Legal analysis: Cumulative voting system means that when two or more directors are elected at the shareholders' meeting, each share held by shareholders has the same voting right as the total number of elected directors. Shareholders can elect one person with all voting rights in a centralized way, or they can elect several people in a decentralized way, and decide the directors according to the number of votes obtained. The cumulative voting system originated in Britain. Cumulative voting right is a kind of voting right. It is a special voting right given to all shareholders when voting on some important matters, mainly when electing directors or supervisors in practice, which is different from other general matters of voting companies.
Legal basis: Article 15 of the Company Law of People's Republic of China (PRC), when the shareholders' meeting elects directors and supervisors, the cumulative voting system may be implemented according to the provisions of the articles of association or the resolutions of the shareholders' meeting. The cumulative voting system referred to in this Law means that when a general meeting of shareholders elects directors or supervisors, each share enjoys the same voting rights as the number of directors or supervisors to be elected, and the voting rights owned by shareholders can be used collectively.