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Joint stock companies

In accordance with the article 3 of the law “On joint stock companies and protection of shareholders’ rights” of the Republic of Uzbekistan a joint-stock company is a commercial organization whose authorized capital (authorized fund) is divided into a certain number of shares certifying the rights of shareholders in relation to the company⁷.
The Company is a legal entity and owns separate property, including property transferred to it in the authorized fund (authorized capital), accounted for on its own balance sheet, can acquire and exercise property and personal non-property rights on its own behalf, bear obligations, be a plaintiff and the defendant in court.
The company acquires the status of a legal entity from the moment of its state registration. The company is formed without a time limit, unless otherwise provided by its charter.
However, the Chinese legislation uses terminology “a joint stock limited company” and definition to it was given in the company law of the People’s Republic of China (article 3) a joint stock limited company, its total capital shall be divided into equal shares, shareholders shall assume liability towards the company to the extent of their respective shareholdings, and the company shall be liable for its debts to the extent of all its assets and the company shall enjoy all legal person property rights formed by the investment by shareholders, enjoy civil rights, and bear the civil responsibilities according to law.
Here, we can see that the legal statues of the company in both states regulated by the law (the legal statues of the limited liability company in Uzbekistan is regulated by civil code meanwhile the same company’s legal statues in China regulates by a company law). Moreover, by learning the legal acts of the both countries we can see the differences between the terminology: the joint-stock company in Uzbekistan and the joint stock limited company however the differences do not change the legal statues of company because in both states the company enjoys all legal person property rights, civil rights, non-property rights on its own behalf, bear the civil responsibilities according to law and can be a plaintiff and the defendant in the court.
In Chinese legislation system the joint stock limited company’s state – owned property rights belong the state and it directly shown in the company law (article 4) but in Uzbek legislation, there is no any direct article which regulates state-owned property rights of the company.