Reflections On Fuanna Shareholder Disputes: Scarcity Of Talent In Home Textile Industry

Recently, there has been some new progress in the case of P, Shenzhen's Limited by Share Ltd and 26 original shareholder disputes.

The Shenzhen intermediate people's court ruled that the people's Court of Nanshan District has jurisdiction over Fuan's lawsuit involving an amount of about 80 million yuan.

The ruling is final, and the case is characterized as a contract dispute.

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"P", which means that the case will eventually be heard in Shenzhen.

Insiders said that the fuanna case will become a specimen of domestic equity incentive, but it is easy to see from the perspective of industry that the competition of high-end talents in home textile industry is becoming increasingly fierce.

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< p > before that, fuanna took a lawsuit against Yu Songen, Zhou Xichuan and other 26 natural shareholders before the Shenzhen Nanshan District people's Court on the 26 day of December 2012.

Since then, 21 of the dissension officers have raised their objection to the jurisdiction during the reply period. They believe that the case is a labor dispute and should be under the jurisdiction of the labor dispute arbitration committee and request the Nanshan District people's court to dismiss the action.

The people's Court of Nanshan District ruled that it had jurisdiction over the case.

The 21 refused to accept the ruling and appealed to the intermediate people's Court of Shenzhen.

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< p > prior to the announcement of fuanna, the dispute officers had been employees of fuanna, including two former executives, and the rest were former core technicians of the company.

In June 2007, fuanna formulated the restrictive stock incentive plan to issue 7 million restricted stocks to the incentive target in the way of private placement.

In March 2008, in order to cooperate with IPO, fuanna converts all restricted stocks into unlimited common stocks.

At the same time with Yu Songen, Zhou Xichuan and other staff negotiated signed the letter of commitment, and there is no "violation of coercion" situation.

The letter of commitment has committed 3 years from the date of signature to the date when the company applies for the initial public offering of A shares and does not appear in the written form.

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< p > fuanna announced that from March 2008 to December 2012, when the company had been listed for 3 years, the aforementioned dispute officers had submitted resignations or resigned to the company for various reasons, violating the above commitments. According to the letter of commitment, they should assume corresponding liabilities for breach of contract and pay breach of contract damages.

In order to safeguard the rights and interests of the company and investors and ensure the smooth implementation of the relevant liquidated damages, the attorney appointed by the company filed a lawsuit in December 26, 2012.

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< p > however, the accused shareholder unanimously reversed the original statement and strongly denied that he had signed the letter of commitment.

The public opinion center of China's listed companies had interviewed Zhou Xichuan before, and Zhou Xichuan said that the letter of commitment signed at that time was not the same as the letter of commitment submitted by fuanna in the current lawsuit.

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Less than P, fuanna signed a fierce stock ownership plan, which was deeply related to the domestic textile industry.

Previously, home textile professionals, especially high-end talent, were extremely scarce, and the situation of enterprises' mutual digging and disassembling was even more frequent.

Fuanna's 26 original shareholders of the lawsuit left the company successively, and Yu Songen and Zhou Xichuan jumped to the mercury home textiles.

However, whatever the final outcome of the case, it exposes the plight of the shortage of senior talents in the home textile industry.

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