1. Legal liability risk of the borrowed shareholder: If there is evidence that the registered shareholder is only named by others and does not participate in corporate governance, enjoy real shareholder rights or perform shareholder obligations, then the law will not protect his rights as a "shareholder".
2. Legal liability risk of nominal agreement: As the form of nominal agreement is mainly reflected in the legal act of equity transfer, disputes arising from nominal agreement in practice often involve the validity of the company's equity transfer agreement. Whether the failure to register after the equity transfer affects the acquisition of shareholders' qualifications should be determined according to the behavior of the parties after the equity transfer, and it cannot be simply affirmed or denied.
Legal basis: Article 37 of the Company Law of People's Republic of China (PRC), the shareholders' meeting shall exercise the following functions and powers: (1) to decide the company's business policy and investment plan; (2) Electing and replacing directors and supervisors who are not employee representatives, and deciding on the remuneration of directors and supervisors; (3) Examining and approving the report of the board of directors; (4) Examining and approving the reports of the board of supervisors or supervisors; (5) To examine and approve the annual financial budget plan and final accounts plan of the company; (VI) To examine and approve the company's profit distribution plan and loss recovery plan; (7) To make resolutions on the increase or decrease of the registered capital of the company; (8) To make resolutions on the issuance of corporate bonds. (9) To make resolutions on the merger, division, dissolution, liquidation or change of corporate form of the company; (10) Amending the Articles of Association. (eleven) other functions and powers stipulated in the articles of association.
Where the shareholders unanimously agree to the matters listed in the preceding paragraph in writing, they may make a decision directly without convening a general meeting of shareholders, and all shareholders shall sign and seal the decision document.