Rural collective economic organizations play a crucial role in realizing the rural revitaliza-tion strategy.The enactment of the Civil Code confirms their special legal entity status and lays the foun-dation for future land reform in China.Rural collective economic organizations possess distinctive attri-butes such as pre-existence,duality of organizational functions,closed membership,and public owner-ship of collective assets.However,it is these very attributes that have led to institutional dilemmas in-cluding blurred external boundaries,uneven distribution of organizational functions,limited benefits for farmers within the organization,and exposure to market risks.Therefore,it is urgent to establish a le-gally sound institutional expression.It is essential to clarify the roles of rural collective economic organi-zations and village committees,achieveing a separation of governance and economy.Public service func-tions should be appropriately separated,while production and operational functions are strengthened.Si-multaneously,a dual-layer membership structure should be established,allowing for a moderate opening of collective membership qualifications.The insolvency capacity of rural collective economic organiza-tions should be recognized,but the collective ownership of land and non-operational assets should be ex-cluded from the scope of liability.