Pledge on bank accounts

One of the ways to secure debts is through the constitution of a pledge on the assets of a debtor or a third party. While pledges on rights and claims are not as common as pledges on physical assets, they are equally functional as the other pledges. The subject of our study is the pledge on the bank deposits, which is a form of pledge on receivables. Today, pledges on bank deposits have a large pracitce area among the pledges on receivables. This type of pledge is more preferred than the other pledges, since their foreclosure is easier. Also, there will not be problems with the existence or validity of the pledgor's receivable from the bank deposit. Therefore, pledge on bank deposits became more preferred and gained a significant importance in the banking sector. In the first section of our study, we discussed the general principles of the pledge on bank deposits. In this part, we initially examined the concept of a bank deposit with the deposit agreement. The legal character of a receivable derived from a bank deposit is a pecuniary claim. While the legal nature of the bank deposit agreements may be subject to debates, it is clear that a deposit grants the depositor a right to claim. The characteristics of deposits were explained to make our examination of the deposit pledge more understandable and clarify our future debates. Then the legal nature of the pledge on receivables is examined. The deposit pledge is unequivocally considered to be a type of claim pledge. However, the legal nature of the pledge remains contentious. Nevertheless, these differing opinions do not create any significant differences in the rules or provisions applicable to pledges on receivables. Subsequently, the pledge is compared to the other similar legal institutions. In this context, pledge on bank deposits is compared with the assignment of the claim for purpose of security, right to usufruct on bank deposits, assignment of the bank deposit and right of set-off over the claim of depositor. The deposit pledge involves two distinct claims: the claim secured by the pledge and the pledgee, which is the claim of the depositor that constitutes the subject of the pledge . It is important to outline the characteristics of these claims. To ensure that these claims are examined without confusion, we chose to address them under two separate headings. While examining the characteristics of deposit claims, we benefit from the studies in doctrine related to the pledge on movables and receivables. Besides, the studies related to assignment of the claim. When analyzing the characteristics of the secured claim, we utilized assessments related to pledges as well as assessments related to other tools of security. Thus to provide a comprehensive examination of important aspects of both deposit claim and secured claim is intended. Regarding the claim secured by the pledge, it may be an existing claim or a future claim. Future rights and claims can be the subject of transactions, including pledges, and can be included in the scope of deposit pledges. An important consideration with respect to the claim secured by the pledge is that it must be determinable. Multiple deposit claims can also be pledged. In such cases, it is essential to ensure that the pledged deposit claims are adequately identifiable and that the depositor's personality rights are respected. Our evaluations regarding the claim secured by the pledge do not significantly differ from other forms of pledges or security instruments. However, this topic is of utmost importance because certain characteristics of the secured claim are related each other and connected to many legal norms. In a pledge contract securing future claims, compliance with the principle of determinability is primarily required, even if it is met, the impact of the pledge on the economic freedom and personality rights of the depositor should be examined, taking into account the personality right (Turkish Civil Code Article 23, paragraph 2). In the second section of our study, we discussed the establishment of the deposit pledge. In this context, we initially distinguished between act of stipulation and a dispositive transaction while providing explanations in this regard. The establishment of a pledge on receivables is governed by a written contract, as specified in Turkish Civil Code Article 955. The principle of separation, which is accepted in our legal system, should be adopted in the establishment of a deposit pledge. The contract specified in Turkish Civil Code Article 955 is considered an act of disposition. We addressed certain issues that are distinctive in the establishment of the deposit pledges. Specifically, we explored whether it is necessary to block the deposit account while establishing a deposit pledge. We examined the establishment of the deposit pledge with a legal transaction, and in this context, we elucidated aspects related to the pledge agreement. Moreover, due to the nature of the establishment of the deposit pledge as a disposition transaction, rules related to the power to dispose of the claim are of great importance. Therefore, we examined how a pledge could be established on certain deposit accounts that have distinctive features with regard to the power to dispose of them, especially in the case of joint accounts. Additionally, taking into consideration the application of general terms and conditions in the banking sector, we analyzed the validity of deposit pledge clauses placed in general terms and conditions. At the end of this section, we discussed some debates on whether the establishment of the deposit pledge is possible by law. Although the deposit pledge is essentially established through a contract, there is debate over whether it can be established by law in certain cases. Since the right of retention is a legal form of movable pledge, the question of whether a right of retention can arise on a deposit was examined. In the third section of our work, we examined the effects and termination of the deposit pledge. The effects of the deposit pledge primarily encompass the scope of the pledge, the debt relationships between the parties, and the provisions arising from the "in rem" nature of the pledge. In this context, we first examined the scope of the pledge from the perspectives of the claim secured by the pledge and the deposit claim subject to the pledge. Subsequently, we discussed the debts arising from the pledge promise between the parties. We then examined the legal provisions stemming from the deposit pledge, particularly attempting to identify the legal debt relationship between the creditor and the debtor of the secured claim. Managing the deposit claim is an important aspect of claim pledges, especially in the context of the deposit pledge. In this regard, we evaluated the obligations that could arise under diligent management duty in the context of the deposit pledge. Whether transactions on the pledged claim can be conducted on the deposit is also a significant matter in the claim pledge and, in our context, the deposit pledge. Consequently, we discussed whether the creditor is authorized to transact on the deposit, how changes in this regard can be made between the parties, and the related matters. The conversion of the pledge into cash constitutes a provision concerning the real content of the pledge. Particularly, we examined how the conversion into cash can be carried out in the context of the claim pledge, whether a specific method of conversion into cash is possible, and whether the secured creditor can be granted the authority to collect. The final topic concerning the provisions of the deposit pledge discussed whether blocking a deposit account and establishing a deposit pledge to secure future claims have an effect on the effects of the deposit pledge. Although the deposit pledge is essentially established through a contract, there is debate over whether it can be established by operation of law in certain cases. Since the right of retention is a legal form of movable pledge, the question of whether a right of retention can arise on a deposit was examined. Finally, it is necessary to explain the methodology employed in our study. The deposit pledge takes on the appearance of a pledge on receivables and rights and this is not specifically regulated in the Turkish Civil Code. There are few provisions in the law that regulate the pledge of rights and claims. In cases where no provisions exist, the principles of pledges on movables and immovables are applied by analogy. In this regard, our study primarily examined the deposit pledge within the framework of the principles of claim pledges and, in the absence of legal provisions, within the framework of the principles of movable and immovable pledges. Additionally, we took into account banking practices and regulations in the banking sector. Therefore, in our study we utilized the studies related to the pledge of rights and claims, movable pledges and banking law. Furthermore, due to the similarities between claim pledges and the assignment of claims, we utilized studies related to the assignment of claims in certain areas, drawing conclusions related to claim pledges. Throughout these examinations, we also made use of Turkish and Swiss Supreme Courts' Decisions.