Consumer arbitration boards in Turkish public administration some problems and solution suggestions

The rapid increase in transactions in which consumers are parties has brought about the problems experienced. For this reason, Consumer Problems Arbitration Boards, as they were called at the time, were established in 1995 with the TKHK No. 4077 to resolve disputes between consumers and traders up to a certain monetary limit. The first law, which was somewhat rushed in the EU harmonization process, was inadequate as a result of the intense application made to the committees. As a result, the TKHK No. 6502, which introduced new regulations regarding the boards, came into force in 2014 and the name of the boards became Consumer Arbitration Committess. Consumer Arbitration Committess have become an important institution with an average of approximately one million applications made annually due to the fact that it is mandatory to apply to arbitration boards up to a certain monetary limit, that their decisions are carried out in accordance with the provisions of the Execution and Bankruptcy Law on the execution of judgments, in short, that they are binding on the parties like court decisions, that an application is concluded within six months, and that it is inexpensive and easy to apply. Although consumer arbitration committees have their own unique features, they are ultimately an alternative dispute resolution method. Consumer arbitration committees have both strengths and shortcomings when compared with similar institutions in some countries as an alternative dispute resolution method. Although consumer arbitration committees serve as part of the administrative organization affiliated to the Ministry of Commerce, they functionally carry out judicial activities. Alternative dispute resolution methods such as mediation and conciliation institutions, which generally carry out judicial activities, are included in the judicial organization. Although consumer arbitration committess are structured within the administrative organization, they do not experience the negativity of carrying out judicial activities within the administrative organization because they are not subject to administrative hierarchy or tutelage control. Law No. 6502, which regulates consumer arbitration committees, and the regulation on consumer arbitration committees, while determining the areas of duty of the committees, have defined them in an abstract manner as monetary limits and disputes that may arise from consumer transactions and practices towards the consumer. In this regard, the resolution of requests that cause problems in practice, where it is not clear whether the consumer arbitraition committess has jurisdiction, is left to judicial precedents. The structure and functioning of consumer arbitration committees constitute an important area of this study. The lack of expertise of the members, the absence of legal and criminal liability of the members, the process proceeding entirely on file, and the absence of a higher authority to appeal the decisions of the consumer arbitration committee stand out as factors affecting the effectiveness of the committees. It has been investigated in terms of legislation whether consumer arbitration committees have the authority to hear the parties and witnesses, take oath evidence, conduct discovery, and examine promissory notes and documents during the investigation phase, opinions on this matter have been put forward, and it has been determined that these authorities are not granted to the committees by law and regulations. In this thesis, the reasons for these structural and functional problems were examined and solution suggestions were presented. In summary, this study comprehensively examines the current status of consumer arbitration committees in public administration, the problems encountered and suggestions for solving these problems in comparison with similar institutions in some countries. The analysis of the legal and administrative structure of the consumer arbitration committees is supported by recommendations to overcome the problems in practice. In the concluding part of the thesis, the necessary reforms for a more effective functioning of consumer arbitration committees are put forward and the feasibility of these reforms is discussed. In this context, the study aims to provide guidance both in the academic field and in practice.