A Compensation Claim for Breach of Contract

Compensation and Liability
Prepared by: Constantinople
Compensation Claims
The other party breaching the contract does not automatically make every economic loss attributable to them. The obligation breached, loss, causation, and liability conditions must be shown. The relationship between compensation and other options such as specific performance or withdrawal also matters.
The Obligation Undertaken and the Breach
Consequences of complete or improper non-performance are examined under Article 112 of the Turkish Code of Obligations. The contract and annexes, delivery terms, notices, and special provisions must be compared. The debtor's defence that no fault is attributable to them must be assessed. Acts of auxiliary persons, force majeure, or exclusion clauses require separate examination of validity and scope.
Calculating Loss and Mitigation
Additional expenses, lost profit, and loss from delay must be documented separately. Reduced total turnover alone may not establish the net loss caused by the breach. Reasonable mitigation measures and alternative supply opportunities must also be assessed. Care is needed to avoid counting the same loss twice through a contractual penalty and compensation.
Effects of Alternative Rights
Additional time, notices, and declarations abandoning performance may affect which loss is claimed. Expectations calculated on termination differ from those based on continuation. We examine the claim's basis, earlier elections, and calculation method together, preparing a document plan capable of answering the other party's defences.
Documents That May Be Prepared for the Initial Review
- The contract and annexes
- Notices and delivery records
- Income, expense, and alternative supply documents
- Contractual penalty provisions and payments
File review and representation are paid services. Scope and fees are agreed in writing before work begins.
Legal Grounds
Turkish Code of Obligations, Articles 112–126
Last content review: 11 November 2026.