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ARTICLE · 13 OCTOBER 2022

Side Limitations In Acquisition Contracts

In order to prevent indirect violation of the provisions of non-competition, side limitations that include the parties and their relevant relations are usually established. The concept of side limitation...

TurkeyCorporate/Commercial Law

In order to prevent indirect violation of the provisions of non-competition, side limitations that include the parties and their relevant relations are usually established. The concept of side limitation is directly related to the concentration process. It means the limitation necessary for the merger or acquisition process to be implemented and to show the expected effect. As can be seen from the definition, the limitations in question must include two features. The first of these is to be relevant to the condensation process directly, in other words, having a relation. Another feature is a condition that must be done in order for the expected effect of the condensation process to occur, in other words, the presence of necessity. In addition to the nature of the limitation, its duration and scope will also be taken into account in determining whether it is necessary.

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