It is not illegal for a labor law company to let employees borrow money for the company in their own names. This practice is legal as long as employees are willing. The borrower of a loan contract has the obligation to pay off the debts, and the employee may refuse to sign the loan contract. If the company does not repay, the bank will only pursue the responsibility, not the company. If the company breaches the contract, it can only bear it by itself. Such a bad credit record will bring great inconvenience to loans such as buying a house and buying a car.
Legal analysis
There is no relevant regulation that employees must borrow money from the company. First of all, employees have no obligation to provide loans for the company's business activities, and the company has no right to make such requests. The company's behavior of forcing employees to go against their true meaning is invalid or revocable in civil legal relations. This kind of coercion, if manifested in the signing and performance of labor contracts, is also invalid, and workers can appeal to the labor arbitration department according to law. The actor should determine for himself that the ultimate legal significance is not the requirement of the company. Causing the other party to conclude or change a labor contract against its true meaning by means of fraud, coercion or taking advantage of the danger of others; The employer is exempted from legal responsibility and excludes the rights of workers; The company shall not violate the mandatory provisions of laws and administrative regulations. Disputes arising from the invalidity or partial invalidity of a labor contract shall be confirmed by the labor dispute arbitration institution or the people. You can't ask employees to lend money for the company on the grounds that the company lacks funds.
legal ground
Article 186 of the Company Law of People's Republic of China (PRC) * * * After clearing up the company's assets, preparing the balance sheet and list of assets, the liquidation group shall formulate a liquidation plan and report it to the shareholders' meeting, shareholders' meeting or people's congress for confirmation. After paying the liquidation expenses, employees' wages, social insurance expenses and statutory compensation, paying the taxes owed and paying off the company's debts, the company's property shall be distributed according to the proportion of capital contribution of shareholders of a limited liability company and the proportion of shares of shareholders of a joint stock limited company. During the liquidation period, the company shall survive, but shall not carry out business activities unrelated to liquidation. The company's property shall not be distributed to shareholders before it is paid off in accordance with the provisions of the preceding paragraph.
Employees borrow money in the name of the company.
The borrower of a loan contract has the obligation to pay off the debts, and the employee may refuse to sign the loan contract. It is recommended not to lend money to the company in your own name. If the company fails to repay the loan, the bank will only hold the employee personally responsible, not the company, because the employee is the lender and the first responsible person. If the company breaches the contract, the employees can only bear it themselves, and loans overdue will also bring bad credit records to individuals. Article 3 of the Labor Contract Law of People's Republic of China (PRC) shall follow the principles of legality, fairness, equality, voluntariness, consensus, honesty and credibility when concluding a labor contract. The labor contract concluded according to law is binding, and the employer and the employee shall perform the obligations stipulated in the labor contract.
What if the company lets the personal loan company use it?
Can refuse, the law does not give the employer such power, so the employer shall not force it, even if the rules and regulations of the unit have this provision, it is invalid, because it excludes the legitimate right of workers to choose freely, and workers do not have to implement it. If you don't agree, the enterprise is not allowed to force employees to do anything that is not within the scope of their duties.
Legal analysis
It is unreasonable and illegal for the company to let personal loans be used by the company. It is forced buying and selling, which does not conform to the principle of voluntariness. Personal freedom is inviolable, which is the minimum and most basic right of citizens and the premise for citizens to participate in various social activities and enjoy other rights. If a person's legitimate rights and interests are infringed upon and a lawsuit is brought to the people according to law, the people should promptly try the case according to law, and the company should make the management measures public as one of the conditions of the employer. The right of personal freedom refers to the right of citizens to act independently within the scope of law without interference or restriction of freedom by others. It is the personal right of citizens to act and think according to their own will and interests without restraint, control and hindrance. The fact that the company allows individuals to lend money to the company directly interferes with employees' behavior, but it does not directly interfere with employees' actions and thinking according to their own will and interests. This kind of behavior may have control factors on employees' behavior, but this control factor can only be regarded as control in a broad sense.
legal ground
People's Republic of China (PRC) Civil Code
Article 110 Natural persons enjoy the rights to life, body, health, name, portrait, reputation, honor, privacy and marriage. Legal persons and unincorporated organizations enjoy the right of name, reputation and honor.
Article 120 Where the civil rights and interests are infringed, the infringed has the right to request the infringer to bear the tort liability.
Article 179 The main ways to bear civil liability are: (1) to stop the infringement; (2) remove obstacles; (3) eliminating danger; (4) returning property; (5) restitution; (six) repair, rework and replacement; (7) continue to perform; (8) Compensation for losses; (9) Paying liquidated damages; (ten) to eliminate the influence and restore the reputation; (eleven) apologize. Where the law provides for punitive damages, such provisions shall prevail. The ways of bearing civil liability as stipulated in this article can be applied separately or in combination.
Is it legal for the company to let employees borrow money for the company in their own names?
Borrow money from a bank in its own name. The money is for the company. If you don't use it yourself, you actually become a borrower.
Platform;
If the company fails to repay the loan according to the time stipulated by the bank, then the bank will find the borrower, and the borrower is you, the first responsibility.
It should be clear that anyone is a borrower and you have borrowed money.
If the company has something comparable to what you borrowed, you can decide whether to be a company or not according to your own wishes.
Doing this thing is mainly based on personal wishes. The risks have been mentioned above. If the company doesn't pay back, the bank will ask you to pay back.
If the bank can give you a time deposit certificate, the amount includes the principal and interest of your loan, and the time is the same as the repayment time.
The risk is not great.
Employees lend money to the company. Is it legal for employees to lend money to the company? This concludes our introduction. I wonder if you found the information you need from it?