1. Shareholders of a limited liability company are liable to the company to the extent of their subscribed capital contribution.
(1) Shareholders who have paid their capital contribution to the company and fulfilled their capital contribution obligations will not be liable when the company goes bankrupt.
(2) If a shareholder fails to pay the capital contribution to the company or perform the obligation of capital contribution, he shall make up the capital contribution he has subscribed when the company goes bankrupt.
2. Shareholders of a joint stock limited company shall be liable to the company to the extent of the shares subscribed by them.
(1) If the shareholders of the company abuse their rights and cause losses to the company or other shareholders, they shall be liable for compensation according to law.
(2) If the shareholders of the company abuse the independent status of the company as a legal person and the shareholders' limited liability to evade debts, which seriously damages the interests of the company's creditors, they shall be jointly and severally liable for the debts of the company.
Company bankruptcy application procedure
1. The company shall submit a bankruptcy application to the court, and attach relevant financial materials, such as the company's balance sheet, cash flow statement and financial statements.
2. According to the requirements of the court, the company needs to organize relevant personnel to make explanations and oral defense, including the company's operation, bankruptcy reasons, assets and liabilities, and the list of outstanding creditors.
3. The court will appoint the bankruptcy administrator to manage all the assets of the company and organize the liquidation of the company's assets. At this time, the company's decision-making power and management right were deprived, and all assets and liabilities were owned by the bankruptcy administrator.
4. The bankruptcy administrator will pay off the debtor according to the judgment of the court, convene a creditors' meeting, liquidate the company's property, and pay the liquidation money to the creditors according to legal procedures.
To sum up, as long as shareholders earnestly fulfill their capital contribution obligations, they do not have to repay their debts after the completion of bankruptcy proceedings. However, if a shareholder provides a guarantee for the company's debts, he shall bear the guarantee liability.
Legal basis:
Company Law of the People's Republic of China
essay
The company is an enterprise legal person, with independent legal person property and legal person property rights. The company is liable for its debts with all its property.
Enterprise Bankruptcy Law of the People's Republic of China
Article 35
After the people's court accepts the bankruptcy application, if the debtor's investors fail to fully fulfill their capital contribution obligations, the administrator shall require the investors to pay the subscribed capital contribution, which is not limited by the capital contribution period.