The capital loss and overindebtedness in joint stock companies

The Capital Loss And Overindebtedness in Joint Stock Companies is regulated in Art. 376 of the Turkish Commercial Code (TCC) No. 6102. Although the provision contains amendments, it corresponds to Art. 324 of the Commercial Code (CC) No. 6762. There are three paragraphs in Art. 376 TCC. Loss of capital is in the first two paragraphs of the Art. 376 TCC and overindebtedness is in the third paragraph. The issue of the capital loss and overindebtedness in joint stock companies, which is one of the cornerstones of economic life, are of great importance. In this context, taking into account the aforementioned regulations, the determination of capital loss and overindebtedness situations of joint stock companies, which valuation criteria will be used when making this determination, restructuring measures that can be taken after detecting capital loss and overindebtedness, accordingly, the separate consideration of the board of directors and the general assembly and it is necessary to bring new approaches to their responsibility. Keywords: Capital loss, Overindebtedness, Board of directors, General assembly.