25.05.2016 İstanbul
TOBB President M. Rifat Hisarcıklıoğlu and İSTAC Board Chair Prof. Ziya Akıncı met with TOBB Board Vice Chairs Halim Mete and Ali Kopuz, TOBB Board Members Cengiz Günay, Bülent Karakuş, İSTAC Vice Chair Mustafa Çıkrıkçıoğlu, Board Members Müjdat Keçeci, Mehmet Rifat Bacanlı and Hakan Öztatar to discuss the endeavors of the İstanbul Artbiration Center (İSTAC) with them.
TOBB President M. Rifat Hisarcıklıoğlu stated that the legal system is
not just the main support of the state but also the economy, “Because justice
means trust. If there is trust the real sector can plan ahead to more easily
take on risk and produce. A more just and active legal system brings about a
healthier business and investment environment. Arbitration has always been a
part of our culture and beliefs. We, as a nation, believe that justice is the
basis of state. We defend the rights of the individual.”
Stating that Turkey is a medium income country, Hisarcıklıoğlu said, in
order to rise to the level of a high income country, the state must be
strengthened; with a well-functioning legal system, feeling of trust will
increase; with increased trust economy will function better and more fairly.
- “Justice is bread”
Hisarcıklıoğlu reported that courts receive over 6 million cases each
year, being able to only bring two thirds of them to completion within that
year, while 2 million cases lag to the year after; piling up worse each year.
Stating that the average run time for cases has increased from 200 days
to 450 in the last 5 years, Hisarcıklıoğlu stressed the importance of
alternative conflict resolution methods prior to seeking it in the courts,
reporting that 98% of cases commercial disputes in the UK are resolved with
alternative methods; that a case which might last 5 years in courts is resolved
in a month through arbitration and mediation.
Stating that they’ve been working with the Ministry of Justice, Judicial
Court and Council of State for the last 6 months in order to make arbitration
mandatory for commercial cases under a certain monetary value and mediation
mandatory for individual cases, Hisarcıklıoğlu said, “We’ve worked
comprehensively and prepared a roadmap and we want these to enter into effect
as soon as possible.”
- “Time is money for business
community”
The TOBB President stressed the need for a legal system wherein the
rights of domestic and international investors and businesspeople are clearly
defined and protected; that the emergence of arbitration is to provide
international investors confidence and encourage them to invest more.
Hisarcıklıoğlu stated that international arbitration, which at one time
was used exclusively by the elite, has become a conflict resolution method used
by merchants and lawmakers at every level.
“As trade has become global, so has conflict resolution methods for it,”
said Hisarcıklıoğlu drew attention to the fact that 75% of trade disputes in
developed economies are resolved using alternative conflict resolution methods
such as arbitration.
Stating that time is money for the business community, Hisarcıklıoğlu
pointed out that arbitration mechanism provides quicker and more specialized
experts to bring disputes to a resolution.
- “İSTAC will become a regional
arbitration center”
Hisarcıklıoğlu emphasized that Turkey will soon become a preferred
arbitration center for the region.
Touching on the fact that İSTAC will bring many new opportunities for
both the private sector and the public sector, Hisarcıklıoğlu said, “When we
consider its global counterparts, strengthening arbitration should be done in
cooperation by both the private sector and the public sector. In developed
countries, arbitration is used by both, accelerating its use there. Our desire
is that arbitration is also integrated into public sector clauses. That
Istanbul Arbitration is included in agreements. This way, İSTAC will become a
regional arbitration center. In Akhism and Lodge systems, arbitration and
mediation were present; they were used to resolve trade disputes. These methods
which were very much present in our culture and history were forgotten. The
West adopted and developed them.”
Hisarcıklıoğlu stated that he is also the chairman of the Jerusalem
Arbitration Center established to resolve the trade disputes between Palestinian
and İsraeli businesspeople and that the establishment efforts of the Nicosia
Arbitration Center are underway as a part of the Nicosia Forum.
Recalling that it has been decided that an arbitration center for
Islamic countries would be established at the 13th Summit of the
Organization of the Islamic Cooperation, Hisarcıklıoğlu stated that TOBB will
be contributing actively to this process.
- İSTAC Chair Akıncı
İSTAC Board Chair Prof. Ziya Akıncı provided information regarding the
İstanbul Arbitration Center and its work.
Akıncı said, “İstanbul becoming an important arbitration center and
Turkey becoming a center for the dispensation of just resolutions to disputes
is priceless.”
Stating that İSTAC provides important opportunities to the business
community with fast, experienced and inexpensive arbitration, Akıncı said that
the decisions made by İSTAC would be as definite, binding and actionable as
those provided by a court, serving to benefit the investment environment orf
Turkey.
Akıncı reported that the first international cases have been brought to
the center, one from a Middle Eastern country, the other from Africa, and that
the case for one of them has begun.
Emphasizing the fact that İSTAC has been elected as the arbitration
authority for the construction of the third airport in İstanbul as well as the
transportation of potable water to the TRNC, Akıncı urged isntitutions and
companies active işn Turkey to choose the İstanbul Arbitration center for their
arbitration needs.
- Hakan Öztatar
Ministry of Justice Arbitration Department Chief and İSTAC Council
Member Hakan Öztatar reiterated that the Ministry is wholly in support of
arbitration and mediation systems.
Stating that the legislation that disputes between employee and employer
would be first directed towards mediation is slated to enter into effect at the
start the new year, Öztatar reported that over 97% over cases which have
applied for mediation, over 1800 cases, have been resolved.
Reporting that 59 mediation centers have been established at 59
courthouses throughout Turkey, Öztatar stated that over 80% of cases brought
forward at these centers are resolved within a day.