Abstract: China’s cooperative associations have the moral basis of cooperation and mutual assistance, the external incentives from life, production and market, the organizational mechanism of rules and procedures, and the restraint mechanism on information and reputation. Along with the economic and social development and changes, negative changes are happening in the cooperative associations with increasing risks, sometimes the association would fail, which is increasingly affecting the regional financial security, even spreading to other departments of the financial system, causing serious damages to the society and economy. China’s swing policies make the cooperative associations lacking of relevant laws and regulations, which makes the Justice being at a loss when dealing with related cases. The legal system framework of financial security is difficult to effectively absorb its implementation of the behavior regulation and the system, and it is likely that a dilemma may appear which would harm the economy or endanger the financial security. Therefore, a legal system should be established for the associations with the contents of one value target, two fundamental principles and five specific rules, so as to guide the associations to operate orderly and promote the realization of the value targets of their legal systems.

Key words: cooperative associations; financial security; legal system