The obligation of loyalty of partners to the company–that was already relevant
for limited liability companies due to both the principle of utmost good faith
and the element of affectio societatis existing in every company relationship–is
explicitly regulated in Art. 613 of the Turkish Commercial Code numbered
6102. The aforesaid provision regulates the three aspects of obligation of loyalty,
namely the confidentiality obligation, the obligation to avoid transactions
damaging the company and the non-competition rule. The provision regulates
the confidentiality obligation in a mandatory way, whereas the obligation to
avoid transactions damaging the company has a dispensable character. Contrary
to these two obligations, the non- competition rule is to be stipulated by the
Articles of Association. In this study, the legal basis and the scope of the obligation
of loyalty will be evaluated and the probable sanctions to be imposed by
infringement of the obligation will be analyzed.
Corporate capital company limited liability company loyalty obligation company secret non-competition rule
Primary Language | Turkish |
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Subjects | Law in Context |
Journal Section | Research Article |
Authors | |
Publication Date | October 15, 2018 |
Published in Issue | Year 2018 Volume: 76 Issue: 3 |
Journal of Ankara Bar Association adopts the Turkish Legal Citation System (TÜHAS) citation system.