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Implementation Principles for Distance Contracts

Purpose Article 1- The purpose of this Regulation is to regulate the implementation principles and procedures related with distance contracts.

Scope Article 2- This Regulation applies for the contracts concluded using written, visual or electronic means or any other means of communication without the physical presence of consumers where the parties agree for the delivery or performance of the goods or services for the consumer instantaneously or subsequently.

Basis Article 3- This Regulation has been prepared based on article 31 of the Law no. 4077 on Protection of Consumers dated 23rd/2/1995 and article 9/A added to this Law by the Law no. 4822.

Definitions Article 4- For the purposes of this Regulation; a) Ministry: means the Ministry of Industry and Trade; b) Minister: means the Minister of Industry and Trade; c) Goods: means any movable properties, immovable properties used for residential and vacation purposes, and any software, voice, image and any other similar intangible properties prepared for use in electronic medium, subject to purchase or sale; d) Service: means any activity other than the supply of goods performed for payment of a fee or consideration; e) Seller: means any natural or legal person, including any public legal entity, that provides goods  for the consumer under the scope of his commercial or professional activities; f) Supplier: means any natural or legal person, including any public legal entity, that provides services for the consumer under the scope of his commercial or professional activities; g) Consumer: means any natural or legal person acquiring, using or benefiting from any good or service for purposes outside his trade, business or profession; h) Creditor: means any bank, private financial institution or finance companies authorized to give cash loans to consumers under the pertaining legislation; ı) Distance Contract: means the contracts concluded using written, visual or electronic means or telephone or any other means of communication without the physical presence of consumers where the parties agree for the delivery or performance of the goods or services for the consumer instantaneously or subsequently.

Prior Information Article 5- It is mandatory that prior to the conclusion of any distance contract, the consumer shall be provided with the following information. a) the name, title, explicit address, phone and if any, the other contact details of the seller or the supplier; b) the main characteristics of the contract goods or services; c) the sale price of the contract goods or services including all taxes; d) the validity period for all of the seller’s or the supplier’s promises including the price; e) the information about the arrangements for payments to be made by the consumer; f) the information about the arrangements for delivery and performance and, if any, the amount of the related expenses and by whom such expenses will be borne; g) the information regarding the right of withdrawal and the procedure for exercising this right; h) if any, the cost of using the means of communication for the consumer; ı) the schedule showing the dates of delivery and performance of contract goods or services; j) the seller’s or the supplier’s full address, phone number, and, if any, other contact information to which the consumer may address any claims and complaints.

Written Confirmation of the Accuracy of Prior Information Article 6- Unless the consumer gives a written confirmation of receipt of the prior information accurately and completely, no contract may be concluded. For contracts concluded electronically, this confirmation is also given in electronic medium. The consumer must receive written confirmation of the prior information, for goods, before the time of delivery of the contract goods and for services, not later than prior to conclusion of the contract.

The Requirements to be fulfilled by the Contract Article 7 – It is mandatory that the distance contract should be concluded in writing and a copy of it should be given to the consumer. The contract shall contain; a) The consumer’s, the seller’s or the supplier’s name, title, explicit address, phone number, and, if any, other contact information; b) The date of conclusion of the contract; c) The date and mode of delivery or performance of the good or service; d) The information regarding the amount of costs and expenses related with delivery and performance and by whom such costs and expenses will be borne; e) The type, quantity, and, if any, the brand and model of the contract good or service; f) The cash sale price of the good or service in Turkish Liras including all the taxes; g) The total sale price in Turkish Liras payable together with the interest according to the maturity period; h) The interest amount, the annual rate used for calculation of the interest and the default interest rate which shall not exceed the interest rate specified in the contract plus thirty percent; ı) Down payment amount; j) Payment schedule; k) the legal consequences of the debtor’s default.

