International Arbitration in Turkey - Ongur & Partners
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International Arbitration in Turkey

Arbitration in Turkey became a very important dispute resolution tool in the past two decades. As leading arbitration lawyers in Turkey, we are proud to successfully represent many local and international clients before leading international arbitration institutions such as the ICC, ICSID, and the Milan Chamber of Arbitration in high-value cases.

International arbitration in Turkey has a crucial role in international trade and business relationships.  Arbitration can be defined as the resolution of disputes through individuals called “arbitrators,” rather than through Turkish state courts. In the Turkish arbitration law system, in today’s business environment, the parties prefer to be settled via arbitration instead of litigation because of the impartiality, speedy resolution opportunities, and cost-efficiency that arbitration processes in Turkey. Indeed, the resolution of international disputes via international arbitration in Turkey takes between 6 to 12 months compared to a standard commercial litigation case in Turkey, which takes a minimum duration of 24 months up to 36 months or sometimes even longer. Another advantage of arbitration in Turkey is that it provides an impartial forum and an effective dispute resolution mechanism in Turkey.

Our experience in Turkish Arbitration Law is well-grounded with international expertise and collaboration with our international legal network.

As well-recognized arbitration lawyers in Turkey, we have been representing many clients before the Istanbul Arbitration Centre (ISTAC), ICC (International Chamber of Commerce), ICSID (International Center for Settlement of Investment Disputes), Milan Chamber of Arbitration.

International Arbitration in Turkey

Award wining International Arbitration Lawyers in Turkey….

We are leading international arbitration lawyers in Turkey with deep experience in representing many foreign and local clients before the ICC, Milan Chamber of Commerce, Istanbul Arbitration Centre, and ad hoc tribunals in Turkey. We are proud to have received several awards from international authorities regarding our qualified Turkish arbitration services. In 2019, we were granted the Best Arbitration Law Firm Award in Turkey from the GLE Global Law Experts, and the Leading Arbitrator Law Firm award from AI Acquisition International.

ICC ARBITRATION (INTERNATIONAL CHAMBER OF COMMERCE)

ICC Arbitration is frequently referred to by both Turkish and international companies in their contracts. As is well-known, the International Court of Arbitration is an institution affiliated with the International Chamber of Commerce (ICC) that administers the resolution of disputes referred to it, according to ICC Dispute Resolution Rules since 1923.

icc arbitration

International Court of Arbitration is composed of a chairman, a vice-chairman, and 50 members. The ICC Council elects the chairman and the chairman appoints the vice-chairman. The Council appoints the members upon recommendation of the ICC National Committees. International Court of Arbitration has a Secretariat to administer the arbitration cases.

The party who wishes to request arbitration under the ICC Dispute Resolution Rules must deliver their request for arbitration to the Secretariat. The Secretariat then notifies the Claimant and the Respondent that such request is received and the date of delivery thereof. The date of delivery of the request to the Secretariat is considered to be the beginning date of the arbitration procedure in all cases.

Within the framework of the ICC Dispute Resolution Rules, the decision on disputes must be made by one and/or three arbitrators. If parties cannot agree on the number of arbitrators, the Council appoints a sole arbitrator. If the Council determines that it is necessary to appoint three arbitrators for the dispute, each party must nominate one arbitrator.

According to the ICC Dispute Resolution Rules, the Arbitration Board must render the final decision in principle within 6 months. However, the Arbitration Board may extend the said period. The decisions of the arbitrators are binding upon the parties. ICC Dispute Resolution Rules can be found in the ICC’s web site.

According to ICC Dispute Resolution Rules, the Arbitration Board should make the final decision in principle within 6 months. However, the Arbitration Board may extend the said period. The decisions of the arbitrators are binding upon the parties. ICC Dispute Resolution Rules can be found from the ICC’s web site.

ICSID ARBITRATION (INTERNATIONAL CENTER FOR SETTLEMENT OF INVESTMENT DISPUTES)

In 1965, the World Bank put a settlement and arbitration system into practice for investment disputes by establishing the International Center for Settlement of Investment Disputes (ICSID) under a convention. The Center is in Washington, D.C. where the headquarters of the World Bank is located.

For an investor to be able to refer a dispute to ICSID, (i) a record must be provided in terms of resolution of disputes by the request of arbitration before ICSID, which can be found in the agreement signed between the investor and the host state with regards to a certain investment; (ii) where there is a bilateral investment agreement signed between the state to which the investor is registered and the state to which the investment is made, the investor can rely on the provisions of the relevant bilateral agreement which grants jurisdiction to ICSID for the resolution of disputes; or (iii) the investor can rely on the provisions of multilateral international agreements. For example, where a multilateral investment agreement is signed between the investor’s state and Turkey, such as the European Energy Agreement, the disputes that may arise between the investing company and Turkey can be settled by ICSID arbitration, even if the specific agreement does not contain an arbitration clause. ICSID Rules can be found from the ICSID’s web site.

