Unpaid demurrage or container detention charges in Turkey? Learn how foreign shipping companies and carriers can recover maritime debts through enforcement proceedings, lawsuits, asset attachment, cargo security and other legal remedies.

Unpaid demurrage and detention charges in Turkey can quickly become substantial debts for foreign shipping lines, container carriers and maritime operators. A consignee may leave containers inside a terminal beyond the agreed free period, take containers outside the port and return them weeks late, refuse to collect cargo, dispute the applicable tariff or simply ignore invoices after charges accumulate.

What begins as a relatively small operational charge can become a six-figure maritime receivable.

For shipping companies, the central issue is not merely proving that delay occurred. Successful recovery usually depends on establishing who is legally responsible for payment, which contractual terms apply, how the charges were calculated, whether the debtor properly received the applicable tariff and what assets can be targeted in Turkey.

Early action is particularly important where the debtor appears financially distressed.

What Is Demurrage in Container Shipping?

In container transportation, demurrage generally refers to charges arising when a container remains inside the port or terminal beyond the contractual free-time period.

For example, the carrier may allow the consignee five free days following discharge.

If the container remains at the terminal for another 20 days, contractual demurrage may begin accumulating according to the carrier’s applicable tariff.

The precise calculation depends on the bill of lading, booking conditions, tariff and other contractual arrangements.

What Is Container Detention?

Detention generally concerns the period after the container leaves the terminal.

The consignee takes delivery of the container but does not return the empty equipment within the agreed free time.

Daily detention charges then accumulate.

The distinction matters because the evidence required to establish each claim differs.

For demurrage, terminal discharge and release records can be important.

For detention, gate-out and empty-return dates are particularly significant.

Why Are Demurrage and Detention Charges Disputed?

Debtors commonly argue that the charges were excessive, the free-time period was incorrectly calculated, the tariff was never incorporated into the contract, the delay resulted from customs authorities, the shipping line prevented cargo release, the container could not be returned because of circumstances outside the consignee’s control or another company was responsible for payment.

These defenses should be anticipated before enforcement begins.

A shipping company should therefore build a complete evidentiary file rather than relying solely on its final invoice.

Who Must Pay the Charges?

Identifying the correct debtor is fundamental.

Depending on the transportation structure, responsibility may potentially fall on the shipper, consignee, merchant, freight forwarder or another contractual party.

The answer depends primarily on the bill of lading, booking confirmation, incorporated carrier terms and communications between the parties.

A company appearing as consignee on a transport document should not automatically be sued without examining the contractual basis of its payment obligation.

Review the Bill of Lading

The bill of lading is often the starting point.

Relevant clauses may define “Merchant” broadly and allocate responsibility for freight, demurrage, detention, storage and other charges.

The document may also contain provisions concerning jurisdiction, applicable law and dispute resolution.

These clauses should be reviewed before proceedings are started in Turkey.

Carrier Tariffs

Shipping lines frequently publish or contractually incorporate tariffs specifying free time and daily charges.

The creditor should preserve the tariff applicable when the shipment occurred.

Using a later tariff can create unnecessary disputes.

Evidence should also establish how the tariff became binding on the debtor through the contractual documentation or course of dealing.

How Should the Claim Be Calculated?

The calculation should be transparent.

A demurrage or detention claim should normally identify the container number, discharge or gate-out date, free-time period, date charges began, daily rate, any rate increases, empty-return or release date and total amount.

A simple invoice stating:

“Container charges: USD 75,000”

is considerably easier to dispute than a container-by-container calculation supported by operational records.

Evidence Shipping Companies Should Preserve

The creditor should immediately secure the bill of lading, booking confirmation, applicable tariffs, invoices, account statements, terminal records, discharge dates, gate-out records, empty-container return dates and correspondence concerning free time.

Payment demands, debtor acknowledgments and any negotiated extensions should also be retained.

For multiple containers, a detailed spreadsheet showing the calculation for each container can become particularly useful evidence.

Customs Delays

A common defense is:

“Turkish customs held the cargo, so we should not pay demurrage.”

That argument does not automatically eliminate contractual liability.

The effect of a customs hold depends on the applicable terms, cause of the delay and circumstances of the particular shipment.

The contract should therefore be examined to determine how government interventions and customs delays affect free time and demurrage.

Cargo Seized by Customs

The dispute becomes more complicated where Turkish customs formally seizes the cargo.

The consignee may argue that collecting the goods was legally impossible.

