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Av. Deniz TurgutTR

Commercial Lawyer in Muğla

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Foreign investors set up companies in Muğla mainly around tourism, real estate, marine services and hospitality. The company formation itself is straightforward; the difficulties come later, and almost always from the same two sources — an articles of association copied from a template, and a commercial relationship never put in writing. Both are cheap to fix beforehand and expensive to litigate afterwards.

In short

  • In commercial actions for a sum of money, applying to a mediator before bringing the action is a condition of the action, and an action brought without it is dismissed on procedural grounds (Law No. 6102, art. 5/A).
  • The mediator concludes the application within six weeks of appointment, extendable by a maximum of two weeks where necessary.
  • A person who receives an invoice and does not object to its content within eight days of receipt is deemed to have accepted that content.
  • Between merchants, an obvious defect must be notified within two days of delivery; a defect that is not obvious requires inspection and notice within eight days.
  • Holding shares in a Turkish company does not give the right to work: a foreign national who actually works in it, including as a director, needs a separate work permit.
On this page

How does a foreign investor set up a company in Turkey?

Turkish legislation on direct foreign investment treats foreign investors on equal terms with domestic ones, and no special permission is required to form a company. In practice the formation requires a potential tax identification number, notarised translations of passports and the documents for foreign shareholders or directors.

One distinction is missed constantly: holding shares does not give you the right to work. A foreign national who will actually work in the company, including as a director, needs a separate work permit. The penalty for unauthorised work falls on both the company and the individual.

The articles of association are the constitution of the relationship between shareholders. Restrictions on share transfers, the scope of representation authority, quorum and majority requirements for general assemblies, and the basis on which profit is distributed are all settled there. Where a standard template is used and these are left blank, the general provisions of the law fill the gap — and the result rarely matches what the founders assumed.

Legal basis: Law No. 6102 · Law No. 6735

What commercial matters do I handle?

  • Company formation, share transfers, changes of type and the legal review of those transactions
  • Drafting, reviewing and negotiating commercial contracts, including agency, distribution and supply agreements
  • Recovery of commercial debts through demand, mandatory mediation, enforcement and litigation
  • Actions to set aside an objection, negative declaratory actions and restitution claims
  • Shareholder disputes and actions to annul general assembly resolutions
  • Liability claims against directors and board members
  • Unfair competition and protection of commercial reputation
  • Disputes arising from cheques, bills of exchange and promissory notes

Legal basis: Law No. 6102 · Law No. 2004

Is mediation compulsory in commercial claims?

In commercial actions for a sum of money — claims for debt, for damages, to set aside an objection, for a negative declaration and for restitution — applying to a mediator before bringing the action is a condition of the action. An action brought without it is dismissed on procedural grounds without the merits being examined.

The mediator concludes the application within six weeks of appointment, extendable by the mediator by a maximum of two weeks where necessary. Where the matter settles, the settlement document is a strong instrument for enforcement; where it does not, the final report is attached to the claim form.

Commercial actions are heard by the commercial court of first instance regardless of the value at stake. Where there is no commercial court in the judicial district, failure to rely on the rule of jurisdiction does not lead to a decision of lack of jurisdiction; the civil court of first instance continues with the case.

Legal basis: Law No. 6102 art. 5/A · Law No. 6325

Which two deadlines should you memorise?

Invoices. A person who receives an invoice and does not object to its content within eight days of receipt is deemed to have accepted that content. The same eight-day rule applies to letters of confirmation for contracts concluded by telephone or other means of communication. This is among the most frequently overlooked provisions in Turkish commercial practice, and an unchallenged invoice becomes a document of accepted content in any later dispute.

Defective goods between merchants. Where a defect is obvious on delivery, the buyer must notify the seller within two days. Where it is not obvious, the buyer must inspect the goods within eight days of delivery and, if a defect emerges, notify the seller within that same period. These periods are far shorter than those in consumer transactions, and missing them causes the buyer's rights based on the defect to be lost.

Legal basis: Law No. 6102 · Law No. 2004

What can you realistically expect?

A claim being well founded does not make it collectable. The debtor's asset position, how the claim is documented and the limitation period affect the result independently of the merits. Recoverability is assessed before a file is accepted, and where the conditions are met an interim attachment is treated as the first step of the strategy rather than a later remedy.

This page is general information and does not replace advice on a specific commercial relationship.

Legal basis: Law No. 2004 · Law No. 6098

Frequently asked questions

Can a foreign national set up a company in Turkey?

Yes. Legislation on direct foreign investment places foreign investors on an equal footing with domestic investors, and no special permission is required for company formation. The process requires a potential tax identification number and notarised translations of the passport and supporting documents for foreign shareholders and directors. Formation is completed through the trade registry.

Does owning shares allow me to work in the company?

No. Holding shares does not by itself confer a right to work. A foreign national who will actually work in the company — including in the capacity of director — needs a separate work permit. This is overlooked frequently and results in penalties for unauthorised work, imposed on the company and the individual alike.

Do I need a lawyer to form a company?

Not for every company type; formation can be completed through the trade registry. But the articles of association are the constitution of the relationship between the shareholders: transfer restrictions, the scope of representation authority, general assembly quorums and profit distribution are all settled there. Where a template is used and these are left unaddressed, later disputes are resolved by the general provisions of the law, which rarely reflect what the founders expected.

Which court hears commercial disputes?

