Companies Act
会社法
The rules for forming, organising, running and managing companies: the four kinds of company, their shareholders or members, their directors and other officers, their accounts, and how they merge, split and dissolve.
- Text in force since
- Promulgated
- Articles
- 1078
- Amendments on the way
- 5
What this law does
- The Act governs four kinds of company (会社): the stock company (株式会社), whose shareholders are liable only up to the subscription price of their shares, and three membership companies (持分会社) — the general partnership company (合名会社), whose members all have unlimited liability, the limited partnership company (合資会社), which has members of both kinds, and the limited liability company (合同会社), whose members all have limited liability and must pay their contributions in full before its incorporation is registered. Every company is a legal person, must show its kind in its trade name, and comes into existence when its incorporation is registered at the location of its head office. Members of a membership company are jointly liable for its debts when its assets cannot pay them in full, or when enforcement against its property fails unless the member proves the company can pay and enforcement would be easy — a member with limited liability only up to the part of their contribution not yet paid in.(Art. 2(1)(i), Art. 104(1), Art. 575(1), Art. 576(2), Art. 576(3), Art. 576(4), Art. 578(1), Art. 3(1), Art. 6(2), Art. 49(1), Art. 579(1), Art. 580(1), Art. 580(1)(ii), Art. 580(2)) (the provisions it rests on)
Read the full overview
- Shareholders may transfer their shares, but the articles of incorporation (定款) may require the company's approval; a company with at least some shares that can be transferred without approval is a public company (公開会社), a company that does not answer a request for approval within two weeks (or a shorter period its articles set) is deemed to approve, and where it refuses and the shareholder asked for this, the company must buy the shares or have a buyer it designates buy them. A shareholder holding 90% or more of the voting rights, counting its wholly owned companies, or a higher share the articles set (a special controlling shareholder), can with the company's approval require all other shareholders to sell it their shares, and they can apply to the court to set the price between 20 days before the acquisition date and the day before it. Mergers, company splits, share exchanges (株式交換), share transfers (株式移転) and share deliveries (株式交付) need a special resolution of the shareholders meeting of the stock companies concerned — in some cases a larger majority or every shareholder's consent — apart from exceptions for short-form and small deals, and shareholders who oppose can, except in some cases, demand that the company buy their shares at a fair price.(Art. 127(1), Art. 107(1)(i), Art. 107(2)(i), Art. 2(1)(v), Art. 145(1), Art. 136(1), Art. 138(1), Art. 140(1), Art. 140(4), Art. 179(1), Art. 179-3(1), Art. 179-8(1), Art. 748(1), Art. 757(1), Art. 767(1), Art. 772(1), Art. 774-2(1), Art. 783(1), Art. 795(1), Art. 804(1), Art. 816-3(1), Art. 309(2)(xii), Art. 309(3), Art. 783(2), Art. 804(2), Art. 785(1), Art. 797(1), Art. 806(1), Art. 816-6(1)) (the provisions it rests on)
- The shareholders meeting (株主総会) of a company without a board of directors can decide any matter about the company; in a company with a board of directors (取締役会) it decides only what the Act or the articles give it, and articles letting another body decide a matter the Act reserves for it have no effect. A resolution needs a majority of the votes present where holders of a majority of voting rights attend, unless the articles say otherwise; listed major decisions — among them amending the articles, transferring the whole business, dissolving the company and mergers — need two-thirds or more of the votes present where holders of a majority of voting rights (or at least one-third, if the articles say so) attend, and a few, such as adding a transfer restriction to all shares, need a still larger majority. Directors, accounting advisors (会計参与), company auditors (監査役) and financial auditors (会計監査人) are elected by the shareholders meeting and can be dismissed by it at any time — by that special resolution for a company auditor, an audit and supervisory committee member or a director elected by cumulative voting — and one dismissed without justifiable grounds can claim damages from the company.(Art. 295(1), Art. 295(2), Art. 295(3), Art. 309(1), Art. 309(2), Art. 466(1), Art. 467(1), Art. 471(1)(iii), Art. 309(2)(xi), Art. 309(2)(xii), Art. 309(3), Art. 309(3)(i), Art. 329(1), Art. 339(1), Art. 309(2)(vii), Art. 339(2)) (the provisions it rests on)
- In a company without a board of directors, the directors (取締役) run the business unless the articles say otherwise, and each represents the company unless a representative director (代表取締役) or other representative is chosen. In a company with a board, the board decides how the business is run, supervises the directors and chooses a representative director, who can do any act in or out of court for the business, and it cannot hand important decisions such as disposing of important assets or large borrowing to individual directors — except that a company with an audit and supervisory committee may do so where most directors are outside directors or its articles allow it, and a company with nominating and other committees may delegate to executive officers (執行役) and chooses a representative executive officer instead. Directors must obey laws, the articles and resolutions of the shareholders meeting and act loyally for the company, and a director who wants to deal in the company's line of business for themselves or someone else, to deal with the company, or to have it enter a deal in which their interests conflict with its interests must first disclose the material facts and get the approval of the shareholders meeting, or of the board where there is one.(Art. 348(1), Art. 349(1), Art. 349(2), Art. 362(2), Art. 362(3), Art. 349(4), Art. 362(4), Art. 399-13(5), Art. 399-13(6), Art. 416(4), Art. 420(1), Art. 355(1), Art. 356(1), Art. 365(1)) (the provisions it rests on)
