Naheda Halawa o139119244

Business Law Midterm

Question 1:
Commercial enterprise is the central notion of commercial law. This notion is used to
describe a variety of definitions, including commercial law, commercial authority corporate
name, commercial agent and commercial registry. Turkish commercial code based on the
concept of commercial enterprise. A commercial enterprise is an enterprise that seeks to
generate profits that reaches the limits that any tradesman enterprise is subject to by
conducting transactions constantly and independently. There are three independent elements
of a commercial enterprise, first is to generate an income that will be above the craftsman’s
turnover to be announced. There should be a motive or will of the enterprise to generate an
income which shall be above a certain threshold to be announced by the president. Second is
continuity, the commercial business should be continuous and not temporary but this does not
mean it had to function forever. Lastly third is independency, this criteria distinguishes a
commercial company from a non-independent “branch”. Owing to the omission of this
requirement, a branch or a commercial agent would not count as a commercial enterprise.
These elements are differentiate commercial enterprise from other forms of businesses and
projects as mentioned in the law of competition protection No. 4054. (LPC).

Question 2:
As a result of becoming a merchant, there are also legal consequences. These are not
discretionary or subject to the merchant's decision or preference rather, they occur as a result
of someone becoming or behaving as a merchant. These are some legal consequences, the
right to request payment and interest, obligation to have and use a trade mark name, to be
subject to bankruptcy for all kinds of debts, to keep books and documents, to get registered
with the Chambers of Commerce and Industry, Presumption of commercial business, to issue
an invoice, not to request the decrease in the payment and penalty, Right to object to the
receipt and confirmation letter within 8 days, enforcement of commercial customary rules,
notifications and warnings procedural rules in sales and changing of the goods, and lastly
easiness in benefiting from the right to lien. To act as a diligent businessman is to ac
faithfully denote a merchant's expectation of foreseeing legal and economic conditions as
well as the potential. According to the case law, to act faithfully means that the retailer can
fairly anticipate the future and act reasonably carefully, taking into account the essence of
commercial activity.
Question 3:
Unfair competition in trade relations is mainly regulated in the TCC. Other law contains
additional general and relevant requirements. They are governed by the Turkish Code of
Obligations as well as relevant legislation such as intellectual and commercial property laws
and consumer rights legislation. An example of unfair competition is the failure to comply
with market conditions, particularly those imposed by statute, contract, or within a career, or
ordinary business conditions that apply to rivals, is considered an affront to the concept of
fairness. It is to use general contract terms that violate principle of honesty.