Evaluation of Negative Comments and Advertisements About a Competitor Company from the Perspective of Unfair Competition
1. Introduction: The Cost of "Defaming" Your Competitor in the Digital Age
With the increasing intensity of competition in the business world, making negative comments about rival companies, posting derogatory remarks on social media, or directly or indirectly denigrating rivals in advertisements and commercials have unfortunately become common practices. In particular, statements that damage a competitor's reputation through Google reviews, complaint websites, Instagram/TikTok posts, or sponsored advertisements raise concerns about unfair competition liability under the Turkish Commercial Code (TTK)
This article how negative comments and advertisements about a competitor are evaluated under unfair competition law, in what situations the boundaries of commercial criticism are crossed and become "defamation," what lawsuits the aggrieved company can file, and how companies can protect themselves.
2. The Concept of Unfair Competition and the Basic Legal Framework
2.1. The purpose of unfair competition
Articles 54 and subsequent articles of the Turkish Commercial Code regulate provisions relating to unfair competition. The systematic approach of the law to protect fair and undistorted competition for the benefit of all market actors .
In this context, deceptive and dishonest practices affecting not only the relationships between competitors but also the relationships between suppliers and customers are considered unfair competition.
2.2. General conditions of unfair competition
In general, to be able to talk about unfair competition:
- There must be a behavior or business practice related to commercial life,
- This behavior must be against the principle of honesty
- It must have the potential to disrupt competition in the market or affect competitors or customers
- There must be a potential for negative impact on the economic decisions of competitors or customers.
Negative reviews and advertisements are directly evaluated within this framework because they have the potential to damage the commercial reputation of a competing business, affecting or causing it to lose its customer base
2.3. Defamation and false statements
Article 55/1-a of the Turkish Commercial Code lists the main types of unfair competition under the heading of advertising and sales methods contrary to the principle of honesty ; these include:
- others or their goods, products, prices, activities, or business dealings with false, misleading, or unduly offensive statements.
- Making untrue or misleading statements for the purpose of giving oneself or a third party an advantage
Actions such as these are also listed among the forms of unfair competition.
Therefore, negative statements about a competitor on social media, complaint platforms, or in advertising campaigns "unfair competition through defamation," depending on the content and context .
3. Basic Types of Negative Reviews and Ads
In practice, negative statements about competitors take many different forms. The main types can be summarized as follows:
3.1. Statements that are explicitly defamatory and insulting
- "Company X is a scam."
- "Company Y is selling counterfeit products."
- "Don't buy from company Z, it's absolutely terrible, they're scamming people."
Such statements, often made without concrete evidence, target the honesty, reliability, and professional competence of a rival company. They constitute both an attack on commercial reputation and, in many cases, an attack on personal rights
3.2. Untrue or grossly exaggerated complaints
, by posing as a customer, present an event that did not actually happen as if it did, and generalize a singular and relatively insignificant event as if it were the entire company practice :
- "This company doesn't deliver; they take the money and disappear."
- "Their products are completely fake; everything you buy turns out to be defective."
If these statements cannot be supported by concrete facts , they constitute false or misleading statements within the meaning of Article 55 of the Turkish Commercial Code and may be considered unfair competition
3.3. Comparative ads targeting competitors
In advertising campaigns, by directly mentioning the competitor's name or by implying it in a way that is easily understood:
- The competing product or service is of poor quality, unsafe, uses outdated technology, is expensive, or is harmful to health.
- And that its own product is the only reliable, only high-quality, only authorized alternative.
The dissemination of such messages is also critically important in terms of unfair competition. Misleading, incomplete, or exaggerated comparisons can lead to illegality under both the Turkish Commercial Code and consumer law
3.4. Social media smear campaigns and fake accounts
In some cases, competing firms:
- Through an advertising agency,
- By using its employees or distributors,
- From numerous accounts opened with fake profiles
They systematically post negative reviews about their competitors; mass low-scoring campaigns . These types of organized attacks planned and continuous acts of unfair competition .
