The Constitutional Court published its decision dated 1 June 2023 and numbered 2020/56 E., 2023/108 K. (“Decision”) in the Official Gazette dated 1 August 2023 and numbered 32266. The Constitutional Court annul certain provisions of the provisional Article 13 of the Turkish Commercial Code No. 6102 (“TCC”) within the Decision.
Pursuant to the Decision, the provision in the first paragraph of the Provisional Article 13 of the TCC, being: “Until 30/9/2020, equity companies may decide to distribute only up to twenty-five percent of the net profit of 2019, retained earnings and voluntary reserves cannot be subject to distribution, and the general assembly cannot authorize the board of directors to distribute advance dividends.” is annulled on the grounds that it introduces an unproportionate interference with the right to property.