Unless otherwise provided, all commercial actions are heard by the commercial court of first instance regardless of the value or amount claimed. Where there is no commercial court in the judicial district, failure to invoke the rule of jurisdiction does not require a decision of lack of jurisdiction — the civil court of first instance continues with the case. The relationship between these courts is one of jurisdiction, so the procedural rules on jurisdiction apply.

Must I use a mediator before a commercial claim?

For commercial actions whose subject is a sum of money — debt, damages, setting aside an objection, negative declaration and restitution — yes. Applying to a mediator before bringing the action is a condition of the action, and an action brought without it is dismissed on procedural grounds without the merits being examined. Commercial actions that do not concern a sum of money are not subject to this requirement.

How long does commercial mediation take?

The mediator concludes the application within six weeks of the date of appointment. That period may be extended by the mediator by a maximum of two weeks where necessary. If the matter settles, the settlement document provides a strong position for enforcement; if it does not, the final report is attached to the claim form when the action is filed.

How long do I have to object to an invoice?

Eight days. A person who receives an invoice and raises no objection to its content within eight days of receipt is deemed to have accepted that content. The same eight-day rule applies to letters confirming contracts or statements made by telephone or other communication tools. Objection should be made by a method that can be proved — notary, registered post with return receipt, or registered electronic mail.

What is the deadline for notifying defective goods?

Between merchants, where the defect is clearly apparent at delivery the buyer must notify the seller within two days. Where it is not apparent, the buyer must inspect or have the goods inspected within eight days of delivery and, if a defect emerges, notify the seller within that period. These periods are much shorter than in consumer transactions, and failure to notify in time results in the loss of the rights based on the defect.

How do I challenge a general assembly resolution?

Resolutions contrary to the law, to the articles of association and in particular to the rule of good faith may be challenged by an annulment action brought within three months of the date of the resolution, before the commercial court of first instance at the company's registered office. The three-month period is a forfeiture period, so establishing the date of the resolution and the claimant's standing is the first step.

Is a shareholder liable for the company's debts?

As a rule no; the shareholder is only obliged to pay the capital they have undertaken. There is an important exception for public debts: shareholders of a limited company are directly liable, in proportion to their shareholding, for public debts that cannot be collected from the company. Directors face wider liability. Because of this, the dates of registration of share transfers and resignations must be compared with the dates the debts arose.

When are directors personally liable?

Directors are liable to the company, to shareholders and to company creditors for loss caused by breaching their duties under the law and the articles of association through their own fault. Because liability is fault-based, the records showing that the duty of care was discharged — board minutes, dissenting votes, legal and financial opinions obtained — form the backbone of the defence. They cannot be created afterwards, so they must be kept during the term of office.

My distributorship was terminated. Can I claim compensation?

The law provides for an equalisation claim on termination of an agency relationship, where the principal continues to derive substantial benefit from customers introduced by the agent, the agent loses commission it would otherwise have earned, and payment is equitable in the circumstances. The compensation may not exceed the average of the annual commissions received over the last five years. The provision also applies, unless inequitable, to exclusive distributorships and similar continuing relationships granting exclusivity, and the claim must be brought within one year of termination.

What happens if the commercial books are not kept properly?

Beyond the risk of administrative penalties, the real consequence is evidential. Books that are not kept in accordance with the rules cannot be used as evidence in favour of their owner, but may constitute evidence against them. In disputes where the existence of a debt is contested this changes the outcome directly. Book keeping is also taken into account in bankruptcy and composition proceedings when assessing the debtor's good faith.

A cheque was returned unpaid. What can I do?

Where a cheque has been marked as unpaid, enforcement proceedings by attachment specific to negotiable instruments may be started to recover the amount. Separately, the Cheque Act provides its own sanction where a person causes a cheque to be marked unpaid, and that route is pursued by complaint. The two are not alternatives; they can be pursued together.

Can we choose the competent court in our contract?

Merchants and public legal entities may enter into a jurisdiction agreement designating a particular court for disputes between them. Parties who are not in those categories cannot. An arbitration clause is a separate option, but arbitration costs and procedure produce different consequences from litigation, so the choice should be made by reference to the contract value and the counterparty's location.

Can a commercial contract be in English?

The parties may draft the contract in any language. But if the dispute comes before a Turkish court, the foreign-language text must be translated by a sworn translator, and differences in translation become an argument of their own. For that reason bilingual drafting, with an express statement of which text prevails, is preferable. The governing law and the competent forum should be stated equally clearly.

What is an interim attachment and when should I seek one?

It is a measure that secures a monetary claim by provisionally attaching the debtor's assets, before or together with proceedings. The claim must not be secured by a pledge and, as a rule, must be due. The court usually orders security to be provided. Timing decides everything: an order obtained after the debtor has disposed of their assets is generally worthless, so in files with a recovery risk it is treated as the first step.

What is composition (konkordato)?

Composition is a procedure allowing a debtor who cannot pay debts as they fall due, or who is at risk of that, to restructure them by agreement with creditors. Where the preliminary project and financial statements presented to the court are found sufficient, a temporary moratorium is granted and no proceedings may be taken against the debtor during it. For creditors, the moratorium changes the collection timetable entirely, so notifying the claim in time and being represented at the creditors' meeting matter.

Initial consultation

To discuss the stage of your matter and the documents you hold, you can reach me by telephone, WhatsApp or e-mail. For detail on how files are handled, see how I work ; for my professional background, see about me .

This website provides general information about legal practice. It is not legal advice and does not create an attorney–client relationship.

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