1. Legal Framework for the Enforcement of Foreign Judgments in Turkey 1.1 The Statutory Basis: Articles 50–59 of MÖHUK The Turkish legal system allows the recognition and enforcement of foreign judgments through a dual judicial mechanism under MÖHUK. According to Article 50, a foreign judgment may only be enforced in Turkey if it has become […]
1. Introduction The monetization of intangible assets such as trademarks, patents, designs, copyrights, and software codes has become a central pillar of modern commercial law. In the digital economy, intellectual property (IP) rights constitute a substantial portion of corporate value, often exceeding tangible assets. Yet, when enforcement and liquidation proceedings arise—particularly under Turkish law—the conversion […]
1. Introduction Concordat (composition with creditors) represents a vital mechanism in Turkish insolvency law, enabling financially distressed debtors to restructure debts and continue operations while ensuring equitable treatment of creditors. In recent years, the increasing participation of foreign creditors and cross-border contractual relations has introduced substantial complexities into concordat procedures, particularly concerning the admissibility, authenticity, […]
1. Legal Framework of the Turkish Concordat System 1.1. Purpose and Nature The concordat aims to restructure a debtor’s debts under the supervision of the court, allowing partial repayment while preserving business continuity. It operates as a collective enforcement mechanism, replacing individual execution proceedings with a structured, court-supervised repayment plan. The system protects both the […]
1) Why Foreign Currency Claims Become a “Core Issue” in Bankruptcy Foreign currency receivables—USD, EUR, GBP and others—are common in cross-border trade, shipping, construction, tech, and financing transactions connected to Türkiye. When the debtor enters bankruptcy, the creditor’s headline concern is no longer only existence of the debt, but also: Because FX movements can be […]
1) Why Claim Registration Matters for Foreign Creditors in Turkey When a debtor is declared bankrupt in Turkey, the bankruptcy estate (iflas masası) is formed and managed for the benefit of all creditors. From that moment on, individual enforcement actions are largely replaced by collective liquidation and distribution rules. For a foreign creditor, the single […]
1. The Nature of International Factoring Transactions International factoring usually involves three actors: the supplier (exporter), the debtor (importer), and the factor. Under the factoring agreement, the supplier assigns its receivables to the factor, either with or without recourse, in exchange for immediate cash or financing. In cross-border settings, a second (import) factor may intervene, […]
1) Introduction: Why “Assignment + Enforcement in Turkey” Is a High-Friction Combination Receivables move. In international trade and finance, a claim that originally belonged to a seller, contractor, lender, or service provider can be transferred to a third party—an affiliated group company, a factoring entity, a fund, or a special purpose vehicle. This transfer (assignment […]
1) Introduction: why the “foreign third party” factor is not a detail—but the whole case In Turkish enforcement practice, haciz ihbarnamesi (garnishment notices issued under İİK Article 89) are among the most effective tools to reach a debtor’s receivables or assets held by third persons. Many files are collected not by chasing the debtor directly, […]
1) Understanding the Turkish Enforcement Architecture (What You Are “Plugging Into”) Türkiye’s enforcement system is built around enforcement offices (sometimes referred to in English as execution offices) that administer procedural steps: issuing payment orders, processing objections, registering attachments, sending notices to third parties, and coordinating sales. Courts become involved mainly in dispute stages (e.g., objections, […]