Rights and obligations of the parties according to the Movable Pledge in commercial transactions

Businesses that form the basis of commercial life may obtain loans and continue their activities by establishing a pledge on their movable or immovable assets in order to maintain their activities. Since the general rule in the movable pledge facility is a pledge based on delivery and has brought about various problems in practice, it has been argued that an independent commercial enterprise pledge regulation shall be constitute in the doctrine therewith the Commercial Enterprise Pledge Law No. 1447 ("TIRK"), which aims to eliminate the mentioned problems, entered into force on 28 January 1972. Though, both the obligation to establish a pledge on the entire commercial enterprise and the related costs and burdens imposed on the creditor, the implementation the TIRK was not be preferred at the desired level. Having regard to these deficiencies The Law on Pledge of Movable Properties in Commercial Transactions No. 6750 ("TRK"), which brought many new regulations in terms of the Turkish legal system, came into force on 1 January 2017. Although the regulations of TRK specify a general framework, there are some legal gaps regarding the rights and obligations of the parties and the exercise of rights. These legal gaps have been tried to be filled by its secondary legislations or general provisions. In this context, regulating the exercise of these rights by secondary legislation or general provision brings various problems in terms of legal systematics. In our study, the rights and obligations of the parties have been reviewed according to the TRK and have been discussed the compatibility of the regulation of these by a secondary legislation with the legal systematics.