The carrier may respond that its container remained unavailable for commercial use for months.

The contractual allocation of this risk becomes critical.

The shipping company should also consider whether the physical container can lawfully be separated from the seized cargo and returned to service.

Abandoned Cargo

Abandoned cargo is one of the most difficult situations for container carriers.

The consignee refuses to collect the shipment while demurrage continues accumulating.

Eventually, the charges may exceed the cargo’s value.

Waiting indefinitely is rarely an effective strategy.

The carrier should investigate the customs status of the goods, contractual rights concerning abandoned cargo and available legal procedures while simultaneously pursuing the responsible debtor.

Can the Carrier Simply Sell the Cargo?

Not automatically.

The carrier should not assume that unpaid demurrage permits immediate private sale of cargo.

Ownership, customs status, retention rights and applicable statutory procedures must be considered.

Goods under customs control may also be subject to specific liquidation procedures.

Unauthorized disposal can create additional liability.

Carrier’s Right of Retention

Turkish maritime law provides carriers with security rights in connection with qualifying receivables arising from maritime carriage.

Where cargo remains under the carrier’s control, the possibility of exercising a lawful retention right should be examined before unconditional delivery.

However, retention is not a universal remedy for every historical debt.

The relationship between the receivable, goods, possession and contractual parties must be analyzed.

Do Not Lose Existing Security

Suppose a consignee owes USD 120,000 in accumulated charges but asks the carrier to release valuable cargo based on a promise to pay later.

Once the cargo is delivered, recovering the debt may become significantly more difficult.

Before release, the shipping company should consider requesting payment, a bank guarantee or another reliable form of security where legally appropriate.

Demand Letter

A formal demand is often an efficient first step.

It should identify the debtor, containers, invoices, contractual basis, calculation of charges, total principal, applicable interest and payment deadline.

The demand should also reserve the carrier’s legal rights.

However, repeated demand letters should not replace enforcement where it is clear that the debtor has no intention of paying.

Debtor Acknowledgment

Written acknowledgment can be highly valuable.

An email stating:

“We accept the USD 85,000 detention balance but need two months to pay”

can materially strengthen the creditor’s evidentiary position.

Original emails and electronic correspondence should therefore be preserved.

The creditor should avoid replacing them with screenshots where the original data remains available.

Turkish Enforcement Proceedings

Where the debtor has assets in Turkey, enforcement proceedings may provide an effective debt-recovery mechanism.

Depending on the nature of the documents and claim, the creditor may initiate proceedings seeking payment.

The debtor may object.

Where an objection is filed, additional legal proceedings may be required to overcome the objection and establish the creditor’s right to enforcement.

The exact procedural strategy should be selected after examining the underlying documentation.

What Happens If the Debtor Objects?

An objection does not necessarily mean the debt disappears.

It can suspend or alter the immediate enforcement process, requiring the creditor to use the appropriate procedure to challenge or overcome the objection.

This is why documentary preparation matters.

Bills of lading, tariffs, invoices, operational records and acknowledgments can become central to proving the debt.

Commercial Lawsuit

Where liability or the amount is genuinely disputed, litigation may be required.

The carrier will generally need to prove the contractual basis of the charges and the calculation.

The defendant may challenge the tariff, free-time calculation, contractual incorporation or reason for the delay.

The case should therefore be prepared around the likely defense rather than merely presenting unpaid invoices.

Mandatory Mediation

Certain Turkish commercial monetary disputes may require mandatory mediation before a substantive commercial lawsuit can proceed.

Whether this requirement applies should be assessed according to the specific claim and procedural route.

Urgent provisional measures and asset-security issues should be considered separately.

Precautionary Attachment

For high-value claims, obtaining a judgment years later may be meaningless if the debtor has already disposed of its assets.

Where the statutory conditions are satisfied, precautionary attachment (ihtiyati haciz) may provide an important mechanism for securing monetary claims before or during substantive proceedings.

The creditor must establish the legal requirements for the measure and may be required to provide security.

This remedy can be particularly important where there is a genuine risk that a financially distressed debtor will move assets.

Turkish Bank Accounts

If the debtor maintains Turkish bank accounts, they may become relevant in enforcement proceedings once the applicable legal requirements are satisfied.

For shipping companies, bank-account enforcement can sometimes be considerably more practical than attempting to locate maritime assets.

The debtor’s correct corporate identity must be confirmed before proceedings begin.

Vehicles and Real Estate

Other debtor assets can also become relevant.

