42 NEWSLETTER 2021 (call-option) against the relevant shareholder member who violates the constitution. However, it is usually preferable to include such sanctions in the shareholders’ agreements. The family assembly and/or council could be authorized for the resolution of disputes and the applicable sanctions against family members. It is also possible to take support from an objective consultant, mediator or lawyer during the resolution of such conflicts. Conclusion Family constitutions complement the provisions of the articles of association of family owned companies, such as shareholders’ agreements, and support the prevention of conflicts by regulating the issues that concern family members and the companies. Therefore, it is important for family members to create a constitution that is designed to ensure the continuity of family businesses and their transfer to future generations. It is possible to extend the binding nature of the rules and regulations stipulated in the family constitutions, which can be regulated without any written form and registration requirement, by reflecting them in the articles of association or shareholders’ agreements to the extent permitted by the law.
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