- Every stock company must have at least one director; a public company must have a board of directors of at least three, and a company with a board or with a financial auditor must also have company auditors unless it has a committee structure (a non-public company with a board may have an accounting advisor instead). A large company (大会社) — stated capital of 500 million yen or more, or liabilities of 20 billion yen or more, on its latest balance sheet — must have a financial auditor; if it is also a public company without a committee structure, it must have a board of company auditors (監査役会) of at least three, at least half of them outside company auditors, and, if it must file annual securities reports under the Financial Instruments and Exchange Act, a separate Act, at least one outside director. Instead of company auditors a company may have either an audit and supervisory committee (監査等委員会) of at least three directors, most of them outside directors, which audits the directors, or nominating, audit and remuneration committees (指名委員会等) of at least three directors each chosen by the board, most of them outside directors — the nominating committee deciding proposals to elect or dismiss directors, the remuneration committee setting each director's and executive officer's pay, and executive officers appointed by the board running the business — and either structure needs a financial auditor.(Art. 326(1), Art. 326(2), Art. 327(1), Art. 331(5), Art. 327(2), Art. 327(3), Art. 2(1)(vi), Art. 328(1), Art. 328(2), Art. 335(3), Art. 327-2(1), Art. 327(4), Art. 327(6), Art. 399-2(2), Art. 331(6), Art. 399-2(3), Art. 400(1), Art. 400(2), Art. 400(3), Art. 404(1), Art. 404(3), Art. 402(2), Art. 415(1), Art. 418(1), Art. 327(5)) (the provisions it rests on)
- A stock company must keep accurate account books and prepare financial statements and a business report for each business year; the financial statements need the approval of the annual shareholders meeting, unless, in a company with a financial auditor, they meet requirements a Ministry of Justice Order sets and are only reported to it. After that meeting the company must publish its balance sheet — a large company also its profit and loss statement — unless it must file annual securities reports under the Financial Instruments and Exchange Act, a separate Act. It pays dividends of surplus by resolution of the shareholders meeting, but the book value of what it hands out in dividends or in buying back its own shares may not exceed the distributable amount (分配可能額) on the day it takes effect; if it does, those who received the money, and the executives responsible unless they prove they took due care, must pay the company back.(Art. 432(1), Art. 435(2), Art. 438(2), Art. 439(1), Art. 440(1), Art. 440(4), Art. 453(1), Art. 454(1), Art. 461(1), Art. 462(1), Art. 462(2)) (the provisions it rests on)
Kinds of companyShareholders' rightsShareholders meetingDirectors' dutiesOfficers' liabilityShareholder suits against officersDividends and the distributable amountForeign companies
Contents
1078 3142 2018 33 449
- Part I General Provisions第一編 総則Articles 1–24 · 25
- Chapter I Common Provisions第一章 通則Articles 1–5 · 5
- Chapter II Trade Name of Company第二章 会社の商号Articles 6–9 · 4
- Chapter III Employees of a Company第三章 会社の使用人等Articles 10–20 · 11
- Section 1 Employees of a Company第一節 会社の使用人Articles 10–15 · 6
- Section 2 Commercial Agents of the Companies第二節 会社の代理商Articles 16–20 · 5
- Chapter IV Non-Competition after Transfers of Business第四章 事業の譲渡をした場合の競業の禁止等Articles 21–24 · 5
- Part II Stock Company第二編 株式会社Articles 25–574 · 605
- Chapter I Incorporation第一章 設立Articles 25–103 · 81
- Section 1 General Provisions第一節 総則Article 25
- Section 2 Preparation of Articles of Incorporation第二節 定款の作成Articles 26–31 · 6
- Section 3 Contributions第三節 出資Articles 32–37 · 6
- Section 4 Election and Dismissal of Officers at Incorporation第四節 設立時役員等の選任及び解任Articles 38–45 · 8
- Section 5 Investigation by Directors at Incorporation第五節 設立時取締役等による調査Article 46
- Section 6 Appointment of Representative Directors at Incorporation第六節 設立時代表取締役等の選定等Articles 47–48 · 2
- Section 7 Formation of Stock Companies第七節 株式会社の成立Articles 49–51 · 3
- Section 8 Liability of Incorporators第八節 発起人等の責任等Articles 52–56 · 6
- Section 9 Incorporation by Solicitation第九節 募集による設立Articles 57–103 · 48
- Subsection 1 Solicitation to Subscribe for Shares Issued at Incorporation第一款 設立時発行株式を引き受ける者の募集Articles 57–64 · 8
- Subsection 2 Organizational Meetings第二款 創立総会等Articles 65–86 · 22
- Subsection 3 Reporting of Matters Regarding Incorporation第三款 設立に関する事項の報告Article 87
- Subsection 4 Election and Dismissal of Directors at Incorporation第四款 設立時取締役等の選任及び解任Articles 88–92 · 5
- Subsection 5 Investigation by Directors at Incorporation第五款 設立時取締役等による調査Articles 93–94 · 2
- Subsection 6 Amendment in Articles of Incorporation第六款 定款の変更Articles 95–101 · 7
- Subsection 7 Special Provisions on Incorporation Procedures第七款 設立手続等の特則等Articles 102–103 · 3
- Chapter II Shares第二章 株式Articles 104–235 · 154
- Section 1 General Provisions第一節 総則Articles 104–120 · 17
- Section 2 Shareholder Registers第二節 株主名簿Articles 121–126 · 6
- Section 3 Transferring Shares第三節 株式の譲渡等Articles 127–154-2 · 29
- Subsection 1 Transferring Shares第一款 株式の譲渡Articles 127–135 · 9
- Subsection 2 Approval Procedures Relating to Transferring Shares第二款 株式の譲渡に係る承認手続Articles 136–145 · 10
- Subsection 3 Pledging of Shares第三款 株式の質入れArticles 146–154 · 9
- Subsection 4 Perfection of Shares That Belong to the Trust Property第四款 信託財産に属する株式についての対抗要件等Article 154-2
- Section 4 Acquisition of Own Shares by Stock Company第四節 株式会社による自己の株式の取得Articles 155–178 · 27
- Subsection 1 General Provisions第一款 総則Article 155
- Subsection 2 Acquisition by Agreement with Shareholders第二款 株主との合意による取得Articles 156–165 · 10
- Division 1 General Provisions第一目 総則Articles 156–159 · 4
- Division 2 Acquisition from Specific Shareholders第二目 特定の株主からの取得Articles 160–164 · 5
- Division 3 Acquisition of Shares by Market Transactions第三目 市場取引等による株式の取得Article 165
- Subsection 3 Acquisition of Shares with Put Options and Shares Subject to Call第三款 取得請求権付株式及び取得条項付株式の取得Articles 166–170 · 5
- Division 1 Demand for Acquisition of Shares with Put Options第一目 取得請求権付株式の取得の請求Articles 166–167 · 2
- Division 2 Acquisition of Shares Subject to Call第二目 取得条項付株式の取得Articles 168–170 · 3
- Subsection 4 Acquisition of Shares Subject to Class-Wide Call第四款 全部取得条項付種類株式の取得Articles 171–173-2 · 6
- Subsection 5 Demand for Sale to Heirs第五款 相続人等に対する売渡しの請求Articles 174–177 · 4
- Subsection 6 Cancellation of Shares第六款 株式の消却Article 178
- Section 4-2 Demand for Share Cash-Out of Special Controlling Shareholders第四節の二 特別支配株主の株式等売渡請求Articles 179–179-10 · 10
- Section 5 Consolidation of Shares第五節 株式の併合等Articles 180–187 · 13
- Subsection 1 Consolidation of Shares第一款 株式の併合Articles 180–182-6 · 8
- Subsection 2 Share Splits第二款 株式の分割Articles 183–184 · 2
- Subsection 3 Allotment of Shares without Contribution第三款 株式無償割当てArticles 185–187 · 3
- Section 6 Share Units第六節 単元株式数Articles 188–195 · 8
- Subsection 1 General Provisions第一款 総則Articles 188–191 · 4
- Subsection 2 Demand for Purchase from Holder of Shares Less than One Unit第二款 単元未満株主の買取請求Articles 192–193 · 2
- Subsection 3 Demand for Sale to Holder of Shares Less than One Unit第三款 単元未満株主の売渡請求Article 194
