Enforcing Commercial Contracts in Turkey under the Code of Obligations (2025 Guide)
Introduction
Entering into a business contract in Turkey? Whether you're supplying goods, licensing technology, or providing services — the Turkish Code of Obligations (TCO) governs the terms, execution, and legal remedies.
For European companies, enforcing a contract in Turkey requires understanding both civil law principles and practical enforcement mechanisms — in Turkish jurisdiction, language, and procedure.
At RT-Union – Turkish International Law & Consulting Firm, we help EU and UK companies draft, assess, and enforce commercial agreements in Turkey with confidence.
Legal Framework: The Turkish Code of Obligations
The primary law regulating contracts in Turkey is the Turkish Code of Obligations (Law No. 6098), which entered into force on 1 July 2012.It covers:
- Formation and validity of contracts
- Performance and breach
- Damages and liability
- Termination and force majeure
- Specific contract types (sale, lease, agency, service)
Contracts governed by Turkish law are interpreted based on good faith, mutual obligation, and purpose of the agreement — not just its literal wording.
Are Foreign Companies Protected Under Turkish Contract Law?
Yes. The Code applies equally to Turkish and foreign parties. However:- Contracts may be subject to mandatory Turkish provisions (e.g. consumer law, real estate regulations)
- Language of the contract matters — Turkish courts will rely on Turkish versions in litigation
- International arbitration clauses are respected, but must be properly drafted
RT-Union helps ensure that your contract is enforceable in Turkish court if needed.
Key Risk Points in Turkish Contracts
- Risk: No penalty clause
- Risk: Ambiguous delivery/payment terms
- Risk: Jurisdiction not specified
- Risk: No default interest provision
- Risk: Notarization required (in some cases)
📌 RT-Union provides contract review and localization to avoid costly disputes.
How to Enforce a Contract in Turkey (Step-by-Step)
1. Attempt Amicable Resolution- Often expected before litigation
- A formal notice (via notary or email) strengthens legal position
2. File a Lawsuit in Commercial Court
- Jurisdiction based on:
- Turkish party’s location
- Place of contract performance
- Agreed forum in contract
3. Court Procedure
- Written submissions in Turkish
- Hearings and expert review (for technical contracts)
- Judgment issued in 6–18 months (on average)
4. Appeal or Execution
- Judgment becomes enforceable after finalization or upon interim execution
- RT-Union initiates enforcement via İcra Office (bailiffs)
Can You Enforce a Foreign Contract in Turkey?
Yes — if the foreign contract:- Does not contradict public order
- Has proper choice of law and jurisdiction clauses
- Is translated and certified properly
Turkish courts recognize foreign contracts — but enforcement depends on form, proof of delivery, and performance terms.
Case Example: French Tech Distributor Enforces Payment Clause
RT-Union represented a French company in enforcing a €120,000 payment clause against a Turkish distributor. The original agreement:- Was bilingual (English–Turkish)
- Contained a clear jurisdiction clause (Istanbul courts)
- Included penalties and interest provisions
Result:
- Judgment issued in 8 months
- Enforcement via bank account seizure
- Full recovery, including legal costs
Frequently Asked Questions
Does Turkish law require contracts to be in Turkish?No — but in disputes, Turkish courts will rely on Turkish versions. RT-Union prepares dual-language contracts with legal priority clauses.
Can we include arbitration in our contract?
Yes — ICC, ISTAC, and ad hoc arbitration clauses are accepted. RT-Union helps draft enforceable arbitration terms.
What if the Turkish partner refuses to pay?
We initiate litigation and freeze assets through court-authorized enforcement. Penalties and interest may apply.
Can I recover legal costs?
Yes — prevailing parties may recover part of the costs, subject to Turkish procedural rules.
Why Work with RT-Union – Russian-Turkish Law & Consulting Firm
- We draft and adapt contracts under Turkish law
- We litigate and enforce contracts across Turkey
- We protect your interests in English, German, Russian, Turkish
- Offices and representation in Istanbul, Ankara, Izmir
We are not just lawyers — we are your long-term legal partner in Turkey.
Contact Us for Contract Review or Enforcement
🕊️ Need to enforce a contract or resolve a dispute in Turkey?
Let RT-Union secure your commercial rights — clearly, efficiently, and locally.
📞 Free contract audit or enforcement strategy call.
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