Company Liquidation in Turkey: How to Close a Company Step by Step
Company liquidation in Turkey follows fixed steps under the Turkish Commercial Code: a dissolution resolution, three creditor calls, a one-year...
Author: Lawyer Kaan Karanfiloğlu
· · 14 min read

The Turkish court system has two main branches: ordinary (judicial) courts for civil and criminal cases, and administrative courts for disputes with the state. Most cases now pass through three tiers: a first-instance court, a regional court of appeal (istinaf), and the Court of Cassation (Yargıtay) or the Council of State (Danıştay). The Constitutional Court sits outside this chain.
Filing in the wrong court rarely loses a claim, but it can cost months. Below are the types of courts in Turkey, how appeals work and what foreigners should prepare.
The Turkish court system is organised under the Constitution into separate jurisdictions, each with its own courts and its own high court. The two you are most likely to meet are:
Above and beside these sit the Constitutional Court (Anayasa Mahkemesi) and the Court of Jurisdictional Disputes (Uyuşmazlık Mahkemesi). Military courts were abolished in peacetime by the 2017 constitutional amendment. Judges and prosecutors are appointed by the Council of Judges and Prosecutors (HSK).
The dividing line is simple. A dispute with a private person or company, or a crime, goes to the judicial courts. A challenge to an act of a public authority (a refused permit, a deportation order, a tax assessment) normally goes to the administrative courts.
Civil courts of first instance in Turkey are divided into general courts and specialised courts, and the Code of Civil Procedure No. 6100 (HMK) decides which one is competent.
The sulh hukuk mahkemesi hears the disputes listed in HMK Article 4 regardless of their value. The most common are lease disputes (eviction, rent determination, rent arrears claims), partition of jointly owned property (ortaklığın giderilmesi), and possession claims. It also handles guardianship matters.
The asliye hukuk mahkemesi is the court of general jurisdiction. Any civil dispute that the law does not give to another court comes here: contract claims between individuals, compensation for personal injury, land registry (tapu) cancellation cases and many property disputes. Where no specialised court exists in a district, it acts in that capacity.
Family courts, established under Law No. 4787, hear divorce, custody, maintenance (nafaka), division of matrimonial property and protective orders under Law No. 6284.
Labour courts, now governed by Labour Courts Law No. 7036, hear disputes between employees and employers: unpaid wages, severance and notice pay, reinstatement, and work accident claims.
Commercial courts hear commercial cases under the Turkish Commercial Code No. 6102: business disputes between merchants, company law matters, insurance, cheques and bills, concordat and bankruptcy. A single judge or a panel of three sits, depending on the case.
Consumer courts hear consumer disputes under Law No. 6502: defective goods, off-plan housing sales, bank charges and subscriptions. Below a yearly updated limit, the consumer arbitration committee (tüketici hakem heyeti) decides instead.
These civil courts hear trademark, patent, design and copyright disputes, including infringement and cancellation actions. They sit in large cities such as Istanbul, Ankara and Izmir; elsewhere a designated general court handles the work.
Enforcement courts supervise enforcement offices under the Enforcement and Bankruptcy Law No. 2004 (İİK). The icra hukuk mahkemesi decides complaints against enforcement officers, requests to lift a debtor's objection and certain challenges to seizures. The icra ceza mahkemesi decides the offences and coercive measures set out in that law, such as failing to declare assets or not paying court-ordered maintenance.
Criminal courts in Turkey are organised by the seriousness of the offence. A case starts with the public prosecutor (Cumhuriyet Başsavcılığı), who investigates and decides whether to file an indictment.
The sulh ceza hakimliği does not hold trials. It decides measures during the investigation: arrest and detention, judicial control (for example a travel ban), search and seizure orders, and access-blocking orders. It also hears objections to a prosecutor's decision not to prosecute (kovuşturmaya yer olmadığına dair karar).
The asliye ceza mahkemesi is the general criminal trial court. A single judge hears every offence not given to the high criminal court, such as theft, threats, insults, simple injury and traffic offences.
The ağır ceza mahkemesi, a panel of a presiding judge and two members, hears offences punishable by more than ten years' imprisonment and certain other serious offences listed in Law No. 5235, such as robbery (yağma) and certain organised crime offences. Juvenile courts (çocuk mahkemeleri and çocuk ağır ceza mahkemeleri) hear cases against children who were under 18 at the time of the offence.
