Implementing The New York Convention As Per Turkish Law

No tribunal or institution exists that covers all countries to resolve disputes arising from private international law in an impartial and independent manner at the international level. Therefore, people frequently use arbitration to resolve international trade disputes, because it is a fast and reliable method.

Against this background, we should first ask: “How can a foreign arbitral award be enforced in Türkiye?”

In Türkiye, a foreign arbitration award can only be enforced if it is recognized and enforced by the competent courts.

Recognition and enforcement provisions are regulated in Law no. 5718 on International Private Law and Procedural Law (“MÖHUK”), and in the New York Arbitration Convention on the Recognition and Enforcement of Foreign Arbitral Awards of 1958 (“New York Convention”).

The New York Convention, which has been ratified by more than 160 nations, is the most important and effective international legislation in this area. Consequently, it is implemented in Türkiye and around the world.

There are certain requirements for the New York Convention to be relevant, such as:

• The arbitral award must be granted in a foreign country;
• The dispute must be of a commercial nature; and
• An effective arbitration agreement must exist between the parties.

Our recommendation is to seek legal advice from experienced lawyers with expertise in the recognition and enforcement of foreign arbitral awards to determine whether the New York Convention applies to a dispute during and after the arbitration procedure, as well as to develop a roadmap for implementing the New York Convention so that parties can reach better results sooner.