4. Elements of Unfair Competition Through Defamation
The act of "defamation," as defined in Article 55/1-a-1 of the Turkish Commercial Code, is based on certain elements in light of doctrine and Supreme Court decisions:
- There must be a targeted individual or business
- The competing trader, their business, products, services, prices, trade practices, etc.
- The statements must not be false, misleading, or unnecessarily offensive
- Completely fabricated or exaggerated claims,
- While containing factual information, the language used is excessive, degrading, and humiliating.
- The statement should be relevant to business and the customer base
- It should be done in an environment that appeals to the competitor's customer base (market, target audience, social media, advertisements, etc.),
- It should be of a nature that can influence commercial reputation and customer preferences.
- Violation of the principle of honesty
- Acting solely to eliminate a competitor from the market or to narrow their customer base,
- Using objectively unnecessarily offensive, excessive, and demeaning language.
The Supreme Court a certain level of criticism and comparative advertising in a competitive environment ; however, it considers targeting a competitor's reputation with untrue claims or excessively damaging statements as unfair competition.
5. Distinction Between Legally Permissible Criticism and Unfair Competition in Negative Comments
Not every negative statement constitutes unfair competition. In some cases:
- Based on facts,
- It can be proven,
- Disclosure is necessary for the public interest,
- Moderate in style
Criticisms can be considered lawful under the scope of freedom of expression and the right to report news
5.1. Authenticity and verifiability
Statement regarding a competitor:
- It can be supported by concrete examples
- If it can be proven with documents, records, and witnesses,
- If the primary objective is to inform the consumer,
In the practice of the Supreme Court, the claim of unfair competition is interpreted more narrowly. However, completely abstract, unsubstantiated, and unproven claims, especially when combined with general accusations such as "fraudster," "imposter," or "trickster," strongly suggest unfair competition.
5.2. Style and manner of expression
the criticism maintains a ground of fact, if it uses language that is demeaning, insulting, or constitutes an attack on personal rights:
- Both unfair competition,
- And it also constitutes an attack on personal rights (within the scope of the Turkish Civil Code and the Turkish Code of Obligations).
- In some cases, there is even criminal liability (insult, defamation, etc.)
It may come up on the agenda.
5.3. Public interest and the right to information
In some sectors – for example, food, healthcare, finance, education, security services – making negative statements for the purpose of consumer protection may receive broader protection on the grounds of public interest . However, even here:
- The statement is true,
- The purpose is to inform,
- The tone measured .
When these limits are exceeded, the justification of "warning the consumer" will not prevent liability for unfair competition.
6. Negative Comments on the Internet and Social Media
6.1. Platform reviews and complaint sites
Google user reviews, map reviews, restaurant/hotel review systems, product sales platform review sections, and complaint sites among the areas where negative reviews are most frequently found.
Whether the negative content here constitutes unfair competition;
- the person making the comment is a customer or a competitor ,
- The authenticity of the content ,
- The level of style ,
- Whether the comment was systematic and organized
It is evaluated in light of criteria such as these.
Especially by rival companies or individuals directed by them:
- Pretending to be a customer and writing a complaint that is contrary to the truth,
- Systematic low scores are given through different accounts,
- Comment titles containing serious accusations such as "scammer, fraudster"
In this case, both unfair competition within the meaning of the Turkish Commercial Code and tort within the meaning of the Turkish Code of Obligations come into play.
6.2. Anonymous accounts and the issue of proof
Statements made from anonymous accounts on social media raise concerns about the identity of the person making the comment . The victim business:
- First, you should save screenshots of the content, URLs, and date and time information as evidence
- Evidence should be secured through methods such as notarization or a report from a computer expert.
Through the relevant court, IP information and user data can be requested from the platform to identify the perpetrator of the unfair competition. During this process, Law No. 5651 and the provisions regarding the protection of personal data must also be taken into consideration.
