ERDEM-NEWSLETTER-2018-metin

58 NEWSLETTER 2018 The Conditions under which to request Default Interest In the event that the debtor of the monetary debt goes into default in the procurement contracts for goods and services between two com- mercial enterprises, the creditor is entitled to the interest, even if it is not explicitly stipulated in the contract, as from the date agreed upon in the contract, or the days that follow the end of the payment period. Nevertheless, the creditor is required to fulfill the contractual and legal obligations to be able to request interest. With respect to the rate of interest, Article 1530/6 of the TCC sets forth that provisions stating that the debtor is not required to pay interest for late payment, or pays a very small amount of interest, the amount of which would be deemed to be grossly unfair, are void. Additionally, provisions stipulating that the debtor is not responsible for losses due to late payment, or has limited responsibility, shall be deemed to be void, as well, under this Article. In this respect, the par- ties may determine the interest rate freely in the contract, and to the extent that it does not contradict with the restrictions stipulated under Article 1530/6 of the TCC. In the event that the interest rate has not been stipulated in the contract by the parties, or that it is deemed invalid, pursuant to the Article 1530/7 of the TCC, the applicable interest rate is determined in accordance with the announcement of the Central Bank of the Re- public of Turkey, each January, and the interest rate shall be at least 8% higher than the late payment interest rate for commercial transac- tions that is stated in the Code on Legal Interest and Default Interest numbered 3095. As for the role of fault in claiming interest, the wording of Article 1530/2 of the TCC provides that the debtor who fails to pay its debts in time goes into default “ except for the cases where he cannot be held li - able. ” The wording of this provision allows for interpretation such that the debtor shall be at fault in order to be in default and, subsequently, shall pay default interest. However, such interpretation contradicts the provisions of the TCO, which stipulates that fault is not required for the default of the debtor, and with the purpose of protecting small and medium-sized entities against late payments stipulated in Article 1530