Foreign parties contracting under Turkish law should pay attention to mandatory provisions, governing law clauses, and dispute resolution mechanisms.
Governing Law and Jurisdiction
Parties may choose any applicable law.
Mandatory Turkish provisions still apply for performance in Turkey.
Foreign court judgments require recognition under MOHUK.
Arbitration
Turkey is party to New York Convention 1958.
ICC, ICDR and Istanbul Arbitration Center commonly used.
Enforcement of arbitral awards generally smooth.
Common Pitfalls
Currency restrictions on domestic contracts (TL requirement).
Tax stamping requirements for written contracts.
Notarization or apostille for cross-border use.
Frequently Asked Questions
Can I contract in foreign currency in Turkey?
Generally no for resident-resident contracts; exceptions apply.
How are arbitral awards enforced?
Through Court of First Instance under New York Convention rules.