In our office provides advocacy and consultancy services to domestic and foreign companies and natural persons to collect their receivables in Turkey. Our main principle is to ensure our client to obtain his receivables in the fastest and effective manner with the lowest cost.
Our staff consisting of legal experts provide consultancy and legal services to corporations, institutions and individuals in the performance of all kinds of execution and bankruptcy procedures, litigation of execution proceedings and actions, debt collection, attachment, provisional attachment, pledge and mortgage, participation to meetings to the advantage of debtor or creditor and litigation of the actions for bankruptcy petition and suspension.
– Initiation of Executive Proceedings at the Enforcement Office with the Executive Proceedings Ways such as Attachment, Foreclosure of Chattel Mortgage And Mortgage, Collection of Check And Bill of Exchange And Evacuation of Leased Real Property
It involves the collection of a debt by force in order to ensure that creditors collect their debts by government force against the debtors who fail to settle their debts in a timely manner and at their will.
According to the Execution and Bankruptcy Law, creditors may apply to the option of general attachment for their monetary debts (in TL or a foreign currency) or secured debts. It is not obligatory for creditors to have a document to apply to the option of general attachment; the creditors who have an ordinary bill, a notary document containing a monetary debt acknowledgement or a certificate showing a monetary debt as duly issued by governmental agencies or competent authorities based on their power may make an application. The payment term in general attachment has been determined to be 7 days as from the service of the payment order to the debtor and the debtor may raise an objection against the execution proceeding within 7 days following the service of the same to him on the basis of three reasons. These reasons are listed in the law as objection to power, objection to signature and objection to debt. The debtor may raise an objection for the execution proceeding within 7 days based on one or some of these reasons by going to respective Execution Office.
Creditors may apply also to the option of attachment specific to bills of exchange for the collection of their debts related to a bill of exchange (bond, policy and check). The payment term for the attachment intended for bills of exchange is 10 days differently from the general attachment and the period for submitting a declaration of property is 10 days differently from the general attachment. Another different point from the general attachment is that the debtor may raise an objection for the debt and signature not in the execution office but in Enforcement Court within 5 days.
If the mortgage agreement statement does not contain an unconditional monetary debt acknowledgement, the relief applicable for the creditor is an execution proceeding without judgement by way of mortgage liquidation. A payment order is sent to the debtor in the execution proceeding without judgement by way of mortgage liquidation pursuant to Article 148 of the Execution and Bankruptcy Law. An execution proceeding with judgement by way of mortgage liquidation, on the other hand, may be performed in two methods. The first method is an execution proceeding with judgement if the debt or mortgage right or both are ascertained in a judgement or a document in the nature of a judgement whereas the second method is an execution proceeding with judgement if the mortgage agreement statement contains an unconditional monetary debt acknowledgement.
– Suit of Nullity and Withdrawal of Appeal Suit
The creditor has to options for the continuance of an execution proceeding without judgement upon the objection of the debtor which are namely the cancellation of the objection and elimination of the objection.
In order for the creditor to bring an action in the Enforcement Court for the elimination of the objection, he must have one of the documents listed in 68(a) paragraph of Article 68 of the Execution and Bankruptcy Law. If the creditor does not have any of these documents, the only relief applicable for him is an action for the cancellation of the objection. If the creditor has one of the documents listed in 68(a) paragraph of Article 68 of the Execution and Bankruptcy Law, then he may apply to any of these reliefs. The option of objection elimination is a simpler and faster process in comparison with the option of objection cancellation.
The action for the cancellation of the objection is a normal action for performance which involves the debt whose object of litigation is subjected to proceeding and for which the debtor subsequently raises an objection for such proceeding and it is brought as a normal legal action. Competent court is designated according to the Code of Civil Procedure. The creditor may file an objection cancellation action within 1 year as from the service of the objection to him. This 1 year period is a final term and if the creditor fails to file an objection cancellation action within 1 year, his proceeding without judgement becomes null and void. Proof with all kinds of legal evidences is possible in the objection cancellation action; oath, expert opinion and witness evidences may be applied to.
Only the creditors who have one of the documents listed in 68(a) paragraph of Article 68 of the Execution and Bankruptcy Law may apply to the option of objection elimination. The action must be filed in Enforcement Court within 6 months following the service of the objection of the debtor to the creditor. The inspection performed by the Enforcement Court is simpler and limited in comparison with the inspection of the court within the scope of an objection cancellation action. The creditor may prove his debt only through one of the documents listed in 68(a) paragraph of Article 68 of the Execution and Bankruptcy Law. Such evidences as witness, oath may not be applied to in Enforcement Court. The debtor is bound only with the justifications of objection in the hearing whether or not he specifies these justifications while he is raising an objection for the payment order. The Enforcement Court may decide the elimination of the objection either permanently or temporarily.
– Evacuation of the Leased Properties
It is a special proceeding option performed by the lesser for the evacuation of the leased property if certain justified reasons exist.
– Obtaining Provisional Attachment Decision
Provisional attachment involves temporary attachment of the debtor’s assets to assure timely payment of a monetary debt for the creditor. If the creditor is not sure of timely payment of the debt by the debtor, he firstly apply to provisional attachment for the assets of the debtor and then brings an action of debt or performs execution proceeding.
The debt must be due and non-secured through a pledge for the sake of a provisional attachment request.
However, if the debtor does not have a certain residential address or if he prepares himself to conceal or take away his assets for the purpose of avoiding of his commitments or prepares himself to escape, then a provisional attachment may be requested for any undue debt in case of these two exceptions.
– Negative Declaration and Restitution Action
The debtor may bring a negative declaratory action to prove that he is not in debt either before the execution proceeding or during the proceeding.
Upon request, the court handling the negative declaratory action brought before the execution proceeding may decide provisional injunction for the suspension of the execution proceeding in return for a security to be provided at the minimum amount of fifteen percent of the debt.
The suspension of the proceeding through a provisional injunction may not be decided in a negative declaratory action brought after the execution proceeding. However, the debtor may request from the court the non-payment of the money in the execution office’s cash desk to the creditor through provisional injunction in return for a security at the minimum amount of fifteen percent of the debt provided that he compensates the damages resulting from the delay. This security is a special condition for a negative declaratory action.
If an individual who is not actually in debt in terms of the substantive law fails to raise an objection for a payment order delivered to him for certain reasons or could not prove that he is not in debt in the Enforcement Court despite the fact that he has raised an objection; does not bring a negative declaratory action before or after the execution proceeding and as a result, he has paid the debt under the compulsory execution threat, he may file an action for the reimbursement of such amount to him which is called as a restitution action.
If the debtor has brought a negative declaratory action, the negative declaratory action is continued as a restitution action in the event that the debt is paid at the end of the execution proceeding before the negative declaratory action is finalized.
The condition for the restitution action in terms of the execution law is that the execution debtor becomes obliged to pay any amount which is not owed by him under a compulsory execution threat due to the finalization of the execution proceeding.
If the debtor has paid the debt without raising an objection within 7 days which is the legal period of objection against the payment order, then he may not bring a restitution action because this situation does not involve a compulsory execution threat as there is an opportunity to raise an objection. In this case, an enrichment action may be filed.
– Third-Party Claim Proceedings
– Bankruptcy and Arrangement of Bankruptcy Law Suit
– Action of Debt