On Monday, February 6th I will be presenting a paper entitled ‘The paradigm of legal capital: times of change in European Corporate Law?’ at the Corporate Law Teachers Association Conference 2012, to be held at the Faculty of Law, Bond University, Gold Coast (Queensland, Australia). Here is the abstract:
Company Law in the Macao Special Administrative Region of the People’s Republic of China (a Chinese territory which was administered by Portugal until 1999) is based on the premise that a company must at all times keep a certain capital base in order to operate. Under the influence of the European Union’s Second Company Law Directive of 1976, the law of Macao maintains a complex regime aimed at capital maintenance. Traditionally, these rules are seen as a means of protecting the creditors’ interests. This paradigm is being debated in Europe. According to some commentators, the costs associated with these requirements significantly outweigh any benefits accrued by creditors, and therefore they should be abandoned in favour of more flexible rules. In this paper we discuss if the company’s capital may still play an important role in the development of business and in the protection of creditors’ interests.