LONDON COURT OF INTERNATIONAL ARBITRATION (LCIA)

LCIA has been established in 1883 in London, especially for the rapid and economical resolution of international disputes. It is still one of the leading dispute resolution centers for settling international disputes. Although LCIA is based in London, 80% of the parties of disputes that are settled by the LCIA are not citizens of the United Kingdom, which makes LCIA a truly international institution. One of the main principles of LCIA is to ensure the amicable resolution of disputes if settling disputes is possible. LCIA Arbitration Rules can be found from the LCIA’s web site.

Related Legislation

Turkish International Arbitration Law Numbered 4686

Turkish International Arbitartion Law, Law no. 4686, 2001   International Arbitration Law (Law No. 4686 of 21 June 2001) in Jan Paulsson (ed), International Handbook on Commercial Arbitration, (Kluwer Law International 1984 Last updated: March 2005 Supplement No. 43 ) pp. Annex I – 1 – Annex I – 14   Official Gazette of 5 July 2001 No. 24453   Chapter One. General Provisions   Article 1   Purpose and scope   The purpose of this Law is to set forth the…

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Icsid Rules Of Procedure For Arbitration Proceedings

CHAPTER    1   ESTABLISHMENT  OF THE TRIBUNAL   Rule 1   General Obligations   (1) Upon notification of the registration of the request for arbitration, the parties shall, with all possible dispatch, proceed to constitute a Tribunal, with due regard to Section 2 of Chapter IV of the Convention.   (2) Unless such information is provided in the request, the parties shall communicate to the Secretary-General as soon as possible any provisions a…

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Icc Rules Of Arbitration

Article 1: International Court of Arbitration   1)   The International Court of Arbitration (the “Court”) of the International Chamber of Commerce (the “ICC”) is the independent arbitration body of the ICC. The statutes of the Court are set forth in Appendix I.   2)   The Court does not itself resolve disputes. It administers the resolution of disputes by arbitral tribunals, in accordance with the Rules of Arbitration of the ICC (the “Rules”). The Court is the only agreed by them regarding the number of arbitrators…

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Istac Arbitration Rules

ISTANBUL ARBITRATION CENTRE  ARBITRATION RULES Section I INTRODUCTORY PROVISIONS   ARTICLE 1   The Istanbul Arbitration Centre and the Board of Arbitration   The Istanbul Arbitration Centre is an independent institution of arbitration, which has been established for the purpose of providing institutional arbitration services.   The Board of Arbitration (Board) is an autonomous body of the Istanbul Arbitration Centre. The structure and functional procedures

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International Arbitration Law Of Turkey

ISTANBUL ARBITRATION CENTRE  ARBITRATION RULES Section I INTRODUCTORY PROVISIONS   ARTICLE 1   The Istanbul Arbitration Centre and the Board of Arbitration   The Istanbul Arbitration Centre is an independent institution of arbitration, which has been established for the purpose of providing institutional arbitration services.   The Board of Arbitration (Board) is an autonomous body of the Istanbul Arbitration Centre. The structure and functional procedures…

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Icsid Arbitration Rules

ICSID CONVENTION ARBITRATION RULES   Chapter I Establishment of the Tribunal Rule 1 General Obligations (1) Upon notification of the registration of the request for arbitration, the parties shall, with all possible dispatch, proceed to constitute a Tribunal, with due regard to Section 2 of Chapter IV of the Convention. (2) Unless such information is provided in the request, the parties shall communicate to the Secretary-General as soon as possible any provisions agreed by them reg…

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Lcia Arbitration Rules Effective 1 October 2014

LCIA ARBITRATION RULES Preamble Where any agreement, submission or reference howsoever made or evidenced in writing (whether signed or not) provides in whatsoever manner for arbitration under the rules of or by the LCIA, the London Court of International Arbitration, the London Court of Arbitration or the London Court, the parties thereto shall be taken to have agreed in writing that any arbitration between them…

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Uncitral Arbitration Rules

UNCITRAL Arbitration Rules (as revised in 2010) Section I.   Introductory Rules Scope of application Article 1   Where parties have agreed that disputes between them in ­respect of a defined legal relationship, whether contractual or not, shall be referred to arbitration under the UNCITRAL ­Arbitration Rules, then such disputes shall be settled in accordance with these Rules subject to such modification as the parties may agree.   The parties to an…

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