- Subsection 4 Changes in Share Unit第四款 単元株式数の変更等Article 195
- Section 7 Omission of Notices to Shareholders第七節 株主に対する通知の省略等Articles 196–198 · 3
- Section 8 Issuing Shares for Subscription第八節 募集株式の発行等Articles 199–213-3 · 19
- Subsection 1 Determination of Subscription Requirements第一款 募集事項の決定等Articles 199–202-2 · 5
- Subsection 2 Allotment of Shares for Subscription第二款 募集株式の割当てArticles 203–206-2 · 5
- Subsection 3 Contribution of Property Other than Monies第三款 金銭以外の財産の出資Article 207
- Subsection 4 Performance of Contributions第四款 出資の履行等Articles 208–209 · 2
- Subsection 5 Demanding Cessation of Issuing Shares for Subscription第五款 募集株式の発行等をやめることの請求Article 210
- Subsection 6 Liabilities Relating to Solicitation第六款 募集に係る責任等Articles 211–213-3 · 5
- Section 9 Share Certificate第九節 株券Articles 214–233 · 20
- Subsection 1 General Provisions第一款 総則Articles 214–218 · 5
- Subsection 2 Submission of Share Certificate第二款 株券の提出等Articles 219–220 · 2
- Subsection 3 Registration of Lost Share Certificate第三款 株券喪失登録Articles 221–233 · 13
- Section 10 Miscellaneous Provisions第十節 雑則Articles 234–235 · 2
- Chapter III Share Option第三章 新株予約権Articles 236–294 · 63
- Section 1 General Provisions第一節 総則Articles 236–237 · 2
- Section 2 Issuance of Share Options第二節 新株予約権の発行Articles 238–248 · 12
- Subsection 1 Determination of Subscription Requirements第一款 募集事項の決定等Articles 238–241 · 4
- Subsection 2 Allotment of Share Options for Subscription第二款 募集新株予約権の割当てArticles 242–245 · 5
- Subsection 3 Payments for Share Options for Subscription第三款 募集新株予約権に係る払込みArticle 246
- Subsection 4 Demand for Discontinuation of Issue of Share Options for Subscription第四款 募集新株予約権の発行をやめることの請求Article 247
- Subsection 5 Miscellaneous Provisions第五款 雑則Article 248
- Section 3 Share Option Register第三節 新株予約権原簿Articles 249–253 · 5
- Section 4 Transfers of Share Options第四節 新株予約権の譲渡等Articles 254–272-2 · 20
- Subsection 1 Transfers of Share Options第一款 新株予約権の譲渡Articles 254–261 · 8
- Subsection 2 Restriction on Transfers of Shares第二款 新株予約権の譲渡の制限Articles 262–266 · 5
- Subsection 3 Pledging Share Options第三款 新株予約権の質入れArticles 267–272 · 6
- Subsection 4 Perfection of Share Options Belong to the Trust Property第四款 信託財産に属する新株予約権についての対抗要件等Article 272-2
- Section 5 Acquisition of Own Share Option by Stock Companies第五節 株式会社による自己の新株予約権の取得Articles 273–276 · 4
- Subsection 1 Acquisition of Share Option Pursuant to Subscription Requirements第一款 募集事項の定めに基づく新株予約権の取得Articles 273–275 · 3
- Subsection 2 Cancellation of Share Options第二款 新株予約権の消却Article 276
- Section 6 Allotment of Share Options without Contribution第六節 新株予約権無償割当てArticles 277–279 · 3
- Section 7 Exercising Share Option第七節 新株予約権の行使Articles 280–287 · 10
- Subsection 1 General Provisions第一款 総則Articles 280–283 · 4
- Subsection 2 Contribution of Property Other than Monies第二款 金銭以外の財産の出資Article 284
- Subsection 3 Liabilities第三款 責任Articles 285–286-3 · 4
- Subsection 4 Miscellaneous Provisions第四款 雑則Article 287
- Section 8 Certificates for Share Options第八節 新株予約権に係る証券Articles 288–294 · 7
- Subsection 1 Share Option Certificates第一款 新株予約権証券Articles 288–291 · 4
- Subsection 2 Certificates of Bonds with Share Options第二款 新株予約権付社債券Article 292
- Subsection 3 Submission of Share Option Certificates第三款 新株予約権証券等の提出Articles 293–294 · 2
- Chapter IV Organs第四章 機関Articles 295–430-3 · 162
- Section 1 Shareholders Meeting and General Meetings of Class Shareholders第一節 株主総会及び種類株主総会等Articles 295–325-7 · 37
- Subsection 1 Shareholders Meeting第一款 株主総会Articles 295–320 · 26
- Subsection 2 General Meetings of Class Shareholders第二款 種類株主総会Articles 321–325 · 5
- Subsection 3 Measures for Electronic Provision第三款 電子提供措置Articles 325-2–325-7 · 6
- Section 2 Establishment of Organs Other than Shareholders Meeting第二節 株主総会以外の機関の設置Articles 326–328 · 4
- Section 3 Election and Dismissal of Officers and Financial Auditors第三節 役員及び会計監査人の選任及び解任Articles 329–347 · 22
- Subsection 1 Election第一款 選任Articles 329–338 · 11
- Subsection 2 Dismissal第二款 解任Articles 339–340 · 2
- Subsection 3 Special Provisions on the Procedures for Election and Dismissal第三款 選任及び解任の手続に関する特則Articles 341–347 · 9
- Section 4 Directors第四節 取締役Articles 348–361 · 15
- Section 5 Board of Directors第五節 取締役会Articles 362–373 · 12
- Subsection 1 Authority第一款 権限等Articles 362–365 · 4
- Subsection 2 Operations第二款 運営Articles 366–373 · 8
- Section 6 Accounting Advisors第六節 会計参与Articles 374–380 · 7
- Section 7 Company Auditors第七節 監査役Articles 381–389 · 9
- Section 8 Board of Company Auditors第八節 監査役会Articles 390–395 · 6
- Subsection 1 Authority第一款 権限等Article 390
- Subsection 2 Operations第二款 運営Articles 391–395 · 5
- Section 9 Financial Auditors第九節 会計監査人Articles 396–399 · 4
- Section 9-2 Audit and Supervisory Committee第九節の二 監査等委員会Articles 399-2–399-14 · 13
- Subsection 1 Authorities第一款 権限等Articles 399-2–399-7 · 6
- Subsection 2 Operations第二款 運営Articles 399-8–399-12 · 5
- Subsection 3 Authorities of the Board of Directors of a Company with Audit and Supervisory Committee第三款 監査等委員会設置会社の取締役会の権限等Articles 399-13–399-14 · 2
- Section 10 Nominating Committee and Executive Officers第十節 指名委員会等及び執行役Articles 400–422 · 23
- Subsection 1 Appointment of Committee Members and Election of Executive Officers第一款 委員の選定、執行役の選任等Articles 400–403 · 4
- Subsection 2 Authority of Nominating Committee第二款 指名委員会等の権限等Articles 404–409 · 6
- Subsection 3 Operations of Nominating Committees第三款 指名委員会等の運営Articles 410–414 · 5
- Subsection 4 Authority of Directors of Companies with Nominating Committee第四款 指名委員会等設置会社の取締役の権限等Articles 415–417 · 3
- Subsection 5 Authority of Executive Officers第五款 執行役の権限等Articles 418–422 · 5
- Section 11 Liability for Damages of Officers第十一節 役員等の損害賠償責任Articles 423–430 · 8
- Section 12 Indemnity Agreements and Insurance Policies Concluded for the Benefit of Officers第十二節 補償契約及び役員等のために締結される保険契約Articles 430-2–430-3 · 2
- Chapter V Accounting第五章 計算等Articles 431–465 · 35
- Section 1 Accounting Principles第一節 会計の原則Article 431
- Section 2 Account Books第二節 会計帳簿等Articles 432–444 · 13
- Subsection 1 Account Books第一款 会計帳簿Articles 432–434 · 3
- Subsection 2 Financial Statements第二款 計算書類等Articles 435–443 · 9
- Subsection 3 Consolidated Financial Statements第三款 連結計算書類Article 444
- Section 3 Amounts of Stated Capital第三節 資本金の額等Articles 445–452 · 8
- Subsection 1 General Provisions第一款 総則Articles 445–446 · 2
- Subsection 2 Reductions in Amount of Stated Capital第二款 資本金の額の減少等Articles 447–452 · 6
- Division 1 Reductions in Amount of Stated Capital第一目 資本金の額の減少等Articles 447–449 · 3
- Division 2 Increases in Amount of Stated Capital第二目 資本金の額の増加等Articles 450–451 · 2
- Division 3 Other Appropriation of Surplus第三目 剰余金についてのその他の処分Article 452
- Section 4 Dividends of Surplus第四節 剰余金の配当Articles 453–458 · 6
- Section 5 Special Provisions on Organs That Decide Dividends of Surplus第五節 剰余金の配当等を決定する機関の特則Articles 459–460 · 2
