Commercial Law

Commercial law governs the activities of merchants and commercial businesses, commercial contracts, unfair competition, negotiable instruments and disputes between companies. In practice, drafting and performing commercial contracts, collecting receivables, long-term relationships such as agency and dealership, and commercial litigation are at the centre of this area.

A merchant must act as a prudent businessperson in all its commercial activities. It cannot ask for an agreed contractual penalty to be reduced on the ground that it is excessive, and must give important notices, such as notices of default and termination, through a notary, registered letter, telegram or registered electronic mail (KEP). Keeping commercial books and registering with the trade registry are also consequences of merchant status.

Commercial cases are heard by the commercial courts of first instance. For commercial claims for payment of a sum of money and for damages, applying to a mediator before filing a lawsuit is mandatory. Rules specific to merchants also apply in commercial cases regarding interest, evidence and time limits.

Start by gathering the documents supporting the claim, namely the contract, invoices, delivery records and correspondence, and sending the debtor a formal notice. If there is a risk that the debtor will move assets, seeking precautionary attachment without delay directly affects whether the debt can be collected.

The governing law, the competent court or seat of arbitration, the language of the contract, the currency and exchange rate risk, the delivery terms and force majeure should be set out clearly. Because enforcing foreign court judgments in Türkiye requires a separate procedure, choosing the dispute resolution route is one of the most important decisions in the contract.