Law on Movable Pledge in Commercial Transactions

What This Instrument Does

Allows credit institutions and merchants to take registered, non-possessory pledges over receivables, IP rights, licences, rental income, machinery and equipment, inventory, whole commercial enterprises and future assets (Art. 5). A pledge is created by registration (Art. 4), and the Turkish Civil Code applies where the Law is silent (Art. 18). The Law repealed the former Commercial Enterprise Pledge Law No. 1447. Capital-market instruments, deposit pledges and land-registered assets are excluded (Art. 1).

Why It Matters

It is the modern basis for movable and enterprise security in Turkish project finance. Together with the Turkish Civil Code (real-estate mortgages and pledges of shares, receivables and rights) it forms the co-primary Security / Collateral framework. Assignment of receivables and suretyship/guarantee mechanics under the Code of Obligations No. 6098 (Arts. 183, 581 et seq., 128) operate alongside it.