ERDEM-NEWSLETTER-2018-metin

38 NEWSLETTER 2018 Installment Sales Agreements* Att. Tuna Colgar Introduction The reason for the emergence of a different type of sales contract, rather than an ordinary sale agreement, referred to as an ‘installment sales agreement’ is to contribute to production by reviving the market through enabling people who are unable to pay the purchase price at the point of sale, to immediately make use of the goods they wish to purchase 1 . Installment sales agreements are regulated under Articles 253- 263 of the Turkish Code of Obligations (“TCO”). As it is a type of sales contract, it bears all of the qualities of a sales contract. Provisions of the Law on the Protection of the Consumer (“LPC”) shall apply to installment sales agreements that qualify as consumer transactions. TCO Article 253/I incorporates a definition of installment sales: “[An] Installment sale is a sale where the seller undertakes to deliver goods to the seller before the payment of the sales price to the buyer, and the buyer undertakes to pay the sales price in portions.” As the LPC was still in force during the time of entry into force of the TCO, provisions of the TCO related to installment sales that protect the buyer, who is in the position of a consumer, are more detailed and protective as compared to the provisions of the LPC, which regulate similar situations (installment sales). This leads to an interesting situ- ation. The provisions of the TCO shall prevail over the provisions of the LPC insofar as they are in favor of the consumer 2 . * Article of July 2018 1 Develioğlu, H. Murat : 6098 Sayılı Yeni Türk Borçlar Kanunu’nun “Taksitle Satım” Sözleşmesi ile İlgili Getirdiği Değişiklikler, Legal Hukuk Dergisi, Y. 9, p. 525, February 2011. 2 Öz, Turgut : Yeni Türk Borçlar Kanunu’nda Satım Sözleşmesine İlişkin Temel