Analysis of the Law on Financial Leasing, Factoring and Financing Institutions with relevance to security law in movables and execution and bankruptcy law

The origins of financial leasing agreements have been United States of America where many European countries also implemented such agreements in their local laws. Intense debates have been made during the implementation process of financial lease agreements into Continental European Law System as the institution is said to challenge some basic principles of Continental European Law System. The financial leasing agreements have been regulated by law no 6361 named as "Law on Financial Leasing, Factoring and Financing Corporations" which has come into force as of 13.12.2012 in Turkish Law. The said regulation abolished the former Law no 3226 on Financial Leasing of 10.06.1985. In this regards the principles of Turkish Law regulating the establishment of pledge on movables on the condition of the delivery of the good, chattel mortgage, good faith acquisition of movables, the presumption on the existence of real right in case of possession of the good, rights vested with the good have been dealt with in consideration with the regulations of both the former Law no: 3226 on Financial Leasing and the recently enacted Law on Financial Leasing, Factoring and Financing Corporations. Besides the principles regulated in execution and bankruptcy laws like the attachment of the movable property (that are in possession of the debtor), claims of title with regards to the attached property, the impact of bankruptcy to the agreements which the debtor is a party to have also been analysed to that aim. The relevant regulations of the comparative law have also been taken into account. The study points out the discrepancies of the regulations of the Law on Financial Leasing, Factoring and Financing Corporations with the afore mentioned principles of Turkish Law. Recommendations have also been indicated to that end where appropriate.