Although parties to international transactions frequently agree
to arbitrate, they sometimes reconsider that commitment when a
dispute arises, and look to challenge the validity of the
arbitration agreement. Thanks to the separability presumption, the
courts and the tribunals insulate the arbitration agreements from
attacks on the underlying contract and uphold arbitration. However,
the separability presumption sometimes backfires; particularly if
one is attempting to arbitrate with a Turkish party based on a
contract in a language other than Turkish.
Law No. 805 on Compulsory Use of Turkish in Economic
Enterprises ("Law No. 805")
Old-fashioned mandatory legislation under Turkish law opens a
door for those who want to renounce their earlier decision to
arbitrate, provided however that one of the parties is Turkish and
that the contract was made in Turkey, but not drafted in
Turkish.