Concordat Lawyer in Türkiye: Role and How to Choose

A company owner considering concordat in Türkiye often asks first: “Do I need a lawyer, an accountant, or both?”

The short answer: concordat is both a legal and a financial process. The lawyer runs its legal side, but without sound numbers there is no sound project.

This article explains what a concordat lawyer does, how the role differs from the commissioner, and which questions can help when choosing counsel.

What Does a Concordat Lawyer Do?

The lawyer’s job is to bring the company’s concordat request to the court in a lawful, complete and timely way. The main tasks are:

• Initial assessment: whether concordat suits the company, which alternatives exist and what the risks are
• Preparing the filing: drafting the petition and the annexes required by law, and checking that the documents are consistent
• Court proceedings: representing the debtor at hearings and in correspondence with the court during the moratorium
• Commissioner and creditors: managing the legal side of dealings with the temporary and definitive commissioners and with creditors
• Vote and confirmation: preparing for the creditors’ meeting and the confirmation stage, and following any objections
• Effects of the moratorium: advising on the stay of enforcement proceedings and on transactions that need court permission

Assessing the legal consequences at the start costs far less than fixing them later.

Are the Lawyer and the Commissioner the Same Person?

No, and this is often confused.

The lawyer works on the debtor’s side and acts for it.

The commissioner is appointed by the court and is a neutral officer. The commissioner supervises the debtor’s activities and reports to the court during the moratorium.

So the commissioner does not replace the company’s lawyer. They carry out different functions.

Is a Lawyer Enough on Their Own?

A concordat project shows how the company will generate cash in future and when and how much creditors will be paid. That requires financial analysis.

In practice a sound filing needs these together:

• Legal assessment and the court process
• Analysis of the financial statements and a cash flow projection
• A payment plan for each group of creditors

At Denova we handle these two sides at the same table rather than separately. You can read more on our About page.

Questions to Ask When Choosing a Concordat Lawyer

Look for an approach that explains the process rather than promises results. These questions can help in the first meeting:

1. What is your experience in concordat and enforcement and bankruptcy law?
2. Which analyses do you carry out before filing?
3. Could an out-of-court restructuring be an option instead? A good assessment includes alternatives.
4. How are the financial analysis and project drafting handled?
5. How will I be kept informed during the process?
6. How is confidentiality ensured?

Be cautious about anyone who guarantees success or says “you will certainly get the moratorium”. The court decides on the moratorium, and every file is assessed on its own facts.

When Should You Start?

Many companies see a lawyer only when cheques start to bounce or attachment threats begin. An early assessment keeps options other than concordat open as well.

We discuss how to weigh these options in Concordat or restructuring?. For the basics of the procedure, see What Is Concordat in Türkiye?.

Conclusion

The concordat lawyer runs the legal side of the process. A good outcome, however, needs legal preparation to move together with financial analysis. Every company’s position is different, so the concrete situation matters more than general information.

Our Concordat Advisory covers both sides. If you would like to share your situation, write to us. The scope of the service is on our Concordat Advisory page.