- Section 6 Liability Related to Dividends of Surplus第六節 剰余金の配当等に関する責任Articles 461–465 · 5
- Chapter VI Changes in Articles of Incorporation第六章 定款の変更Article 466
- Chapter VII Transfers of Business第七章 事業の譲渡等Articles 467–470 · 4
- Chapter VIII Dissolution第八章 解散Articles 471–474 · 4
- Chapter IX Liquidation第九章 清算Articles 475–574 · 101
- Section 1 General Provisions第一節 総則Articles 475–509 · 35
- Subsection 1 Commencement of Liquidation第一款 清算の開始Articles 475–476 · 2
- Subsection 2 Structures for Liquidating Stock Companies第二款 清算株式会社の機関Articles 477–491 · 15
- Division 1 Establishment of Structures Other than Shareholders Meetings第一目 株主総会以外の機関の設置Article 477
- Division 2 Assumption of Office and Dismissal of Liquidators and Resignation of Company Auditors第二目 清算人の就任及び解任並びに監査役の退任Articles 478–480 · 3
- Division 3 Liquidators' Duties第三目 清算人の職務等Articles 481–488 · 8
- Division 4 Board of Liquidators第四目 清算人会Articles 489–490 · 2
- Division 5 Application of Provisions Regarding Directors and Others第五目 取締役等に関する規定の適用Article 491
- Subsection 3 Property Inventories第三款 財産目録等Articles 492–498 · 7
- Subsection 4 Performance of Obligations第四款 債務の弁済等Articles 499–503 · 5
- Subsection 5 Distribution of Residual Assets第五款 残余財産の分配Articles 504–506 · 3
- Subsection 6 Conclusion of Liquidation第六款 清算事務の終了等Article 507
- Subsection 7 Retention of Accounting Materials第七款 帳簿資料の保存Article 508
- Subsection 8 Exceptions to Application第八款 適用除外等Article 509
- Section 2 Special Liquidations第二節 特別清算Articles 510–574 · 66
- Subsection 1 Commencement of Special Liquidations第一款 特別清算の開始Articles 510–518-2 · 10
- Subsection 2 Supervision and Investigations by the Court第二款 裁判所による監督及び調査Articles 519–522 · 4
- Subsection 3 Liquidators第三款 清算人Articles 523–526 · 4
- Subsection 4 Supervisor第四款 監督委員Articles 527–532 · 6
- Subsection 5 Investigators第五款 調査委員Articles 533–534 · 2
- Subsection 6 Restrictions on Acts of Liquidating Stock Companies第六款 清算株式会社の行為の制限等Articles 535–539 · 5
- Subsection 7 Dispositions Necessary to Supervise Liquidation第七款 清算の監督上必要な処分等Articles 540–545 · 6
- Subsection 8 Creditors Meetings第八款 債権者集会Articles 546–562 · 17
- Subsection 9 Agreements第九款 協定Articles 563–572 · 10
- Subsection 10 Completion of Special Liquidation第十款 特別清算の終了Articles 573–574 · 2
- Part III Membership Companies第三編 持分会社Articles 575–675 · 101
- Chapter I Incorporation第一章 設立Articles 575–579 · 5
- Chapter II Members第二章 社員Articles 580–589 · 10
- Section 1 Responsibility of Members第一節 社員の責任等Articles 580–584 · 5
- Section 2 Transfers of Equity Interests第二節 持分の譲渡等Articles 585–587 · 3
- Section 3 Liability for Mistaken Acts第三節 誤認行為の責任Articles 588–589 · 2
- Chapter III Administration第三章 管理Articles 590–603 · 14
- Section 1 General Provisions第一節 総則Articles 590–592 · 3
- Section 2 Members Who Execute Business第二節 業務を執行する社員Articles 593–602 · 10
- Section 3 Persons Who Perform Duties on Behalf of Members Executing Business第三節 業務を執行する社員の職務を代行する者Article 603
- Chapter IV Admission and Withdrawal of Members第四章 社員の加入及び退社Articles 604–613 · 10
- Section 1 Admission of Members第一節 社員の加入Articles 604–605 · 2
- Section 2 Withdrawal of Members第二節 社員の退社Articles 606–613 · 8
- Chapter V Accounting第五章 計算等Articles 614–636 · 23
- Section 1 Accounting Principles第一節 会計の原則Article 614
- Section 2 Accounting Books第二節 会計帳簿Articles 615–616 · 2
- Section 3 Financial Statements第三節 計算書類Articles 617–619 · 3
- Section 4 Reductions in Stated Capital第四節 資本金の額の減少Article 620
- Section 5 Distribution of Profit第五節 利益の配当Articles 621–623 · 3
- Section 6 Contribution Refunds第六節 出資の払戻しArticle 624
- Section 7 Special Provisions on Accounting of Limited Liability Companies第七節 合同会社の計算等に関する特則Articles 625–636 · 12
- Subsection 1 Special Provisions on Inspection of Financial Statements第一款 計算書類の閲覧に関する特則Article 625
- Subsection 2 Special Provisions on Reduction in Stated Capital第二款 資本金の額の減少に関する特則Articles 626–627 · 2
- Subsection 3 Special Provisions Concerning Distribution of Profits第三款 利益の配当に関する特則Articles 628–631 · 4
- Subsection 4 Special Provisions on Contribution Refunds第四款 出資の払戻しに関する特則Articles 632–634 · 3
- Subsection 5 Special Provisions on Refund of Equity Interest in Conjunction with Withdrawals第五款 退社に伴う持分の払戻しに関する特則Articles 635–636 · 2
- Chapter VI Change in Articles of Incorporation第六章 定款の変更Articles 637–640 · 4
- Chapter VII Dissolution第七章 解散Articles 641–643 · 3
- Chapter VIII Liquidation第八章 清算Articles 644–675 · 32
- Section 1 Commencement of Liquidation第一節 清算の開始Articles 644–645 · 2
- Section 2 Liquidators第二節 清算人Articles 646–657 · 12
- Section 3 Inventory of Property第三節 財産目録等Articles 658–659 · 2
- Section 4 Performance of Obligations第四節 債務の弁済等Articles 660–665 · 6
- Section 5 Distribution of Residual Assets第五節 残余財産の分配Article 666
- Section 6 End of Liquidation Administrations第六節 清算事務の終了等Article 667
- Section 7 Voluntary Liquidation第七節 任意清算Articles 668–671 · 4
- Section 8 Retention of Accounting Materials第八節 帳簿資料の保存Article 672
- Section 9 Extinctive Prescription of Member's Liability第九節 社員の責任の消滅時効Article 673
- Section 10 Exceptions to Application第十節 適用除外等Articles 674–675 · 2
- Part IV Bonds第四編 社債Articles 676–742 · 75
- Chapter I General Provisions第一章 総則Articles 676–701 · 27
- Chapter II Bond Administrators第二章 社債管理者Articles 702–714 · 13
- Chapter II-2 Bond Administration Assistant第二章の二 社債管理補助者Articles 714-2–714-7 · 6
- Chapter III Bondholders Meetings第三章 社債権者集会Articles 715–742 · 29
- Part V Entity Conversion, Mergers, Company Splits, Share Exchanges, Share Transfers, and Partial Share Exchange第五編 組織変更、合併、会社分割、株式交換、株式移転及び株式交付Articles 743–816-10 · 96
- Chapter I Entity Conversion第一章 組織変更Articles 743–747 · 5
- Section 1 Common Provisions第一節 通則Article 743
- Section 2 Entity Conversion of Stock Companies第二節 株式会社の組織変更Articles 744–745 · 2
- Section 3 Entity Conversion of a Membership Company第三節 持分会社の組織変更Articles 746–747 · 2
- Chapter II Mergers第二章 合併Articles 748–756 · 9
- Section 1 Common Provisions第一節 通則Article 748
- Section 2 Absorption-Type Mergers第二節 吸収合併Articles 749–752 · 4
- Subsection 1 Absorption-Type Mergers in Which a Stock Company Survives第一款 株式会社が存続する吸収合併Articles 749–750 · 2
- Subsection 2 Absorption-Type Merger in Which a Membership Company Survives第二款 持分会社が存続する吸収合併Articles 751–752 · 2
- Section 3 Consolidation-Type Mergers第三節 新設合併Articles 753–756 · 4
- Subsection 1 Consolidation-Type Mergers by Which a Stock Company Is Incorporated第一款 株式会社を設立する新設合併Articles 753–754 · 2
- Subsection 2 Consolidation-Type Merger by Which a Membership Company Is Incorporated第二款 持分会社を設立する新設合併Articles 755–756 · 2
- Chapter III Company Split第三章 会社分割Articles 757–766 · 10
- Section 1 Absorption-Type Company Split第一節 吸収分割Articles 757–761 · 5
- Subsection 1 Common Provisions第一款 通則Article 757
- Subsection 2 Absorption-Type Company Split Which Causes a Stock Company to Succeed to Rights and Obligations第二款 株式会社に権利義務を承継させる吸収分割Articles 758–759 · 2
