This study is to research the current corporate reorganization theoretically and practically. And there are nine categories of the process including ¡§the qualified targets,¡¨ ¡§the qualified reasons,¡¨ ¡§the reorganization-filing,¡¨ ¡§the court decision,¡¨ ¡§the execution and supervision institutions,¡¨ ¡§debters¡¦, creditors¡¦ and shareholders¡¦ rights,¡¨ ¡§reorganization plan,¡¨ ¡§the accomplishment¡¨ and ¡§the termination.¡¨ In addition, there are four practical cases including Tong Lung Metal Industry Co., Ltd, Kuei Yi Industry Co., Ltd, Chinese Automobile Co., Ltd, and Ban Yu Paper Mill Co., Ltd. To conclude, the finding of this study are followed: the assignment of reorganizaters has to take the needs of corporation management and the stakeholders into account, the auditors ought to have the professional knowledge of corporation management and corporate reorganization and the assignment also have to take stakeholders into consideration, owing a certified accountant license is not adequent caouse to be an inspector, prepackaged reorgazination is helpful to the process of corporate reorganization, the advisory organs¡¦ suggestions are for court¡¦s reference, the net value and shareholder structure of the corporation have influences on the shakeholder conference, there ought to be a time limit on the agreement of reorganization plan, and there ought to be a specific time to vadicate the net value.

Industrial structure in domestic market demand in Taiwan has changed in recent years, with most apparent changes occurring in traditional enterprises moving outwardly and prosperity in high-tech industries, both of which are strongly associated with technology, financial capital, and human resources. If businesses are run carelessly, corporations are at high risk of going out of business or bankrupt. Once this occurs, corporations will go into liquidation or reorganization, which will inevitably affect the investment market and the society as well. In other words, the outcome of a corporation bankruptcy could contribute to a variety of problems, such as unemployment, non-absolved debt, and uncollectible financial accounts, which will require some assistance in finding resolutions. These problems are dramatically interfering with the stability of our society. The system of corporate reorganization was mainly created for alleviating the consequences mentioned above. Corporations facing financial problems could file for corporate reorganization. With corporate reorganization, the corporation could reach a resolution to satisfy the overall financial responsibilities and have harmony among its employees, stockholders and creditors, and maybe even revitalize the business. However, in realistic judicial practices, some regulations seem to be inadequate for the purpose of the corporation reorganization mechanism. Moreover, the time from filing a corporate reorganization to having a resolution is too long and typically exceeds the average business lifespan of SMEs (Small and Medium Enterprises). As a result, specialists and scholars debate on whether to re-write or abolish the current corporate reorganization rules and regulations. That is, due to the fact that the characteristic and requirement of corporate reorganization have received criticism in the practical use and practice, there is a need for evaluating and analyzing the legislation of corporate reorganization, and in fact, making it the top priority. The authorities are concerned and realized the importance and urgency of corporate reorganization in practice, so the CEPD proposed a ¡§corporate reorganization and bankruptcy¡¨ act in 2005. This act is attempting to research and indicate the dispute among the drafts, hoping to solve the problems, inefficiency, and injustice in present corporate reorganization system and contribute to legislation that will create a harmony among conflicts of interest with the litigants by means of judicial practice, related-literature, and opinions thus far.