NEWSLETTER-2019-metin

Arbitrability of Corporate Law Disputes* Prof. Dr. H. Ercument Erdem Introduction In Turkish law, there are two pieces of legislation that deal with arbitrability. The first one is Article 1-IV of International Arbitration Law numbered 4686, and the other is Article 408 of Civil Procedure Law numbered 6100. Both of these provisions define arbitrability as “ disputes subject to the will of both parties. ” Disputes arising out of corporate law may be divided into two general categories: (i) disputes between shareholders; and (ii) disputes between the company and the shareholders (“corporative disputes”). The arbitrability of these two types of disputes will be analyzed, be- low, under separate headings. Disputes between shareholders Disputes between shareholders may arise out of three different contracts: • Share purchase agreements; • Joint venture agreements; • Shareholders agreements. Both share purchase agreements and shareholders agreements are of a contractual nature. The fact that the company is a party to these agreements does not change this nature. Accordingly, the principle of freedom of contract applies to these agreements, which means that provided that the provisions are not contrary to mandatory laws, par- ties are free to make provisions that suit them best. * Article of May 2019