NEWSLETTER-2017

54 NEWSLETTER 2017 amount of this value is not granted to the subsidiary, such cases would be accepted as unlawful. The second category under Art. 202/2 of the TCC includes the subsidiary’s general assembly resolutions of structural quality and sig- nificance. In these cases, unlawfulness is a result of the use of domi- nance in the significant resolutions such as merger, demerger, change of type, issuance of securities, and important amendments of articles of association, and of the lack of clear, reasonable grounds of such resolution of the subsidiary. Trust Liability Under Art. 209, a parent or holding company has a trust liability in those cases where the public reputation of such company has reached a level that generates trust in the public or consumers. In this case, such liability is towards those parties that are engaged in commercial relations with the subsidiaries. Conclusion A holding company is a joint stock company where a company joins one or more than one company in a way that would provide the opportunity with management and control, and a company that is solely engaged in joining other companies in terms of its subject mat- ter. Such types of joint stock companies are subject to the permission of the Ministry for their establishment and amendment of articles of association, and are granted some relief with regard to legal reserve requirements. Holding companies, which are different from groups of companies, can also be bound by the liability provisions of the par- ent company, which has a dominant position, if the conditions for the presence of a group of companies are fulfilled.