work on improving the legislation on legal entities.

At present, some issues in the field of management in partnerships and joint-stock companies remain unresolved.

The procedure for making decisions of the Supervisory Board requires regulation, for example, depending on the nature of the decision, it is possible to distinguish between decisions made by a simple and qualified majority. The lack of sufficient legal regulation of the activities of the Supervisory Board, the form of expression of decisions of the Supervisory Board leads either to ambiguous decisions of the Supervisory Board, or the lack of real managerial authority.

Further improvements of the rules of civil law on joint-stock companies in terms of distribution of competences of the company bodies, for example, not fully legally settled the question of the competence of bodies of joint stock companies on transactions, approval of internal documents of the joint-stock companies. In a situation where the legislation and the Charter do not clearly regulate the list of issues within the competence of the authorities, the decision-making process in law enforcement practice presents significant difficulties.

The problem of "absent" shareholders and participants of the partnership remains unresolved, which is often encountered by Kazakh entrepreneurs in practice, and which seriously complicates the decision-making by the General meeting on a number of issues, including reorganization and liquidation.

The norms of civil legislation regulating the pre-emptive right to purchase an alienated share in an LLP require further improvement. The practice of applying civil law rules when selling a share of an LLP at auction shows that this issue is not sufficiently settled.

Published

30.09.2020

How to Cite

Goryacheva Е. В. (2020). SOME PROBLEMS IN APPLYING THE LAW ON LEGAL ENTITIES. Scientific and Legal Journal «Bulletin of the Institute of Legislation and Legal Information of the Republic of Kazakhstan», 4(62). https://doi.org/10.52026/1994-408X_2020_62_4_61