Corporate and Commercial Law

Commercial law, in its broadest sense, is a branch of private law governing commercial organisations and their relationships with one another and with individuals.

Commercial law protects merchants' rights within the framework of the law and is important to business owners and buyers. It explains the rights that individuals have before the law. Focusing on economic activities within human relationships, commercial law is a broad field.

Company law forms part of commercial law. It includes rules concerning the establishment, merger, division, termination, bankruptcy, postponement of bankruptcy, acquisition, transfer and liquidation of companies.

The Turkish Commercial Code (TTK) regulates four company types: joint-stock companies, limited liability companies, general partnerships and limited partnerships. Their establishment, operation and capital requirements differ.

The requirement for joint-stock companies to retain a lawyer is set out in Article 35 of the Attorneyship Law. The text cites TRY 50,000 as the capital amount under Article 332 and states that joint-stock companies with capital exceeding TRY 250,000 must retain a lawyer under contract. It refers to the requirement in Article 35 for companies with capital equal to or greater than five times the specified amount.

Companies failing to meet the obligation to retain a lawyer are subject to sanctions. Under the provision described in the source text, the public prosecutor imposes an administrative fine equal to two months' gross minimum wage for each month without an appointed contractual lawyer. The competent public prosecutor is the prosecutor at the company's registered office.