Şahin | Doğan Law, provides services in the field of Competition Law, a legal area that regulates competition among enterprises and aims to protect consumers, led by our Founder Attorney Umay Ege Doğan, LL.M.
Competition Law in Turkey is regulated by the Law on the Protection of Competition (LPC), which came into effect in 1994.
The LPC makes it mandatory for all enterprises in Turkey to comply with competition rules if their activities have an impact on the country, both domestically and internationally. This law specifically prohibits agreements, decisions, and practices that hinder, restrict, or distort competition. Additionally, it regulates cartels, the examination of mergers and acquisitions, the abuse of dominant position, anti-competitive or distorting conduct, and the unfair determination of market prices or other commercial terms.
The Competition Authority in Turkey operates as a public institution in accordance with the LPC and works to protect, promote, and enhance competition. Its duties include examining competition-related notifications and complaints, collecting and analyzing competition-related data, and making and implementing necessary regulations for the protection of competition.
Cartels refer to agreements among multiple independent enterprises to increase prices, restrict production, or share markets, causing anti-competitive effects. The LPC prohibits cartels and imposes high administrative fines on enterprises engaged in such activities.
Mergers and acquisitions occur when two or more enterprises merge to form a new enterprise or when one enterprise acquires another, either wholly or partially. Such mergers can significantly reduce competition and lead to the acquisition of market power. The LPC prohibits mergers and acquisitions that significantly diminish competition.
The abuse of dominant position refers to a situation where an enterprise with market power significantly diminishes competition and harms consumers through the use of its power. The LPC prohibits enterprises with dominant positions from abusing such positions and significantly reducing competition.
Competition law in Turkey is enforced by the Competition Authority. The Competition Authority examines cartels, mergers and acquisitions, and abuses of dominant position, and determines whether these activities comply with the laws. It has the authority to impose high administrative fines and other sanctions in its decisions.
Competition Law also regulates merger and acquisition transactions by enterprises. Such transactions cannot be carried out without the permission of the Competition Authority. The Authority decides to grant or refuse permission, taking into account whether the transaction will have a negative impact on competition and whether it is in favor of consumers.
Competition Law aims to ensure that businesses in Turkey operate fairly and transparently in a competitive environment. This will increase consumer choices, lower prices, and improve quality. Therefore, it is important for businesses in Turkey to comply with competition rules and be subject to the supervision of the Competition Authority.