7. Negative Advertising and Promotional Campaigns
7.1. Advertisements targeting competitors
Through sponsored advertisements, outdoor ads, television/radio commercials, or digital campaigns:
- By mentioning the competitor's name or by implying it in an easily understandable way,
- If that company's products or services are alleged to be faulty, defective, counterfeit, or dangerous,
- If it is emphasized that its own product is the "only genuine", "only reliable", "only authorized",
Such campaigns can constitute unfair competition as they are a form of advertising and sales method that violates the principle of honesty
7.2. Claims of being an "authorized dealer" or "official service provider"
Another common situation in practice is when a company:
- In fact, he presents himself using terms like "authorized service" and "official distributor" even though he is not authorized to do so
- In this way, it both misleads,
- Moreover, it undermines the reputation of the legitimate, authorized company in the market.
Such advertisements constitute misleading advertising and unfair competition within the meaning of Articles 54-55 of the Turkish Commercial Code , as well as being unlawful advertising under consumer legislation
7.3. Comparative advertising and its limitations
Comparative advertising is generally not prohibited; in fact, it can even serve to inform the consumer. However:
- The comparison objective, measurable criteria.
- Derogatory, sarcastic, and insulting remarks that belittle the opponent should be avoided
- Consumer perception should not be manipulated with false or incomplete information
When these boundaries are crossed, comparative advertising becomes unfair competition through defamation
8. Individuals Responsible for Negative Reviews and Announcements
8.1. The person who actually made the comment or announcement
the protected asset the commercial reputation , anyone who unlawfully damages or risks damaging that reputation may be held liable.
Negative review:
- The partner or manager of the competing company himself,
- Employee of a rival company,
- Advertising agency,
- The company's dealer or agent
This may have happened. In these cases, both the perpetrator and, depending on the relationship between them , the operator or employer may be held liable.
8.2. Those acting on behalf of legal entities and criminal liability
According to Article 62 of the Turkish Commercial Code, certain acts of unfair competition crimes . These include:
- Imprisonment or a fine for natural persons ,
- Security measures may be applied to legal entities .
If an act of unfair competition is committed on behalf of the company, criminal liability is concentrated on the bodies authorized to represent the company or the de facto managers
8.3. The role of the platform operator
Platforms where comments or advertisements are published are, as a rule, not a party to unfair competition. However:
- Failing to take any action despite clearly illegal content,
- Failure to remove the content despite notifications,
Such situations can lead to different legal liability discussions. An unfair competition lawsuit is usually at the person/company that made the comment or announcement ; however, in some cases, the platform may also need to be included in the process for requests such as blocking access or removing content.
9. Unfair Competition Lawsuits and Possible Claims
When unfair competition is alleged due to negative comments and advertisements about a competitor, the aggrieved business can file various lawsuits based on Articles 56 and subsequent articles of the Turkish Commercial Code
9.1. Declaratory judgment
specific statements made currently or in the past constitute unfair competition . It is particularly important for future compensation claims.
9.2. Prevention (inhibition) action
If there is an ongoing smear campaign, or if there is a high probability of it recurring:
- Removal of negative posts and comments,
- Preventing the publication of new advertisements,
- Stopping social media posts
An injunction lawsuit can be filed. Requests for interim measures are extremely important in this lawsuit because as long as the unfair competition continues, the competitor's customer loss and reputational damage will continue to escalate.
9.3. Elimination and correction of consequences
In some cases, the court may:
- Correction of statements containing unfair competition ,
- The decision may be announced through a newspaper, website, or social media account.
- Replacing misleading advertising with corrective advertising.
This is desirable. The aim is both to inform the misled consumer baseand to restore the reputation of the aggrieved business.
9.4. Claim for pecuniary damages
Due to negative reviews and advertisements:
- Customer loss,
- Decline in turnover,
- Cancellation of new contracts
If tangible economic losses have occurred, the aggrieved business may claim compensation for these losses. Proof of the damage and the causal link, especially in the digital environment, statistics, sales figures, campaign dates, and the periods in which reviews were published .