A Turkish company may own vehicles, real estate, machinery or company shares.

Maritime debt recovery does not require the creditor to pursue only maritime property.

Where ordinary debtor assets provide better security, they should be considered.

Third-Party Receivables

A debtor may have limited cash in its own accounts but substantial receivables from customers.

Turkish enforcement mechanisms concerning third-party receivables can therefore become important in appropriate circumstances.

Identifying customers and payment flows can materially improve recovery prospects.

Can a Vessel Be Arrested?

This requires careful analysis.

A claim’s maritime origin does not mean that any vessel commercially connected with the debtor can automatically be arrested.

Turkish ship-arrest rules contain specific requirements concerning qualifying maritime claims, the person liable and ownership or other legally relevant relationships with the targeted vessel.

Before seeking ship arrest, counsel must establish both:

that the claim qualifies for maritime arrest purposes

and

that the particular vessel can legally be arrested for that claim.

Do Not Arrest the Wrong Ship

This risk is especially important in shipping groups.

Ten vessels may use the same commercial brand but each may be owned by a separate single-purpose company.

Common management does not automatically make one company’s vessel available for another company’s debt.

Registered ownership and the statutory arrest requirements should be verified before an application is filed.

Wrongful arrest can expose the claimant to significant risk.

Foreign Arbitration Clause

Bills of lading and other maritime contracts may contain foreign jurisdiction or arbitration clauses.

A London arbitration clause, for example, may determine where the merits of the dispute must be resolved.

That does not necessarily mean assets located in Turkey are irrelevant.

Depending on the circumstances and applicable rules, Turkish provisional measures may still need to be considered separately to secure the eventual claim.

Foreign Arbitral Award

A carrier may already have obtained an arbitral award for unpaid demurrage or detention.

If the debtor has assets in Turkey, recognition and enforcement of the foreign award may become the next step.

Asset identification should begin immediately rather than waiting until the enforcement procedure is completed.

Foreign Court Judgment

Similarly, a foreign shipping company may possess a foreign court judgment against a Turkish debtor.

Depending on the circumstances, Turkish recognition and enforcement procedures may be required before compulsory execution against Turkish assets.

The judgment, finality documentation, translations and applicable authentication requirements should be prepared carefully.

Interest and Additional Costs

The creditor should determine whether contractual or statutory interest can be claimed.

The applicable rate can depend on governing law, currency and contractual terms.

Legal demands should distinguish principal demurrage or detention from interest and other expenses.

Claims in USD or EUR

Container charges are frequently invoiced in foreign currency.

For significant claims, exchange-rate movements can materially affect recovery.

The creditor should preserve the contractual currency provisions and clearly identify the currency in which payment became due.

Debtor Requests Installments

An installment agreement can be commercially sensible if it improves actual recovery.

But an unsecured promise should be approached cautiously where the debtor has already defaulted.

For substantial amounts, the creditor should consider requiring reliable security and an acknowledgment of debt.

Settlement wording should also preserve remedies if installments are missed.

Insolvent Debtor

Speed becomes particularly important where the Turkish consignee or logistics company appears financially distressed.

Warning signs include repeated payment extensions, bounced checks, multiple enforcement proceedings, asset transfers or restructuring negotiations.

A creditor should not wait until insolvency becomes formal before investigating security.

Concordat

If the debtor enters Turkish concordat proceedings, individual enforcement options may be affected.

The shipping company should identify the proceeding promptly and ensure that its receivable is properly protected within the applicable framework.

Private promises from management should not substitute for compliance with formal restructuring procedures.

Practical Example: Ten Containers Returned 60 Days Late

Assume a foreign shipping line delivers ten containers to a Turkish importer.

The consignee receives seven free days but returns the equipment approximately 60 days later.

The carrier invoices USD 95,000 in detention charges.

The importer refuses payment, claiming that its warehouse was full.

The creditor should preserve gate-out and empty-return records, the applicable tariff, bill of lading and communications concerning free time.

If contractual liability is established, Turkish debt-recovery proceedings can then be considered against the importer and its available assets.

Practical Example: Containers Held by Customs

Assume twenty containers are detained because Turkish customs investigates the imported goods.

Demurrage accumulates for three months.

The consignee argues that it could not legally collect the cargo.

The carrier should first examine the contractual treatment of customs delays.

At the same time, it should investigate whether the goods can be transferred from the shipping-line containers into authorized customs custody.

Reducing future equipment losses can be as important as recovering historical charges.

