How can the dividend agreement have legal effect?

The terms of the contract are complete, and the agreement is generally valid without violating public order and good customs or other laws and regulations.

Legal analysis

First, the terms of the contract should be complete. A share dividend agreement requires basic information of both parties to the contract, including basic investment mode, investment time, rights, obligations and responsibilities of both parties to the agreement, rights and obligations of shareholders, dividend mode and shares, prohibited behavior, liability for breach of contract, liquidated damages and other provisions.

Secondly, it is necessary for both parties to reach an agreement, which is a true expression of will and an agreement to accept the contract voluntarily and sign the contract voluntarily and equally.

Thirdly, there must be no clauses that harm the interests of the state, the collective and other third parties, and the agreement must not violate the prohibitive provisions of administrative regulations.

Finally, if you are worried that the contract will not be recognized by the other party, or if the other party goes back on its word, you can notarize the contract. A notarized contract has the function of evidence, and the other party cannot reply on the grounds that the contract does not exist.

The most important thing in the dividend agreement is the autonomy of the parties to the contract, that is, the consent and permission of both parties. "The law can be done without prohibition." The purpose of civil law shows the protection of freedom and human rights everywhere. How to be considered to have freedom and human rights is nothing more than that citizens can freely say what they want to say, do what they want and exercise their due rights according to their own will. This is the connotation of the principle of party autonomy.

In addition to freedom of contract, freedom of marriage and freedom of will embody the protection of civil rights by the principle of autonomy of will in the field of human rights.

legal ground

People's Republic of China (PRC) Company Law Article 5 A company engaged in business activities must abide by laws and administrative regulations, social morality and business ethics, be honest and trustworthy, accept the supervision of the government and the public, and assume social responsibilities.

The legitimate rights and interests of the company are protected by law and shall not be infringed.

Article 4 of the Civil Law of People's Republic of China (PRC) Civil subjects have equal legal status in civil activities. Article 5 Civil subjects engaged in civil activities shall follow the principle of voluntariness and establish, change and terminate civil legal relations according to their own wishes. Article 6 Civil subjects engaged in civil activities shall follow the principle of fairness and reasonably determine the rights and obligations of all parties. Article 7 Civil subjects engaged in civil activities shall follow the principle of honesty and credit and abide by credit. Article 8 Civil subjects engaged in civil activities shall not violate laws, public order and good customs.