- Subsection 3 Absorption-Type Company Split Which Causes a Membership Company to Succeed to Rights and Obligations第三款 持分会社に権利義務を承継させる吸収分割Articles 760–761 · 2
- Section 2 Incorporation-Type Company Split第二節 新設分割Articles 762–766 · 5
- Subsection 1 Common Provisions第一款 通則Article 762
- Subsection 2 Incorporation-Type Company Split by Which a Stock Company Is Incorporated第二款 株式会社を設立する新設分割Articles 763–764 · 2
- Subsection 3 Incorporation-Type Company Split by Which a Membership Company Is Incorporated第三款 持分会社を設立する新設分割Articles 765–766 · 2
- Chapter IV Share Exchanges and Share Transfers第四章 株式交換及び株式移転Articles 767–774 · 8
- Section 1 Share Exchanges第一節 株式交換Articles 767–771 · 5
- Subsection 1 Common Provisions第一款 通則Article 767
- Subsection 2 Share Exchange Which Causes a Stock Company to Acquire the Issued Shares第二款 株式会社に発行済株式を取得させる株式交換Articles 768–769 · 2
- Subsection 3 Share Exchange Which Causes a Limited Liability Company to Acquire the Issued Shares第三款 合同会社に発行済株式を取得させる株式交換Articles 770–771 · 2
- Section 2 Share Transfers第二節 株式移転Articles 772–774 · 3
- Chapter IV-2 Partial Share Exchange第四章の二 株式交付Articles 774-2–774-11 · 10
- Chapter V Procedures of Entity Conversion, Merger, Company Split, Share Exchange, Share Transfer, and Partial Share Exchange第五章 組織変更、合併、会社分割、株式交換、株式移転及び株式交付の手続Articles 775–816-10 · 54
- Section 1 Procedures of Entity Conversion第一節 組織変更の手続Articles 775–781 · 7
- Subsection 1 Procedures for a Stock Company第一款 株式会社の手続Articles 775–780 · 6
- Subsection 2 Procedures for a Membership Company第二款 持分会社の手続Article 781
- Section 2 Procedures of an Absorption-Type Merger第二節 吸収合併等の手続Articles 782–802 · 23
- Subsection 1 Procedures for a Company Disappearing in an Absorption-Type Merger, a Company Splitting in an Absorption-Type Split, and a Wholly Owned Subsidiary Company Resulting from a Share Exchange第一款 吸収合併消滅会社、吸収分割会社及び株式交換完全子会社の手続Articles 782–793 · 13
- Division 1 Procedures for a Stock Company第一目 株式会社の手続Articles 782–792 · 12
- Division 2 Procedures for a Membership Company第二目 持分会社の手続Article 793
- Subsection 2 Procedures for the Company Surviving an Absorption-Type Merger, the Company Succeeding in an Absorption-Type Split, and the Wholly Owning Parent Company Resulting from a Share Exchange第二款 吸収合併存続会社、吸収分割承継会社及び株式交換完全親会社の手続Articles 794–802 · 10
- Division 1 Procedures for a Stock Company第一目 株式会社の手続Articles 794–801 · 9
- Division 2 Procedures for a Membership Company第二目 持分会社の手続Article 802
- Section 3 Procedures of a Consolidation-Type Merger第三節 新設合併等の手続Articles 803–816 · 15
- Subsection 1 Procedures for Companies Disappearing in a Consolidation-Type Merger, the Company Splitting in an Incorporation-Type Split, or the Wholly Owned Subsidiary Company Resulting from a Share Transfer第一款 新設合併消滅会社、新設分割会社及び株式移転完全子会社の手続Articles 803–813 · 12
- Division 1 Procedures for a Stock Company第一目 株式会社の手続Articles 803–812 · 11
- Division 2 Procedure for a Membership Company第二目 持分会社の手続Article 813
- Subsection 2 Procedures for the Company Incorporated in a Consolidation-Type Merger, the Company Incorporated in an Incorporation-Type Split, and the Wholly Owning Parent Company Incorporated in a Share Transfer第二款 新設合併設立会社、新設分割設立会社及び株式移転設立完全親会社の手続Articles 814–816 · 3
- Division 1 Procedures for a Stock Company第一目 株式会社の手続Articles 814–815 · 2
- Division 2 Procedures for a Membership Company第二目 持分会社の手続Article 816
- Section 4 Proceedings for Partial Share Exchange第四節 株式交付の手続Articles 816-2–816-10 · 9
- Part VI Foreign Companies第六編 外国会社Articles 817–823 · 7
- Part VII Miscellaneous Provisions第七編 雑則Articles 824–959 · 149
- Chapter I Dissolution Order for a Company第一章 会社の解散命令等Articles 824–827 · 4
- Section 1 Dissolution Order for a Company第一節 会社の解散命令Articles 824–826 · 3
- Section 2 Order of Prohibition of Continuous Transactions or Closure of a Business Office of a Foreign Company第二節 外国会社の取引継続禁止又は営業所閉鎖の命令Article 827
- Chapter II Suits第二章 訴訟Articles 828–867 · 53
- Section 1 Action Concerning the Organization of a Company第一節 会社の組織に関する訴えArticles 828–846 · 20
- Section 1-2 Action Seeking Invalidation of Acquisition of Shares Subject to the Cash-Out第一節の二 売渡株式等の取得の無効の訴えArticles 846-2–846-9 · 8
- Section 2 Action to Enforce Liability to a Stock Company第二節 株式会社における責任追及等の訴えArticles 847–853 · 11
- Section 3 Actions Seeking Dismissal of an Officer of a Stock Company第三節 株式会社の役員の解任の訴えArticles 854–856 · 3
- Section 4 Actions Concerning Special Liquidation第四節 特別清算に関する訴えArticles 857–858 · 2
- Section 5 Action Seeking Removal of a Member of a Membership Company第五節 持分会社の社員の除名の訴え等Articles 859–862 · 4
- Section 6 Action Seeking Rescission of Disposition of Property of a Liquidating Membership Company第六節 清算持分会社の財産処分の取消しの訴えArticles 863–864 · 2
- Section 7 Action Seeking Rescission of Performance of a Bond-Issuing Company第七節 社債発行会社の弁済等の取消しの訴えArticles 865–867 · 3
- Chapter III Non-Contentious Cases第三章 非訟Articles 868–906 · 41
- Section 1 General Provisions第一節 総則Articles 868–876 · 11
- Section 2 Special Provisions on the Procedures of Increasing or Decreasing the Refund after a Judgment of Invalidation of a New Share Issue第二節 新株発行の無効判決後の払戻金増減の手続に関する特則Articles 877–878 · 2
- Section 3 Special Provisions on the Proceedings of Special Liquidation第三節 特別清算の手続に関する特則Articles 879–902 · 24
- Subsection 1 Common Provisions第一款 通則Articles 879–887 · 9
- Subsection 2 Special Provisions on Procedures for Commencement of Special Liquidation第二款 特別清算の開始の手続に関する特則Articles 888–891 · 4
- Subsection 3 Special Provisions on Proceedings of Implementation of Special Liquidation第三款 特別清算の実行の手続に関する特則Articles 892–901 · 10
- Subsection 4 Special Provisions on Proceedings of Completion of Special Liquidation第四款 特別清算の終了の手続に関する特則Article 902
- Section 4 Special Provisions on Procedures of Liquidation of Foreign Companies第四節 外国会社の清算の手続に関する特則Article 903
- Section 5 Special Provisions on Procedures of Dissolution Orders for Companies第五節 会社の解散命令等の手続に関する特則Articles 904–906 · 3
- Chapter IV Registration第四章 登記Articles 907–938 · 30
- Section 1 General Provisions第一節 総則Articles 907–910 · 4
- Section 2 Registration of Companies第二節 会社の登記Articles 911–930 · 20
- Section 3 Registration of a Foreign Company第三節 外国会社の登記Articles 933–936 · 4
- Section 4 Commissioning of Registration第四節 登記の嘱託Articles 937–938 · 2
- Chapter V Public Notice第五章 公告Articles 939–959 · 21
- Section 1 General Provisions第一節 総則Articles 939–940 · 2
- Section 2 Electronic Public Notice Investigation Body第二節 電子公告調査機関Articles 941–959 · 19
- Part VIII Penal Provisions第八編 罰則Articles 960–979 · 20
Amendments
A Japanese law is changed by another law or order that rewrites it — an . This law has 5 amendments on the way — , but . Its amendment history is below. The amendments this site has read the changes of are on this law's amendments page, provision by provision, in Japanese and English.
