Legal Remedies for Government Intervention in Cross-border M&A: A Comparative Research Between China and the United States

Abstract

The role of the government in cross-border M&A, as well as the intervention means and authority it adopts, have always been the focus of controversy in the practical and theoretical circles. Based on the perspective of comparative research between China and the United States, this paper, and then first analyzes the national security review systems of different countries analyzes the remedies when the governments intervention in cross-border mergers and acquisitions causes damage to private enterprises. At the same time, this paper will also analyze the existing system of government intervention in cross-border mergers and acquisitions of different countries and discuss the development trend of state intervention system in the new era based on the analysis of the TikTok case. Finally, this paper will ultimately propose suggestions for improving Chinas existing national security review system and further propose suggestions for improving the existing relief system based on the analysis of existing remedies. Suggestions for improving Chinas national security review system mainly include the formation of laws with a higher level of effectiveness, the improvement of supervision mechanisms, and the provision of remedial rights for private enterprises. The suggestions on the improvement of the remedy system mainly focus on the improvement of the host country, mainly including the power of judicial review granted to domestic judicial institutions and the improvement of the system of prior consultation agreements.