The Mandatory and Default Regulation in Hungarian Company Law – A Decade of Experience

Abstract

Abstract 314The option to deviate from a legal provision has been problematic for company law. The theoretical background of legislation is rooted in the interpretative models of company law: the investor model favouring the interests of its members (shareholder theory) and a contractual model which takes into account the stakeholders in the business relationship with the company (stakeholder theory). This article reflects on the development of the regulation’s nature of Hungarian company law; the legislator implemented a fundamental change in the central element to the governance of company law in 2013. After the modification of central regulation concept of Hungarian company law, the role of the judiciary shifted to the classification of the different default-mandatory rules. This article investigates the development of the new company law regulations concept, and the related judicial practice, and also approaches the topic from the view of interests (of creditors, employees and members), striving to create a coherent dogmatic system.