Dispute Resolution and Debt Collection in Turkey

At a glance

Debt collection through enforcement proceedings

In Turkey, a creditor can often start collection directly at an enforcement office, without first obtaining a court judgment. The main routes are:

• Enforcement without a judgment (ilamsız takip): the enforcement office sends a payment order to the debtor. If the debtor does not object within seven days, the proceedings become final and attachment of assets can follow. If the debtor objects, the creditor can apply to court to have the objection removed or set aside.
• Enforcement based on negotiable instruments (kambiyo senetlerine dayalı takip): for cheques, bills of exchange and promissory notes, with shorter time limits and limited grounds of objection.
• Enforcement of judgments and arbitral awards (ilamlı takip) and enforcement of mortgages and pledges.

Where there is a risk that the debtor will dispose of assets, a court may grant a precautionary attachment (ihtiyati haciz) before or during proceedings. See also debt collection in Turkey.

Commercial litigation and mediation

Commercial disputes are heard by the commercial courts of first instance. For most commercial claims for payment, the parties must first attempt mediation; a lawsuit filed without this step is dismissed. Many disputes are resolved at this stage, and a settlement reached in mediation with the parties’ lawyers has the effect of an enforceable judgment.

International and domestic arbitration

We act in arbitrations seated in Turkey and in matters where a foreign arbitral award needs to be enforced in Turkey. Arbitration seated in Turkey with a foreign element is governed by the International Arbitration Law No. 4686, and foreign awards are recognised and enforced under the New York Convention.

Foreign judgments and matters with a foreign element

A judgment given by a foreign court can be enforced in Turkey after a Turkish court grants enforcement (tenfiz), subject to conditions such as reciprocity and compliance with Turkish public policy. Foreign claimants may be asked to provide security for costs, unless an exemption under a treaty or on the basis of reciprocity applies. Our Turkish Private International Law portal covers these questions article by article, and we have written on claims involving foreign states.

How we assist

• Assessment of the claim, the evidence and the debtor’s position
• Enforcement proceedings, precautionary attachments and asset searches
• Mandatory mediation and settlement negotiations
• Commercial litigation before Turkish courts
• International and domestic arbitration
• Recognition and enforcement of foreign judgments and arbitral awards
• Concordat and restructuring proceedings involving a debtor

Debt collection agency or law firm?

In Turkey, enforcement proceedings and lawsuits are conducted by lawyers. A collection agency may contact a debtor, but it cannot represent a creditor before enforcement offices or courts. For a claim that the debtor does not pay voluntarily, a lawyer is required.

How long does debt collection take in Turkey?

If the debtor does not object to the payment order, attachment of assets can begin within weeks. If the debtor objects, the creditor must obtain a court decision, which usually takes months. Claims based on cheques and promissory notes move faster, as the grounds of objection are limited.

Costs of debt collection

Enforcement and court fees are paid in advance, largely calculated as a percentage of the claim. If the creditor succeeds, these costs, together with interest and the statutory attorney fee, are added to the debt and recovered from the debtor.

Collecting a debt from a Turkish company as a foreign creditor

The key documents are the contract, invoices, delivery or shipping documents and correspondence showing the debt. We review these, check the debtor’s position and assets, and choose between enforcement without a judgment, a precautionary attachment or a lawsuit. A power of attorney signed and apostilled abroad is enough to act; a foreign claimant may be asked to provide security for costs unless an exemption applies.

Dispute resolution in Turkey: choosing the right forum

For a foreign company or individual, the first decision in a dispute is where and how to resolve it. Contracts often contain a jurisdiction or arbitration clause; where they do not, Turkish courts may have jurisdiction under the Private International and Procedural Law (MÖHUK). We assess the options before any step is taken: negotiation and settlement, mandatory mediation, litigation before the commercial courts, arbitration seated in Turkey or abroad, or enforcement proceedings where the claim is already documented. The right choice depends on the amount, the evidence, the debtor’s assets and where they are located, and how quickly a result is needed.

Our dispute resolution practice covers commercial and shareholder disputes, disputes within family-owned companies, construction and real estate disputes, banking and finance disputes, and concordat and debt restructuring proceedings. Our founding partner has resolved corporate and family disputes involving values of more than USD 1 billion.

Frequently asked questions

Can a foreign company collect a debt in Turkey without travelling?

Yes. With a power of attorney issued abroad and apostilled or legalised, a Turkish lawyer can start and follow the proceedings on the company’s behalf.

Do I need a court judgment before starting enforcement?

Not necessarily. Many claims can be pursued directly through enforcement without a judgment; if the debtor objects, the objection is then taken to court.

In which language are proceedings conducted?

Proceedings are conducted in Turkish. Foreign-language documents are submitted with sworn translations.

Can a foreign court judgment be enforced in Turkey?

Yes, after a Turkish court grants enforcement, provided the conditions of MÖHUK are met.

Discuss your dispute or claim with our team

Tell us briefly about your claim or dispute and share the key documents. We will review them and explain the options and the appropriate next steps. You can send us a message or request an online consultation.

This page provides general information on Turkish law and does not constitute legal advice. Legislation, time limits and court practice change; the position should be confirmed for each matter.