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Commercial LawWhat are the consequences of being a merchant?

The Turkish Commercial Code defines a person who operates a commercial enterprise on his/her own behalf as a merchant, even partially. Of course, there are some conditions as well as the consequences of being a merchant. Some of these consequences are as follows:

  • A merchant is prudent: A merchant foresees the consequences and possible dangers and takes precautions accordingly.
  • Being subject to bankruptcy: In addition to the debts incurred for all commercial activities, it is also subject to bankruptcy due to debts arising from non-commercial transactions.
  • Keeping books and documents: Merchants keep all transactions they make in accordance with their commercial enterprises in a book. These books are both a responsibility, a means of control and a means of proof.
  • Issuing invoices or receipts: Merchants must issue receipts and invoices for their commercial transactions.
  • Registration in commercial chambers: All real and legal entities and merchants must register their commercial enterprises with the chambers where they are located.
  • Use of trade name: Merchants are obliged to register the trade name they choose with the trade registry. They carry out commercial transactions with the trade name they have registered, and as a result, they sign documents with this title, issue documents and create other documents.
  • Inability to request a reduction in the fee and penalty: Merchants cannot request a reduction in the price by claiming that the fees and penalties in the contract they have concluded are high.
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