Debt Collection in Turkey

How to recover a commercial claim from a Turkish debtor

Turkey is a strategic market, a bridge between Europe and Asia, with increasingly strong trade relations with from the EU and the Middle East. However, especially in business relations between SMEs, it may happen that a Turkish debtor fails to fulfil their obligations. Knowing the local debt collection rules is therefore essential to protect your interests and maximize the chances of success.

Actions for international debt collection in Turkey

A creditor seeking to recover a debt from a debtor based in Turkey can rely on several instruments:

  • Lawyer’s Demand Letter: before starting legal action, it is advisable (and in some cases required) to send a formal demand letter through a local lawyer. This step demonstrates the creditor’s good faith and may lead to an amicable settlement.
  • Negotiation and settlement: if the debtor acknowledges the debt, it is possible to formalize a payment plan. In some cases, the agreement can be registered before a notary or a court to make it enforceable.
  • Legal action in Turkey: if the creditor cannot recover the debt amicably, they may initiate a civil lawsuit before Turkish courts.
    (i) For documented and uncontested claims, Turkish law provides a simplified order for payment procedure, with faster timelines and lower costs compared to ordinary proceedings.
    (ii) If the debtor disputes the claim, the case continues as ordinary proceedings, with the court being able to admit documentary evidence, witness statements, and expert reports if necessary.

Why rely on an expert lawyer for debt collection in Turkey

The Turkish legal system has specific rules and formalities, so relying on a lawyer specialised in international debt collection allows for correctly drafting the initial demand letter, often a necessary requirement before taking legal action, and to identify the most effective strategy depending on the type of claim and the debtor’s solvency.

Ursusnetwork provides specialised legal assistance for debt collection in Turkey, with the aim of supporting Italian companies in choosing the most appropriate and efficient path.