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The relevant article also stipulates a sanction for the persons

acting contrary to this provision. Pursuant to the article 35/3,

“the

public prosecutor shall determine an administrative fine on a monthly

basis […] for the institutions which do not recruit an attorney at law

and consequently violates this paragraph”

.

Constitutional Court’s decision

The Constitutional Court states the grounds for the rejection of the

application with its decision numbered E. 2010/10 K. 2011/10 and

dated 30.06.2011 which was published in the Official Gazette dated

18.02.2012 and numbered 28208.

The Constitutional Court firstly explains the social and economic

importance of the joint stock companies. According to the

Constitutional Court,

“shareholders, employers, creditors and society

have different benefits in joint stock companies and these companies

with their immense capital and with the possibility provided by the

limited liability and legal entity, play an important role in the progress

of states.”

This role requires a balance between the benefits of the

parties and also requires modern business management principles.

In this framework, the Constitutional Court emphasizes that the state

has a regulatory duty in the process of the national economy and the

article 35/3 of the Legal Profession Act should be evaluated in this

regard.

The principle of state of law is associated with the above men-

tioned explanations by the Constitutional Court. The Constitutional

Court states that the scope of the obligation to recruit an attorney of

law for certain joint stock companies is not ambiguous, but explicit

with the justification of the relevant article where it is stipulated that

“the purpose of this provision is to assure that joint stock companies

are benefited from legal counseling not only during the lawsuits pro-

cedure but also before the litigation arise as a preventive legal measure

because most of the litigations and legal problems arise out of omis-

sion of legal formality or failure to anticipate legal risks beforehand or

during the creation of legal relations between the parties.”

Subsequent to these explanations concerning the principle of state

of law, the Constitutional Court evaluates the principle of equality. In

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NEWSLETTER 2012