Practical Example: Abandoned Cargo

A Turkish consignee refuses to collect low-value cargo.

Six containers remain at the terminal.

Charges exceed the value of the goods.

Continuing to accumulate invoices indefinitely may provide little commercial benefit.

The carrier should investigate the legal and customs procedures for dealing with the cargo while pursuing the debtor’s bank accounts, receivables or other assets.

Practical Example: Debtor Is Moving Assets

A Turkish logistics company owes a foreign carrier EUR 400,000 in demurrage and detention.

The company repeatedly promises payment but appears to be transferring assets.

The carrier should evaluate whether the statutory requirements for precautionary attachment are satisfied rather than waiting months for voluntary payment.

The objective should be to preserve assets capable of satisfying the eventual claim.

First 24 Hours After Payment Default

The shipping company should collect the complete contractual and operational file immediately. This includes bills of lading, booking records, tariffs, invoices, free-time agreements, discharge records, gate-out and empty-return data and all payment correspondence.

The correct debtor should be verified.

The claim should then be calculated container by container.

If cargo remains under the carrier’s control, available security rights should be assessed before delivery. If the debtor appears distressed, precautionary measures and Turkish assets should be investigated immediately.

The most important principle is simple:

Do not allow a well-documented maritime receivable to become an unsecured debt merely because commercial negotiations continue for too long.

Frequently Asked Questions

Can a foreign shipping company recover unpaid demurrage in Turkey?

Yes. Where the debtor or relevant assets are in Turkey and the applicable jurisdictional requirements are satisfied, Turkish debt-recovery mechanisms may be available.

Can unpaid container detention charges be enforced?

Potentially yes. The carrier must establish the contractual basis, applicable free time, daily rate and actual period of delay.

What documents are most important?

Bills of lading, booking confirmations, tariffs, invoices, terminal records, gate-out records, empty-return records and debtor correspondence are particularly important.

What if customs caused the delay?

A customs hold does not automatically eliminate demurrage or detention liability. The contract and cause of the delay must be examined.

Can the carrier retain cargo?

Potentially, where the statutory requirements for a carrier’s retention right are satisfied. This should be assessed before cargo is released.

Can Turkish bank accounts be attached?

Potentially, through the applicable Turkish enforcement procedures once the necessary legal conditions are satisfied.

Can the creditor seek precautionary attachment?

Potentially. For qualifying monetary claims, precautionary attachment may be available where the statutory requirements are established.

Can a vessel be arrested for the debt?

Possibly, but only if the claim falls within the maritime-claim framework and the particular vessel satisfies Turkey’s statutory arrest requirements. Not every vessel associated with the debtor can automatically be arrested.

What if the contract requires foreign arbitration?

The merits may need to be resolved in the agreed arbitral forum. The availability of provisional security measures in Turkey should be considered separately.

Should a shipping company wait while charges continue increasing?

Usually the better approach is to evaluate recovery and mitigation early. Allowing charges to accumulate indefinitely can be commercially ineffective, particularly where the cargo or debtor has limited value.

Debt Recovery for Foreign Shipping Companies in Turkey

Unpaid demurrage and detention claims can appear straightforward because the shipping line has invoices showing the outstanding amount. In contested cases, however, an invoice alone may not be enough.

The strongest claim combines the contractual terms with operational evidence showing the free-time period, actual container movements, applicable tariff and exact calculation.

Once the debt is established, the strategy should focus on recovery rather than repeated correspondence.

Depending on the circumstances, this may involve formal payment demands, Turkish enforcement proceedings, commercial litigation, precautionary attachment, bank-account attachment, third-party receivables, enforcement against other debtor assets or maritime security measures where their specific statutory conditions are satisfied.

Where containers or cargo remain under the carrier’s control, available security rights should be evaluated before surrendering possession. Where the debtor is financially distressed, securing assets early can determine whether the carrier ultimately receives payment.

Fırat Fesih Kaya Law Office assists foreign shipping lines, shipowners, container carriers, maritime operators and logistics companies with unpaid demurrage and detention recovery in Turkey, freight claims, container charges, enforcement proceedings, precautionary attachment, debtor asset recovery, maritime claims, ship arrest, foreign judgment enforcement and maritime arbitration-related proceedings.

Phone: +90 312 434 22 22
Mobile: +90 532 769 22 22
Email: info@firatfesihkaya.av.tr
Address: Mevlana Boulevard No: 221, Yıldırım Tower, Balgat, Çankaya, Ankara, Turkey