1 April 2027
in 6 months
Act Partially Amending the Financial Instruments and Exchange Act and the Payment Services Act
金融商品取引法及び資金決済に関する法律の一部を改正する法律
By 22 July 2027
at the latest, in 10 months
Act Partially Amending the Financial Instruments and Exchange Act and the Payment Services Act
金融商品取引法及び資金決済に関する法律の一部を改正する法律
On a day set by , no later than 22 July 2027 — the amending law allows up to one year from . The exact day is not fixed yet.
Date not yet set
Not yet in force
Act on the Arrangement, etc. of Related Acts upon the Enforcement of the Act on Security Assignment Contracts and Retention of Title Contracts
譲渡担保契約及び所有権留保契約に関する法律の施行に伴う関係法律の整備等に関する法律
On the day Act No. 56 of 2025 (譲渡担保契約及び所有権留保契約に関する法律) . The exact day is not fixed yet.
By 13 June 2028
at the latest, in 2 years
Act on the Arrangement of Related Acts to Promote the Use of Information and Communications Technology in Civil Procedures, etc.
民事関係手続等における情報通信技術の活用等の推進を図るための関係法律の整備に関する法律
On a day set by , no later than 13 June 2028 — the amending law allows up to five years from . The exact day is not fixed yet.
Date not yet set
Not yet in force
Act on the Arrangement of Related Acts upon the Enforcement of the Act Partially Amending the Civil Code, etc.
民法等の一部を改正する法律の施行に伴う関係法律の整備等に関する法律
The date on which the Act Partially Amending the Civil Code, etc. (Act No. 45 of 2026) comes into force. The exact day is not fixed yet.
27 amendments already in force
12 August 2026
The text on this site
Act Partially Amending the Financial Instruments and Exchange Act and the Payment Services Act
金融商品取引法及び資金決済に関する法律の一部を改正する法律
23 July 2026
Act Partially Amending the Financial Instruments and Exchange Act and the Payment Services Act
金融商品取引法及び資金決済に関する法律の一部を改正する法律
24 June 2026
Act on the Arrangement of Related Acts upon the Enforcement of the Act Partially Amending the Civil Code, etc.
民法等の一部を改正する法律の施行に伴う関係法律の整備等に関する法律
21 May 2026
Act Partially Amending the Code of Civil Procedure, etc.
民事訴訟法等の一部を改正する法律
1 May 2026
Act Partially Amending the Financial Instruments and Exchange Act and the Act on Securities Investment Trust and Securities Investment Corporations
金融商品取引法及び投資信託及び投資法人に関する法律の一部を改正する法律
1 October 2025
Act on the Arrangement of Related Acts to Promote the Use of Information and Communications Technology in Civil Procedures, etc.
民事関係手続等における情報通信技術の活用等の推進を図るための関係法律の整備に関する法律
6 June 2025
Act on the Arrangement, etc. of Related Acts upon the Enforcement of the Act on Security Assignment Contracts and Retention of Title Contracts
譲渡担保契約及び所有権留保契約に関する法律の施行に伴う関係法律の整備等に関する法律
1 June 2025
Act on the Arrangement of Related Acts upon the Enforcement of the Act Partially Amending the Penal Code, etc.
刑法等の一部を改正する法律の施行に伴う関係法律の整理等に関する法律
1 May 2025
Act Partially Amending the Financial Instruments and Exchange Act and the Act on Securities Investment Trust and Securities Investment Corporations
金融商品取引法及び投資信託及び投資法人に関する法律の一部を改正する法律
21 November 2024
Act Partially Amending the Financial Instruments and Exchange Act and the Act on Securities Investment Trust and Securities Investment Corporations
金融商品取引法及び投資信託及び投資法人に関する法律の一部を改正する法律
22 May 2024
Act Partially Amending the Financial Instruments and Exchange Act and the Act on Securities Investment Trust and Securities Investment Corporations
金融商品取引法及び投資信託及び投資法人に関する法律の一部を改正する法律
14 June 2023
Act on the Arrangement of Related Acts to Promote the Use of Information and Communications Technology in Civil Procedures, etc.
民事関係手続等における情報通信技術の活用等の推進を図るための関係法律の整備に関する法律
1 June 2023
Act Partially Amending the Payment Services Act, etc. to Establish a Stable and Efficient Funds Settlement System
安定的かつ効率的な資金決済制度の構築を図るための資金決済に関する法律等の一部を改正する法律
1 November 2022
Act Partially Amending the Act on Special Measures Concerning the Handling of Legal Services by Foreign Lawyers
外国弁護士による法律事務の取扱いに関する特別措置法の一部を改正する法律
1 October 2022
1 September 2022
17 June 2022
Act on the Arrangement of Related Acts upon the Enforcement of the Act Partially Amending the Penal Code, etc.
刑法等の一部を改正する法律の施行に伴う関係法律の整理等に関する法律
10 June 2022
Act Partially Amending the Payment Services Act, etc. to Establish a Stable and Efficient Funds Settlement System
安定的かつ効率的な資金決済制度の構築を図るための資金決済に関する法律等の一部を改正する法律
25 May 2022
Act Partially Amending the Code of Civil Procedure, etc.
民事訴訟法等の一部を改正する法律
1 March 2021
1 December 2020
Act Partially Amending the Fishery Act, etc. and on Related Matters
漁業法等の一部を改正する等の法律
29 August 2020
Act Partially Amending the Act on Special Measures Concerning the Handling of Legal Services by Foreign Lawyers
外国弁護士による法律事務の取扱いに関する特別措置法の一部を改正する法律
1 April 2020
Act on the Arrangement of Related Acts upon the Enforcement of the Act Partially Amending the Civil Code
民法の一部を改正する法律の施行に伴う関係法律の整備等に関する法律
1 April 2020
Act Partially Amending the Civil Execution Act and the Act for Implementation of the Convention on the Civil Aspects of International Child Abduction
民事執行法及び国際的な子の奪取の民事上の側面に関する条約の実施に関する法律の一部を改正する法律
17 May 2019
Act Partially Amending the Civil Execution Act and the Act for Implementation of the Convention on the Civil Aspects of International Child Abduction
民事執行法及び国際的な子の奪取の民事上の側面に関する条約の実施に関する法律の一部を改正する法律
2 June 2017
Act on the Arrangement of Related Acts upon the Enforcement of the Act Partially Amending the Civil Code
民法の一部を改正する法律の施行に伴う関係法律の整備等に関する法律
1 April 2017
Act Partially Amending the Bank Act, etc. to Respond to Changes in the Environment Such as Advances in Information and Communications Technology
情報通信技術の進展等の環境変化に対応するための銀行法等の一部を改正する法律
Who it applies to
It applies to
- Companies: stock companies, general partnership companies, limited partnership companies and limited liability companies, whose formation, organisation, running and management the Act governs except where another Act provides otherwise.(Art. 1(1), Art. 2(1)(i)) (the provisions it rests on)
- Those who found, own and run companies: incorporators (発起人), shareholders, members of membership companies, and the directors, accounting advisors, company auditors, executive officers, financial auditors and liquidators (清算人) on whom the Act places duties and liabilities. A legal person cannot be a director, company auditor or executive officer; nor can a person sentenced for an offence under this Act, the Act on General Incorporated Associations and General Incorporated Foundations, or listed offences under financial and insolvency Acts, until two years after the sentence has been served or can no longer be enforced, or a person sentenced under any other law to imprisonment (拘禁刑) or heavier, until it has been served or can no longer be enforced, unless that sentence is suspended. Only a non-public company may require its directors to be shareholders.(Art. 26(1), Art. 104(1), Art. 580(1), Art. 355(1), Art. 423(1), Art. 478(1), Art. 486(1), Art. 331(1), Art. 331(2), Art. 335(1), Art. 402(4)) (the provisions it rests on)
4 more
- Creditors of a company, whom the Act gives rights such as inspecting its financial statements and objecting to a reduction of its capital or to a merger, and holders of its bonds (社債), who act together through a bondholders meeting (社債権者集会).(Art. 442(3), Art. 449(1), Art. 789(1), Art. 676(1), Art. 715(1), Art. 716(1)) (the provisions it rests on)
- Managers (支配人) a company appoints to run its business at its head office or a branch. A manager can do any act in or out of court for that business, and without the company's permission may not run a business of their own, deal in the company's line of business for themselves or others, become an employee of another company or trader, or become a director, executive officer or executive member of another company. An employee given a title showing they head a head office or branch is treated as having authority for any out-of-court act in its business, unless the other party knew otherwise.(Art. 10(1), Art. 11(1), Art. 12(1), Art. 13(1)) (the provisions it rests on)
- Foreign companies — entities formed under foreign law that are of the same kind as, or similar to, a Japanese company. One that wants to carry on transactions in Japan continuously must appoint a representative in Japan, at least one of whom lives in Japan, register within three weeks of first doing so, and not carry on such transactions until it is registered; anyone who transacts for it before then is jointly liable with it for the resulting debts and faces a civil fine (過料) equal to the registration and license tax for incorporating a company. A foreign company with its head office in Japan, or whose main purpose is to do business in Japan, may not carry on transactions in Japan continuously at all, and anyone who transacts for it faces the same joint liability and civil fine.(Art. 2(1)(ii), Art. 817(1), Art. 933(1), Art. 818(1), Art. 818(2), Art. 979(2), Art. 821(1), Art. 821(2)) (the provisions it rests on)
