Obligation of shareholders in joint stock companies to contribute capital and consequences of failure to contribute

The most important element of joint stock companies – companies with share capital –is the capital as is required to maintain the functioning and operation of such companies and as by the nature of their qualities and foundation structures. It is possible for shareholders to acquire rights and undertake obligations against the company only by contributing to the company the capital that they have committed. The aim of our this study is to form the outcomes, relating to the company and the shareholding rights, of the sanctions imposed on shareholders in case of failing to satisfy the elements to be contributed to the joint stock companies as capital. In our study, the requirement by which method the committed capital should be fulfilled is explained, with the changes and regulations provided within the framework of the provisions of the Turkish Trade Law, by firstly determining the elements to be contributed to a joint stock company and by reviewing the qualities and scope of a shareholder's obligation to contribute capital. As the result of our study, the effect, on the company and the shareholding, of the sanctions to be applied in case of failure by a holder of share(s) in the company to fulfill the obligation of contributing capital is evaluated together with its consequences.