Right of Withdrawal Article 8- For any distance contracts concluded for the sale of goods, the consumer is entitled to reject the good and to withdraw from the contract in seven days from the date of receipt of the good without assuming any legal and penal responsibility and without giving any reason. For distance contracts concluded for performance of services, this period shall begin from the date of conclusion of the contract. If it is mutually agreed in the contract that the service will be performed before expiry of the 7-day period, the consumer may exercise the right of withdrawal until the start date of performance. The expenses arising from the exercise of the right of withdrawal are borne by the seller or the supplier. The provisions regarding the existence and the exercise of right of withdrawal do not apply for the contracts related with any services performed instantaneously in the electronic medium and any goods delivered instantaneously to the consumer. The consumer may exercise the right of withdrawal even if the good is delivered to any person other than the consumer that is a party to the contract. In such cases, the seller shall receive the good from the third person as per the provision of the fourth paragraph of article 9. The consumer cannot exercise the right of withdrawal for any goods produced according to the consumer’s special requests and specifications or clearly personalized by making modifications or additions on them. In addition, the consumer may not exercise the right of withdrawal for any goods, which, by reason of their nature, cannot be returned or are liable to deteriorate or expire rapidly. If any of the conditions specified in articles 6 and 7 of this Regulation is not fulfilled, the seller or the supplier shall correct such deficiency in thirty days at the latest. In such cases, the 7-day period shall run from the date of receipt by the consumer of the written information indicating that such deficiency has been corrected. If the price paid by the consumer is fully or partly covered by a credit granted by the seller or the supplier or by a creditor on the basis of an agreement between the seller or the supplier and the creditor, the loan agreement shall be automatically cancelled without any liability of reimbursement or penalty when the consumer exercises his right of withdrawal. However, to this effect, the notice of withdrawal must also be sent to the creditor in writing.

The Seller’s and the Supplier’s Obligation of Performance Article 9- The seller or the supplier is obliged to execute the order within maximum thirty days from the time of receipt of the consumer’s order. This period may be extended up to ten days provided that the consumer is previously informed in writing. The seller or the supplier is obliged to return the paid price, the debentures and any kind of documents binding the consumer in ten days following the date of receipt of the consumer’s notice of withdrawal and to take back the good in twenty days. The seller or the supplier shall ensure that a copy of the contract and a copy of the written confirmation of prior information is autographed by the consumer before the delivery or performance of the good or service constituting the subject matter of the distance contract to/for the consumer and deliver such copies. In case of disputes, the burden of proof is on the seller and the supplier. The seller or the supplier may provide the consumer with the goods or services of equivalent quality and price provided that it should be based on a justifiable cause and that this possibility is provided prior to the expiry of the period for contractual performance obligation and it should be specified in the contract. If the seller or the supplier cannot fulfil his contractual obligations alleging that it has become impossible to provide or perform the good or service ordered, he shall notify it to the consumer before expiry of the period for contractual performance obligation. He shall return the paid price and all binding documents creating the debt to the consumer in 7 days.

Refund Article 10- If the payment is made by a credit card or a similar payment card in connection with distance contracts, the consumer may request for cancellation of the payment transaction on the grounds that the card has been used fraudulently without his consent and contrary to the laws. In such cases, the institution that has issued the card shall return the payment amount to the consumer in 10 days following the receipt of the related notice of objection.

Excluded Contracts Article 11- The provisions of this Regulation shall not apply to contracts; a) related with Bank and insurance; b) concluded by means of automatic vending machines; c) concluded through the use of public payphones; d) concluded at an auction; e) related with the supply of foodstuffs, beverages and other goods intended for everyday consumption supplied to the home of the consumer, to his residence or to his workplace by regular delivery people; f) containing provisions related with provision of accommodation, transportation, catering, sports and cultural activities and leisure services where the supplier undertakes to provide such services on a specific date or within  a specific period.

Enforcement Article 12 - This Regulation enters into force on the date of June 14, 2003.

Implementation Article 13- The provisions of this Regulation shall be implemented by the Minister of Industry and Trade.

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