- Anyone using a name or trade name: a person that is not a company may not use a name that could lead others to take it for a company, and no one may, for a wrongful purpose, use a name that could lead others to take it for another company; a company whose business interests are or may be harmed can demand that the use stop. A company that lets another person do business under its trade name is jointly liable with that person for debts from deals with anyone who dealt with them believing they were dealing with the company.(Art. 7(1), Art. 8(1), Art. 8(2), Art. 9(1)) (the provisions it rests on)
Special rules and exceptions (5)
- A stock company that is not a public company may by its articles extend its directors' terms (unless it has a committee structure) and its company auditors' terms to up to ten years, and limit its company auditors' audit to accounting unless it has a board of company auditors or a financial auditor. It may also set in its articles different treatment of individual shareholders for dividends, leftover assets and voting. Its shareholders, subject to the other conditions, can require a shareholders meeting to be called, seek to stop a director's unlawful act and demand a suit against officers without having held their shares for six months.(Art. 332(2), Art. 336(2), Art. 389(1), Art. 109(2), Art. 297(2), Art. 360(2), Art. 847(2)) (the provisions it rests on)
- The rules allowing dividends of surplus do not apply while a stock company's net assets are below 3 million yen. A company with a board of directors may let the board declare one cash dividend in the middle of a business year, if its articles say so. A company with a financial auditor whose directors serve one-year terms, and that meets further conditions, may by its articles let the board decide dividends and buybacks of its shares.(Art. 458(1), Art. 454(5), Art. 459(1), Art. 459(2)) (the provisions it rests on)
- A company's articles may allow it to agree with non-executive directors, accounting advisors, company auditors and financial auditors that, where they acted in good faith and without gross negligence, their liability to the company for neglecting their duties is capped at the higher of an amount the company sets within the articles' limit and the minimum the Act sets. A director or executive officer who dealt with the company for themselves cannot escape that liability by showing the neglect was not their fault, and the partial release and cap do not apply to them.(Art. 427(1), Art. 428(1), Art. 428(2)) (the provisions it rests on)
- A company need not hold its own shareholders meeting to approve a merger, split or share exchange where the other party holds 90% or more of its voting rights, counting that party's wholly owned companies, or a higher share its articles set; this excuses only the 90%-held company, and not where it is a public company without share classes whose shareholders would receive shares with transfer restrictions, or where it is a non-public acquiring company handing out such shares. An acquiring company, or one making a share delivery, need not hold a meeting where what it hands over is worth no more than one-fifth of its net assets, and a splitting company where the assets it transfers are no more than one-fifth of its total assets (the articles can lower these ratios) — but not where the acquiring company takes on more debts than assets or hands over more than the net assets it receives, where a non-public company hands out restricted shares or makes a share delivery, or where shareholders holding a number of shares a Ministry of Justice Order sets object within two weeks to the acquisition or share delivery. Consolidation-type mergers (新設合併) and share transfers have no such exception.(Art. 784(1), Art. 468(1), Art. 796(1), Art. 796(2), Art. 795(2), Art. 796(3), Art. 784(2), Art. 805(1), Art. 816-4(1), Art. 816-4(2), Art. 804(1)) (the provisions it rests on)
- A stock company being liquidated continues to exist only for the purpose of the liquidation, and must have one or more liquidators — its directors unless the articles or the shareholders meeting name others — who finish its current business, collect its claims, pay its debts and distribute what is left. It may acquire its own shares only free of charge or in cases a Ministry of Justice Order sets, and a special controlling shareholder cannot squeeze out its other shareholders. Most of the rules on accounts, capital and dividends, and the rules on share exchanges, share transfers and share deliveries, do not apply to it.(Art. 476(1), Art. 477(1), Art. 478(1), Art. 481(1), Art. 509(1), Art. 509(1)(i), Art. 509(3), Art. 509(2)) (the provisions it rests on)
How it is enforced (8)
- Directors, accounting advisors, company auditors, executive officers and financial auditors (officers, etc., 役員等) who neglect their duties must compensate the company; a director who made a competing deal without approval is presumed to have caused damage equal to the profit made, and where a deal between a director and the company, or one in which their interests conflict, harms the company, the director concerned and the directors who decided or voted to approve it are presumed to have neglected their duties. The company can release them in full only with every shareholder's consent; where they acted in good faith without gross negligence, the part above six, four or two times their annual pay (depending on their role) can be released by a special resolution of the shareholders meeting, or, if the articles allow, by the other directors or the board — only in a company with a committee structure or with company auditors and two or more directors, and only where they find it especially necessary. Officers who acted in bad faith or with gross negligence are also liable to third parties for the damage, and a company is liable for damage its representative director or other representative causes to third parties in carrying out their duties and, to third parties acting in good faith, for the acts of a director it has given a title such as president or vice-president.(Art. 423(1), Art. 423(2), Art. 423(3), Art. 424(1), Art. 425(1), Art. 309(2)(viii), Art. 426(1), Art. 429(1), Art. 350(1), Art. 354(1)) (the provisions it rests on)
- A shareholder who has held shares for the past six months (or a shorter period the articles set; any shareholder, in a non-public company) can demand, in writing or by another method a Ministry of Justice Order sets, that the company sue its incorporators, directors, company auditors or other officers, or its liquidators, to enforce their liability or recover certain payments, unless the suit aims at an unlawful benefit for the shareholder or someone else or at harming the company. If the company does not sue within 60 days — or at once, where waiting would cause the company irreparable harm — the shareholder can sue on the company's behalf, in the district court for the company's head office, and must notify the company. A shareholder who wins can claim reasonable expenses and lawyer's fees from the company, and one who loses is not liable to the company for its damage unless they acted in bad faith.(Art. 847(1), Art. 847(2), Art. 847(3), Art. 847(5), Art. 848(1), Art. 849(4), Art. 852(1), Art. 852(2)) (the provisions it rests on)
- Holders of 3% of the voting rights for six months can require the directors to call a shareholders meeting and, if it is not called, call it themselves with the court's permission; in a company with a board, holders of 1% of the voting rights or 300 votes for six months can require, at least eight weeks before a meeting, that an item be put on its agenda; and holders of 3% of the voting rights or of the issued shares can inspect the account books on stating a reason, which the company can refuse only on listed grounds — the six-month periods do not apply in a non-public company, and the articles can lower these thresholds. A shareholder can demand that a director stop an act outside the company's purpose or against laws or the articles likely to cause the company substantial damage (irreparable damage, in a company with company auditors or a committee structure), and shareholders likely to suffer from it can demand that the company stop an issue of shares or share options, or a disposal of its own shares, that breaches laws or the articles or is markedly unfair. Where there are grounds to suspect misconduct or a serious violation in running the company, holders of 3% of the voting rights or of the issued shares can ask the court to appoint an inspector to investigate its business and property.(Art. 297(1), Art. 297(2), Art. 297(4), Art. 303(2), Art. 303(3), Art. 433(1), Art. 433(2), Art. 360(1), Art. 360(2), Art. 360(3), Art. 210(1), Art. 247(1), Art. 358(1)) (the provisions it rests on)
