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NEWSLETTER 2011

316

The Act on Compulsory Use of Turkish Language in

Economic Enterprises

2

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Att. Sedef Üstüner

The validity of legal transactions and documents is not related to the

use of Turkish language; legal transactions in foreign languages are also

considered to be valid. However, use of Turkish language is mandatory

while Turkish companies conduct their commercial operations and

transactions in Turkey and also foreign companies’ commercial dealings

with Turkish citizens and Turkish enterprises.

“Act No. 805 on Compulsory Use of Turkish in Economic Enterprises”

(the “Act”)

which is published in the Official Gazette dated 22.04.1926

and numbered 353 and entered into force by being published, regulates

the procedure of keeping records for Turkish enterprises.

The Scope of the Act

Pursuant to Article 1 of the Act, all Turkish companies and

enterprises are obliged to conduct their business transactions, conclude

their agreements and keep their correspondences, records and books in

Turkish language within Turkey.

The term “companies and enterprises” includes also real person

merchants. Transactions, agreements and correspondences concluded

between Turkish companies and enterprises and foreign companies fall

within the scope of this Act.

It is not mandatory to use Turkish language for any agreement which

is concluded outside of Turkey by a Turkish company even though the

results and effects of the agreements arise within Turkey.

Similarly, there is not any obligation to use Turkish language

regarding the transactions and operations concluded outside of Turkey

by a Turkish company and regarding the transactions and operations

concluded between a Turkish company and its foreign branches and

organizations.

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Article of July 2011