Internation

Arbitration Agreement and its Conclusion

The parties may decide to resolve their disputes by arbitration with an agreement which is concluded in written form and include mandatory legal elements.

Written Form Requirement

In Turkish law, an arbitration agreement must be concluded in writing, both in terms of domestic arbitration and international arbitration. (New York Convention art. 2/2; ITC art. 4/2; HMK art. 412/3). A written arbitration agreement will provide legal certainty to the parties of the dispute. It is necessary for the parties to express their will clearly and unequivocally in bringing their disputes before an arbitration court.

The written form requirement must be a signed document between the parties, according to Article 4 of the MTK. In addition to the signed document, the condition of being written is also fulfilled when the declarations directed to the arbitration agreement are transferred to a communication tool exchanged between parties such as a letter, telegram, telex, fax, or electronic medium such as e-mail.

Apart from these above given, where the existence of the arbitration agreement is not objected by the defendant in the  pleading before the arbitration court, it is accepted that the parties are consenting to the settlement of the dispute by arbitration.

It is regulated in article 4/2 of MTK that a valid arbitration agreement is concluded where there is a reference to a document with an arbitration clause, in order to make this document a part of the main agreement between the parties.