Upper limit hypothec in Turkish law

The only property pledge type that has an application field in Turkish Law is hypothec. Hypothec is a legal institution that is often utilized as a collateral in commercial and legal transactions. In terms of definitiveness, hypothec is divided into two categories, namely capital hypothec and upper limit hypothec. Upper limit hypothec protects the creditor in situations where the existence and the amount of the credit is uncertain at the time the hypothec is established but it is most likely that such credit will eventually emerge. Especially in banking sector, in loan claims, in non-existent contractual claims such as penal clauses, the upper limit hypothec is an important instrument for caution. Therefore, its economic role is quite considerable In this thesis, the upper limit hypothec is examined by taking the legislation, doctrine and Supreme Court rulings into consideration and its important features in terms of Turkish Civil Law and Turkish Execution and Bankruptcy Law are discussed.