The Turkish punishment system is set by the Turkish Penal Code No. 5237, which provides for imprisonment (aggravated life, life, and fixed-term imprisonment, which as a rule runs from one month to twenty years) and judicial fines calculated in days. For sentences of two years or less, the court may suspend the sentence or defer the announcement of the verdict (hükmün açıklanmasının geri bırakılması, HAGB) if the legal conditions are met. Our separate guide on what to expect from Turkish courts in criminal cases covers the hearing itself.
Administrative courts (idare mahkemeleri) and tax courts (vergi mahkemeleri) decide disputes with public authorities under Law No. 2577 (İYUK), either as an annulment action (iptal davası) or a compensation action (tam yargı davası).
Foreigners meet this court most often over residence permit refusals, deportation orders and work permit rejections. The general time limit to file is 60 days from notification. Deportation orders have a much shorter special limit, so read the notice carefully.
Tax courts hear challenges to tax assessments, tax penalties and related acts of the Revenue Administration. The general time limit is 30 days from notification. Our article on tax disputes and appeal rights in Turkey explains the pre-court settlement options.
Since 20 July 2016, Turkey has had a three-tier court system in both jurisdictions, with regional appeal courts between the first-instance courts and the high courts.
Time limits are short. In civil cases the istinaf and temyiz periods are, as a rule, two weeks from service of the reasoned judgment. In administrative cases they are generally 30 days. Criminal istinaf and temyiz periods were set at two weeks by Law No. 7331 of 2021 (the istinaf period was previously seven days and the temyiz period fifteen days); confirm the period stated on your decision. See how to appeal a court decision in Turkey and appeal processes in criminal cases.
The Constitutional Court (Anayasa Mahkemesi) reviews the constitutionality of laws and, since 23 September 2012, hears individual applications (bireysel başvuru) from anyone who claims that a public authority violated a fundamental right protected both by the Constitution and the European Convention on Human Rights. It is not a fourth instance on the merits.
An individual application can be made only after ordinary remedies are exhausted, and as a rule within 30 days of learning of the final decision. Foreigners can apply too, except in respect of rights granted only to Turkish citizens (Law No. 6216, Article 46). After this route, an application to the European Court of Human Rights may be possible; see our guide to the ECHR application petition.
This court decides which jurisdiction, judicial or administrative, is competent when the two disagree, and resolves conflicting final judgments between them. You may meet it when a civil court and an administrative court have both declined your claim against a public body.
The table gives the usual starting point; specific facts can change the answer.
| Your problem | Usual first-instance court | Mediation first? |
|---|---|---|
| Tenant does not pay rent or refuses to leave | Sulh hukuk mahkemesi (or enforcement office route) | Often yes, with exceptions |
| Divorce, custody or maintenance | Aile mahkemesi | No |
| Unpaid wages or unfair dismissal | İş mahkemesi | Yes, for most claims |
| Unpaid invoice between companies | Asliye ticaret mahkemesi | Yes, for money claims |
| Defective product or off-plan apartment | Tüketici mahkemesi (or arbitration committee below the limit) | Yes, above certain limits |
| Trademark copied by a competitor | Fikri ve sınai haklar hukuk mahkemesi | Yes for compensation (money) claims; no for other claims, as a rule |
| Residence permit refused or deportation order | İdare mahkemesi | No |
| Tax assessment or tax penalty | Vergi mahkemesi | No |
| You are the victim or suspect of a crime | Prosecutor, then asliye ceza or ağır ceza | Criminal reconciliation (uzlaştırma) for some offences |
For several types of dispute, Turkish law requires the claimant to go to a mediator before filing a lawsuit, and a case filed without this step is dismissed on procedural grounds. As of the time of writing, mandatory mediation applies in particular to:
The list has exceptions, so check the current rule before filing. You apply to the mediation bureau (arabuluculuk bürosu) at the courthouse, and a signed settlement can be enforceable like a judgment. See our guide to mediation in Turkey and what mandatory mediation means, or our mediation services page.
Almost all Turkish court files are electronic and run through the National Judicial Network (UYAP). You can follow your own cases through the UYAP Citizen Portal or the e-Devlet gateway, which require Turkish login credentials. Foreigners with a residence permit and a foreigner identification number (starting with 99) can usually obtain an e-Devlet password from a post office (PTT).
