The shareholder’s right to know refers to the right of the company’s shareholders to know the company’s information.
According to different types of companies, shareholders’ right to know can be divided into limited liability company shareholders’ right to know and limited liability company shareholders’ right to know.
The shareholder’s right to know is a system of rights, which consists of three rights, namely, the right to inspect financial and accounting reports, the right to inspect account books, and the right to request the appointment of inspectors. Although the contents of the above three rights are different, the core is the shareholder’s right to know the company’s affairs, all of which are to enable the shareholders to obtain sufficient information. The exercise of shareholders’ right to know is not only directly related to the realization of shareholders’ own rights and interests, but also closely related to the standardization of company management. Therefore, countries all over the world have made certain regulations on shareholders’ right to know when formulating company laws. In China’s revised company law, the legislation on shareholders’ right to know has been improved.
The shareholder’s right to know is the legal grant to shareholders the right to understand the company’s operation status and the business activities of the company’s senior executives by consulting the company’s financial report materials, account books and other relevant information about the company’s operations, decision-making, and management, and asking questions related to the above. The shareholder’s right to know is a system of rights, and the shareholder’s right to know is not a single right but a system of rights. It consists of a series of rights such as the right to check the company’s articles of association, the right to check the minutes of the shareholders’ meeting, the right to check the company’s accounting report, and the right to check the resolutions of the board of directors. Modern companies implement the separation of ownership and control. Shareholders do not directly operate the company’s affairs. To participate in and supervise the company’s affairs, shareholders must first obtain relevant information about the company’s operation. The company’s supervisory power and major business decisions are to safeguard the ultimate interests of shareholders. In order to safeguard the interests of shareholders, it can be said that the shareholders’ right to know is the premise and basis for realizing other rights.
Is the shareholder’s right to know a common interest?
Yes. Shareholders’ right to know has the nature of both self-benefit rights and common interest rights. That is, it not only protects the individual interests of shareholders, but also protects the overall interests of the company. Common interests are the rights exercised by shareholders both for their own interests and for the interests of the company, mainly referring to the rights of shareholders to participate in the management of the company.