Is mediation mandatory before filing a commercial lawsuit?
Under the Turkish Commercial Code, in commercial disputes concerning receivables and compensation claims for the payment of a sum of money, applying to a mediator before filing a lawsuit is a procedural prerequisite. A lawsuit filed without mediation is dismissed on procedural grounds.
Claims outside the scope
Claims that do not concern the payment of money fall outside this requirement. Whether a particular claim falls within the scope may depend on the nature of the case, so it should be assessed before filing a lawsuit.
Advantages of mediation
- The process usually concludes within weeks, whereas litigation can take years.
- Limitation periods and strict time limits do not run during mediation.
- If an agreement is reached, the settlement document may be enforced like a court judgment, provided the conditions are met.
- Costs and fees may be lower than in litigation.
Before you apply
Gather the contracts, invoices, delivery notes, correspondence and bank records that evidence your claim. Going into mediation well prepared both increases the chance of settlement and speeds up the lawsuit if no agreement is reached.
This article is for general information only and does not constitute legal advice. Every situation is different; please consult a lawyer before making a decision.
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