Notifications are increasingly served electronically under Notification Law No. 7201. Time limits run from service, so an ignored notice still starts the clock.
Foreigners have the same right to sue and defend in Turkish courts as citizens. Proceedings are conducted in Turkish, and every foreign document must be filed with a certified Turkish translation.
In our practice at Karanfiloglu Law Firm in Istanbul, the most common avoidable delay for foreign clients is a power of attorney prepared abroad that lacks the apostille or the specific litigation clauses, so it has to be signed again. Which court is competent and whether security is due depend on your nationality and the claim; a lawyer can assess this in a short consultation.
The length of a court case in Turkey depends on the court, the city and whether an expert report is needed, so any figure is a rough guide. As of the time of writing:
An uncontested divorce or a mediation settlement can be much shorter. Interim injunctions (ihtiyati tedbir) can be decided within days in urgent cases.
The Turkish court system separates judicial courts from administrative courts, each with specialised courts and a three-tier appeal route, and the Constitutional Court hears rights violations. Identify the right court, check whether mediation comes first, and watch the short appeal periods. Our guide to filing a lawsuit in Turkey, our civil law and criminal law pages give more detail.
If you would like advice on your own situation, Karanfiloglu Law Firm is a registered law office in Istanbul serving foreigners and Turkish clients across Turkey. You can reach us by phone or WhatsApp at +90 532 659 35 11, by email at karanfiloglu.lawyer@gmail.com, or visit us at Merkez Mah. Hasat Sk. No:12, 34384 Şişli, İstanbul. Contact us to discuss your situation.
The main types of courts in Turkey are civil courts, criminal courts and administrative courts. Civil courts include the sulh hukuk and asliye hukuk courts plus specialised family, labour, commercial, consumer, intellectual property and enforcement courts. Criminal courts are the asliye ceza and ağır ceza courts. Administrative disputes go to the idare and vergi courts.
There is no single highest court in Turkey. The Yargıtay is the final court for civil and criminal cases, the Danıştay for administrative cases, and the Constitutional Court reviews laws and individual applications for violations of fundamental rights.
The Turkish court system has three tiers since 2016. A first-instance decision is appealed to a regional court (istinaf) and then, where allowed, to the Yargıtay or the Danıştay (temyiz). Time limits are short, as a rule two weeks in civil cases and 30 days in administrative cases.
The difference is the seriousness of the offence. The ağır ceza court, a three-judge panel, hears offences punishable by more than ten years' imprisonment and certain listed serious crimes; the asliye ceza court, a single judge, hears the rest.
For some disputes, yes. Mandatory mediation applies to most labour claims, commercial money claims, many consumer disputes and, since 2023, lease, partition, condominium and neighbour disputes. A lawsuit filed without it in these cases is dismissed.
Yes, in most cases. You can give a Turkish lawyer a power of attorney signed at a Turkish consulate or before a local notary with an apostille, and the lawyer files and follows the case through UYAP. Your personal attendance may still be needed for some hearings, such as divorce.
Yes. You can see your cases on the UYAP Citizen Portal or through e-Devlet once you have Turkish login credentials. Your lawyer sees the full electronic file through the UYAP lawyer portal.
It is a complaint to the Anayasa Mahkemesi that a public authority violated a fundamental right. It is available only after ordinary remedies are exhausted and is generally filed within 30 days of the final decision.
Kaan Karanfiloğlu is the founder of Karanfiloglu Law Firm, an Istanbul-based registered law office serving Turkish and international clients across Turkey. He is a lawyer registered with the Istanbul Bar Association (Reg. No. 58270) and the Union of Turkish Bar Associations (No. 133074), and has practised law in Turkey since 2017. He is also a registered mediator (No. 41909). He holds an LL.B. from Galatasaray University Faculty of Law (2016) and advises clients in Turkish, English and French; Russian- and Chinese-speaking clients are served through native-speaking advisors at the office.
Disclaimer: This article provides general information about Turkish law and is not legal advice. Laws, regulations, official fees and procedures change over time and every situation is different. For advice on your specific circumstances, please consult a qualified lawyer. No liability is accepted for any loss arising from reliance on the information in this article.
The content on this site is for general information and does not constitute legal advice.
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