Execution and Bankruptcy Law is the branch of law that regulates the processes for collecting debts and handling situations where debtors fail to fulfill their payment obligations. In Turkey, this field is governed by the **Execution and Bankruptcy Law No. 2004**. Execution law covers procedures such as seizing the debtor’s assets, garnishing wages, or selling property to recover the creditor’s claims. Bankruptcy law regulates the liquidation of a debtor’s assets and their distribution to creditors when the debtor becomes insolvent. This legal field aims to maintain economic order while balancing the interests of creditors and debtors. Execution proceedings (with or without a court judgment) and bankruptcy cases are the primary processes in this area.
Execution and Bankruptcy Law is the branch of law that regulates the processes for collecting debts and addressing situations where debtors fail to meet their payment obligations. In Turkey, it is governed by the Execution and Bankruptcy Law No. 2004.
An execution proceeding is initiated by the creditor’s application to the execution office. It can be pursued as execution with a court judgment (ilamlı) or without (ilamsız). A payment order is sent to the debtor, and if no objection is made, seizure procedures begin.
The bankruptcy process begins with a court decision when the debtor becomes insolvent. The debtor’s assets are liquidated, and the proceeds are distributed to creditors. Bankruptcy typically applies to commercial entities.