Is the individual's security right as a company guarantee valid?

The company's guarantee for personal loans is invalid. According to the law of our country, directors and managers are not allowed to use the assets of the company to guarantee the debts of shareholders or other individuals. If a director or manager violates the law and provides a guarantee for the company's shareholders or other individuals with the company's assets, the guarantee contract is invalid.

legal ground

Article 148 of the Company Law Directors and senior managers shall not commit any of the following acts: (1) misappropriating company funds; (2) Opening an account for the company's funds in its own name or in the name of other individuals. (3) Lending the company's funds to others or providing guarantee for others with the company's property without the consent of the shareholders' meeting, the shareholders' general meeting or the board of directors, in violation of the provisions of the company's articles of association; (4) Entering into a contract or conducting a transaction with the company in violation of the articles of association or without the consent of the shareholders' meeting or general meeting.