PROBLEMS OF LEGAL REGULATION OF THE ACTIVITIES OF LIMITED AND ADDITIONAL LIABILITY COMPANIES

Abstract

The article deals with topical issues of limited and additional liability companies legal regulation. The authors note that in the new socio-economic conditions, the legal entity institution has undergone a significant transformation. Public relations arising in the creation and operation of legal entities proces, including corporate legal relations that develop between a legal entity, its founders (participants) and persons performing the bodies functions, are becoming more complex, new contracts types are emerging, corporate behavior principles are being formed and criteria for mutual civil liability of participants in these relations are being developed. Thus, a limited liability company is an economic structure that was created on a decision basis to merge capital into the Authorized Capital, which is initially distributed among the organization participants on thе equity participation principle. Members of the company may not have any liability for agreements and contracts concluded company behalf, bearing the losses solely risk within the their personal share limits in monetary terms. In the business activities course, the company periodically enters into contracts with counterparties that are fully or partially affiliated with it. Sometimes these transactions are made for thе society benefit, but most often only out founders selfish motives to other participants or shareholder's detriment. Such transactions are called interest-bearing transactions. For them, the legislation has provided for approval special procedure, which, however, the company can simplify or complicate in its charter. An additional liability company is an organizational and legal form of an enterprise in which citizens or legal entities unite for the sake of doing business together.