ERDEM-NEWSLETTER-2018-metin

4 NEWSLETTER 2018 two legal actions appear as a single action when performed at the same time, two different successive actions ensue. Another condition of establishment of a pledge is that the pledger has the power of disposition. Uncertified Shares . It is sufficient to conclude a pledge contract for the establishment of the pledge right on an uncertified share (Turk- ish Civil Code 955/3). The pledge contract referred to here is an act of disposal, as opposed to a pledge contract, which is a promissory transaction. The written format is a condition of validity of the pledge contract that is an act of disposal. Dematerialized shares are also qualified as uncertified shares. Security contracts regarding capital market instruments are regulated under Article 47 of the Capital Markets Law (“CML”). Accordingly, security contracts covering the capital market instruments monitored by the Central Registry Agency (“CRA”) are drawn up in writing. The contract of security mentioned in the Article is also qualified as an act of disposal. The pledge is established by concluding the security contract. The notification of the pledge right established on the reg- istered share to the CRA is important in terms of asserting the right of pledge against third parties. As a matter of fact, when the rights on a capital market instrument pursuant to Article 13/5 of the CML is asserted against third parties, the notification date to the CRA is taken as the basis. Certified Shares. In the event the shares of the joint stock compa- ny are connected to a certificate, they may also be subject to a pledge. Shares issued by a joint stock company are qualified as negotiable instruments. However, the issuance of a share certificate in terms of a right to partnership, and obligations related to partnership, is explanatory, not constructive, as it is in commercial bills. Under Article 484/1 of the Turkish Commercial Code, joint stock companies may issue bearer share certificates or registered share certificates. For shares that are not paid in full, bearer share certificates cannot be issued.