Arbitration in Turkey

Domestic and international arbitration

Arbitration allows parties to submit a dispute to one or more arbitrators rather than obtain a first-instance merits decision from a court. In Türkiye, domestic arbitration seated in the country is governed primarily by the arbitration provisions of the Code of Civil Procedure No. 6100. International Arbitration Law No. 4686 applies to qualifying disputes with a foreign element where the statutory territorial or choice-of-law conditions are met. Calling a contract “international” is not enough by itself; the facts and statutory definition must be checked.

Arbitrability and the arbitration clause

Not every dispute may be arbitrated. Turkish law excludes disputes concerning real rights over immovable property located in Türkiye and matters that are not at the parties' disposal. Other subject-specific restrictions may also matter. A well-drafted clause identifies the scope of disputes, rules or institution, seat and tribunal formation. The governing law of the contract and the legal seat answer different questions; the hearing may physically take place somewhere other than the seat.

Parties may choose an institution such as the Istanbul Arbitration Centre (ISTAC) or agree on ad hoc arbitration. Institutional rules provide an administrative framework, while ad hoc cases require the parties and tribunal to manage more of the procedure. The right choice depends on the value of the claim, urgency, likely enforcement location and available evidence.

From dispute to award

Once a dispute arises, the claimant must establish jurisdiction under the arbitration agreement, present its claim and supporting evidence, and follow the agreed rules. The respondent may challenge jurisdiction and defend the merits. Arbitrators manage written submissions, evidence and any hearing before issuing an award. Courts may have a limited supporting or supervisory role under the applicable law, including interim measures and challenges to an award. These are distinct from a full merits appeal.

Enforcing an arbitral award

An award is valuable only if it can be satisfied. For an award made abroad, enforcement in Türkiye may engage the New York Convention and Turkish recognition and enforcement rules, subject to applicable conditions and reservations. Awards made in Türkiye follow the relevant domestic enforcement framework. The debtor's assets, the seat and the country of enforcement should therefore be considered when drafting the clause, not only after the dispute. See the related entries on the New York Convention and litigation in Türkiye.

Practical decision sequence

1. Review the signed arbitration agreement, parties and contract chain.
2. Check arbitrability, seat, applicable rules and any notice or negotiation steps.
3. Compare expected time, cost, interim relief and enforceability with court proceedings.
4. Preserve evidence and identify assets before commencing the case.

Official sources: International Arbitration Law No. 4686; Code of Civil Procedure No. 6100; UN: New York Convention status.