In Turkey, due to the frequent changes of construction regulations and plans, the performance of an agreement may become unfulfilleable or impossible, because of the failure to obtain required licenses after the conclusion of the contract or cancellation of the construction works by the local authorities. In such cases, the answers to the questions “What will be the liability of the contractor?” or “Who will indemnify for the losses of client?” or “How will this incident affect the agreement between the undersigning parties?” shall vary upon two different schemes. The …

Since the amendment of the Direct Foreign Investment Law on the 17.06.2003, there have been some changes in the existing system of corporate law. Differing from previous adjustments, obligations concerning permissions and minimum amount of capital are regulated in order to promote foreign investment. According to the Direct Foreign Investment Law; foreigner investors who directly make foreign investments are;

Foreign citizens
Turkish citizens who are residents in a foreign country
Legal entities and international enterprises which are established under a foreign country’s law. Foreign investors are entitled to establish new companies and branch …

Either local, or foreigner, one of the most important legal issues concerning the contractors offering services in construction industry is the validity issues of building contracts, which they might face during the jobs they undertake in return for appartment flats. Before examining this subject in details, briefly defining the concepts of “contract” and “building contract in return for appartment flat” might be appropriate.
Upon Turkish Obligations Code (OC) article 1, a contract is formed with the mutual and apposite consent declaration of the parties. The consent’s decleration can be either explicit …

In parallel with the international developments at the commercial arena, volume of world’s trade is also expanding. Therefore, countries are moving towards to create common economical targets. “Exclusive Selling Contract” is a typical contract which enables easier transfer of goods and products to foreign markets.
With the help of Exclusive Selling Contract, exports to a certain country can be conducted via a sole distribution center located there. In a few words, the commercial relationships are sustained by a sole buyer at the country of export. The buyer undertakes many risks and …