For companies involved in international trade, anticipating and preventing contract-related disputes is critical for operational continuity. Legal inconsistencies between different national systems—especially in fundamental transactions like sale of goods—can cause significant time and financial losses. This is where the United Nations Convention on Contracts for the International Sale of Goods (CISG) comes in, offering standardized, predictable, and enforceable rules for international sales contracts.

CISG is an international treaty drafted in 1980 by the United Nations, providing uniform rules for contracts involving the sale of goods. It has been adopted by over 95 countries. Turkey has been a party to the CISG since 2011.

By clarifying applicable rules in cross-border contracts, CISG reduces the risk of legal disputes between parties from different jurisdictions. However, to benefit fully, it is crucial to understand when CISG applies and when it does not.

Turkey is a party to the CISG, while the United Kingdom is not. This prevents the CISG from applying automatically in contracts between these two countries.

According to CISG, if the parties have their places of business in different contracting states, CISG applies automatically (Article 1(1)(a)). Since the UK is not a contracting state, CISG applies in Turkey-UK trade only if:

• Parties explicitly agree on CISG application in the contract
• Turkish law is chosen as governing law, enabling CISG application
• The parties have an arbitration agreement and the tribunal accepts CISG

Therefore, the legal terms chosen in contracts for exports from Turkey to the UK are crucial.

If CISG applies, significant differences arise compared to Turkish Law, such as:

• Formal requirements: CISG does not require contracts to be in writing; email, telephone, or oral agreements are valid.
• Notice of defective goods: CISG requires notification within a "reasonable time" after discovery; Turkish law may interpret this period differently.
• Interest rates: CISG recognizes interest but does not set rates, needing additional regulation.
• Contract termination: CISG allows termination only on fundamental breach, whereas Turkish law may vary.

These differences directly affect the rights of exporters and importers.

Many international commercial disputes arise from incomplete or ambiguous contract terms. Failure to clearly accept CISG rules may cause serious commercial damage. Therefore, contracts drafted with professional legal support ensure correct CISG application and protect your business in arbitration or court.

Karsen Legal offers tailored contract consultancy in CISG and Turkish Law for companies trading between Turkey and the UK. Our services include:

• Drafting contracts compliant with CISG
• Legal analysis of governing law in Turkey-UK sales contracts
• Arbitration and litigation representation
• Consultancy on defective goods, delays, termination, and compensation
• Preventive commercial legal services

Contact us to strengthen the legal security of your international trade contracts and protect your business.

What is CISG? Applicability and Importance in International Trade Between Turkey and the UK