- A defect in a company's formation, a share issue, a capital reduction, a merger, a split or another listed act can be asserted only by an action (訴え) brought by the persons the Act lists within set periods — two years for formation, six months for most other acts, one year for a share issue in a non-public company — and a judgment upholding the claim binds third parties and voids the act only for the future. Shareholders, directors and certain others can sue within three months to cancel a resolution of the shareholders meeting where the way it was called or voted on broke laws or the articles or was markedly unfair (though the court may dismiss the claim where the breach was not serious and did not affect the resolution), where it breaches the articles, or where someone with a special interest voted and a markedly unjust resolution resulted, and a separate action can confirm that a resolution whose content breaks the law is void, or that no resolution exists. A shareholder being squeezed out by a special controlling shareholder who is likely to suffer from it can demand that the acquisition stop where it breaches the law, the company broke its duties to notify or disclose, or the price is markedly unfair, and can sue to void the acquisition within six months of the acquisition date (one year for a non-public company).(Art. 828(1), Art. 828(2), Art. 838(1), Art. 839(1), Art. 831(1), Art. 831(2), Art. 830(1), Art. 830(2), Art. 179-7(1), Art. 846-2(1), Art. 846-2(2)) (the provisions it rests on)
- Where a director, accounting advisor or company auditor has engaged in misconduct or a serious violation of laws or the articles but the shareholders meeting rejects a proposal to dismiss them, or a class shareholders' veto stops the dismissal, shareholders holding 3% of the voting rights or of the issued shares for six months (without the holding period in a non-public company), not counting that officer's shares, can sue within 30 days of the meeting to have the officer dismissed. Shareholders holding 10% of the voting rights or of the issued shares can sue to dissolve a stock company where there is unavoidable cause because it is in serious difficulty carrying on its business and suffers or risks irreparable damage, or because its property is managed so badly that its existence is at risk, and a member of a membership company can sue to dissolve it for unavoidable cause. On the petition of the Minister of Justice or an interested person, the court can order a company dissolved where this is needed to protect the public interest because it was formed for an unlawful purpose, has without justifiable reason not started or has suspended business for a year, or its executives keep acting beyond its powers or against criminal law after the Minister's written warning, and it can ban a foreign company from continuing transactions in Japan, or close its office, on the grounds Article 827 lists.(Art. 854(1), Art. 854(2), Art. 329(1), Art. 323(1), Art. 833(1), Art. 833(2), Art. 824(1), Art. 827(1)) (the provisions it rests on)
- When a stock company in liquidation may be insolvent, or its liquidation faces serious obstacles, a creditor, liquidator, company auditor or shareholder can apply for special liquidation (特別清算), and a liquidator must apply where insolvency is suspected; the court orders it unless, among other cases, the costs are not deposited or it clearly cannot succeed. The liquidation then runs under the court's supervision, and agreement claims (協定債権) — every creditor's claim except those carrying a general statutory lien or other general priority and those arising from the special liquidation itself — must be paid in proportion to their amounts, unless the court permits otherwise for small or secured claims or others whose payment harms no other creditor. A composition plan (協定) changing agreement claims needs the consent of a majority of the voting creditors present and of creditors holding two-thirds of all voting rights, and the court's approval; if no plan is likely or it cannot be carried out, and grounds for bankruptcy exist, the court must start bankruptcy proceedings under the Bankruptcy Act, a separate Act.(Art. 510(1), Art. 511(1), Art. 511(2), Art. 514(1), Art. 519(1), Art. 537(1), Art. 537(2), Art. 515(3), Art. 564(1), Art. 567(1), Art. 569(1), Art. 574(1)) (the provisions it rests on)
- A director, accounting advisor, company auditor, executive officer, manager (支配人) or certain other persons who, to benefit themselves or a third party or to harm the stock company, act against their duties and cause the company financial loss commit aggravated breach of trust (特別背任) and face imprisonment (拘禁刑) of up to 10 years or a fine of up to 10 million yen, or both; the same applies to a liquidator and others acting in a liquidation, attempts are punished, the crime covers acts outside Japan, and where the offender is a legal person the penalty falls on its directors or others who acted. Imprisonment of up to five years or a fine of up to 5 million yen, or both, applies to directors, accounting advisors, company auditors and executive officers who make false statements or hide facts before a court or the shareholders meeting about contributions in property other than money in an offering of shares or share options; to those officers, managers and employees entrusted with the matter who unlawfully acquire the company's own shares for its account or pay dividends against laws or the articles; and to incorporators, those officers, managers and such employees who make a sham arrangement to disguise payment for shares (預合い), and to the person who agrees to it. Anyone who takes a bribe in return for an improper request (不正の請託) — as an officer, or about speaking or voting at a shareholders, bondholders' or creditors' meeting, using listed shareholder rights or bringing listed lawsuits — faces imprisonment of up to five years or a fine of up to 5 million yen, and an officer, manager or other employee who gives a benefit for the company's account in connection with anyone's exercise of shareholder rights faces up to three years or 3 million yen, as does anyone who knowingly receives or demands it (up to five years if they use threats).(Art. 960(1), Art. 960(2), Art. 962(1), Art. 971(1), Art. 972(1), Art. 963(2), Art. 963(5), Art. 965(1), Art. 967(1), Art. 968(1), Art. 968(2), Art. 970(1), Art. 970(2), Art. 970(3), Art. 970(4)) (the provisions it rests on)
- Matters the Act requires to be registered are entered in the commercial register under the Commercial Registration Act, a separate Act, and a change to a company's main registered matters must be registered at its head office within two weeks; until a matter is registered it cannot be asserted against a third party acting in good faith (nor afterwards against one with justifiable grounds for not knowing of it), and a person who deliberately or negligently registers something untrue cannot rely on its being untrue against such a third party. Officers and others listed in Article 976 face a civil fine (過料) of up to 1 million yen, unless the act is punished as a crime, for failures such as not making a required registration or public notice, refusing without justifiable reason to let documents be inspected, leaving out or falsifying entries in company records, not calling a shareholders meeting when required or ordered by a court, and not appointing the outside directors or outside company auditors the Act requires. Using a name that could be mistaken for a company, or for another kind of company, carries the same civil fine, and doing business in a company's name before it is formed carries a civil fine equal to the registration and license tax for its incorporation.(Art. 907(1), Art. 915(1), Art. 908(1), Art. 908(2), Art. 976(1), Art. 976(1)(i), Art. 976(1)(ii), Art. 976(1)(iv), Art. 976(1)(vii), Art. 976(1)(xviii), Art. 976(1)(xix-2), Art. 976(1)(xx), Art. 978(1), Art. 979(1)) (the provisions it rests on)
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Sources
Everything this page rests on
- e-Gov (Digital Agency)会社法 — the text in force from 2026-08-12Original
- e-Gov (Digital Agency)会社法 — revision historyOriginal
- Japanese Law Translation, Ministry of JusticeCompanies Act — Ministry of Justice translation (part 1 of 2)Original
- Japanese Law Translation, Ministry of JusticeCompanies Act — Ministry of Justice translation (part 2 of 2)Original
- Machine translation, not official
- Written for this site with AIEnglish titles of amending laws, written for this site
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