Implicit in the company laws of common law jurisdictions is the notion of the corporate veil and the insulation of company shareholders from liability for debts of the company. The veil is not sacrosanct, however, and in appropriate circumstances courts will allow company creditors to pierce the veil and recover debts of the company directly from its shareholders. In contrast, the company legislation of China, supplemented by quasi-legislative rulings by the Supreme People’s Court, provides company creditors with an explicit right to pierce the corporate veil and pursue shareholders for satisfaction of company debts.

Lin Jianqun. Analysis of the Piercing Corporate Veil. International Journal of Frontiers in Sociology (2023), Vol. 5, Issue 12: 92-98. https://doi.org/10.25236/IJFS.2023.051215.

[1] Lin L., Jia H. B. Reverse Piercing of the Corporate Veil - The Expanded Application of the Corporate Law Personality Denial Rule[J]. People's Justice 2010, 14(03): 86-89

[2] Si. Z. Corporate Property Independence under the Asset Split Theory-Economic Functions and Legal Limitations[J]. Zhongwai Jurisprudence 2019, 5(01):1357-1376

[3] Zhu. C. Y. Theory and Practice of Corporate Personality Denial System[M]. People's Court Press: Beijing, China, 2009

[4] Yue. W. B. Reverse denial of corporate personality: value, utility and institutional construction [J]. Journal of the National Prosecutors College 2021, 6(01): 168

[5] Liang. H. X. General Principles of Civil Law[M]. Law Press: Beijing, China, 2011. 

[6] Liu. J. H. Analysis of the Difficulties in Interpreting the System of Unveiling Companies in the New Company Law[J]. Journal of Tongji University (Social Science Edition)2020, 1(03): 6

[7] Wang. Z. J. Legal Thinking and Examples of Civil Law[M]. China University of Political Science and Law Press: Beijing, China, 2001

[8] Li. J. W. An Empirical Study on the Denial of Corporate Personality of Affiliated Companies[J]. Law and Business Research, 2021, 6(01):107

[9] Huang Hui. Empirical Study on the System of Personality Denial in Chinese Company Law Legal Research [J]. Legal Research, 2012, 1(01) :35