9.5. Moral damages and commercial reputation
In cases of serious damage to commercial reputation, especially in businesses closely associated with their name and title, moral damages may arise. In some cases, claims for moral damages may be brought by company partners or managers on the grounds of a direct violation of their personal rights.
10. Evaluation Based on Sample Scenarios
Scenario 1: A company labeled a "scam" on social media
An e-commerce company was targeted by a rival company partner using fake accounts:
"This site is a scam, absolutely do not shop here, you will lose your money and never receive the product."
Let's assume they make posts like this.
- this statement is not based on concrete facts and cannot be proven,
- It contains serious accusations and aims to alienate consumers from the company.
In this situation:
- Unfair competition through defamation within the meaning of Article 55/1-a-1 of the Turkish Commercial Code ,
- In the context of the Turkish Code of Obligations , a tort is...
- If necessary, insult/defamation may be brought.
Victim company:
- Content removal and banning lawsuit,
- Detection of unfair competition,
- They can pursue legal action to claim material and moral damages
Scenario 2: Discrediting the competitor with the claim of being an "authorized service provider"
A repair shop that is not an authorized service center may state on its website:
"We are the official authorized service center for brand X; other service centers are fraudulent and unlicensed."
They publish advertisements in this manner.
Here:
- Both consumers are being misled,
- Moreover, genuine authorized service centers or other competing businesses are being slandered.
This situation:
- Misleading and defamatory advertising within the scope of Article 55/1-a of the Turkish Commercial Code ,
- From a consumer law perspective, this constitutes deceptive commercial advertising and leads to serious unfair competition consequences
Scenario 3: Systematically giving low ratings in Google reviews
Using dozens of fake accounts linked to the rival restaurant's owner, his friends, and employees:
- The victim gave the restaurant 1 star,
- Let's say they wrote reviews like, "The food is spoiled, hygiene is terrible, don't go there.".
In this situation:
- This is a systematic and planned attack
- The customer base is targeted with false or exaggerated claims .
During the trial process:
- Accounts being managed from the same IP address,
- Historical concentrations,
- Similarities in comment content
Factors such as these will be important in demonstrating the intent to engage in unfair competition.
11. Preventive Strategies for Businesses
11.1. Establishing competition and communication policies
Companies internal guidelines on "unfair competition and communication ethics," . These guidelines should include:
- What kinds of statements about competitors absolutely forbidden ?
- Legal limits to consider in comparative advertising .
- Even on personal social media accounts, there are limits to corporate reputation and legal responsibility.
It should be clearly stated.
11.2. Specific provisions for advertising agency and influencer contracts
Advertising/advertising agencies include the following in contracts with social media influencers:
- Prohibition of unfair competition,
- Prohibition of making statements that denigrate or belittle opponents,
- If administrative/criminal/compensation liability arises due to unlawful content who will be held liable?
- The content must undergo prior legal review.
Provisions such as these should be added.
11.3. Corporate crisis management and legal processes
When encountering negative reviews and advertisements:
- Not only legal avenues but also communication management is needed.
- Corporate statements, press releases, social media responses, and customer information texts should all consistent with the legal strategy .
- Therefore, coordination should be ensured between the legal counsel and the public relations unit.
12. Steps to Take When Encountering Negative Reviews
12.1. Gathering and securing evidence
The first step is to fully and reliably document all negative content :
- Screenshots (showing URL, date, time, and username),
- Internet content verification through a notary public
- IT expert report if needed.
This evidence will be used in future unfair competition, damages, or criminal cases.
12.2. Warning and content removal requests
- A warning letter may be sent to the person/organization that shared the content .
- Requests to remove content or block access can be submitted to platforms and site administrators
- Complaint websites of responses and corrections .
12.3. Precautionary measures and recourse to legal action
If the negative campaign seriously damages the business reputation, the court may order:
- The content must be removed immediately
- The ban on sharing new content,
- Preventing advertising with specific keywords if necessary
A preliminary injunction may be requested. Subsequently, lawsuits for determination, prohibition, elimination of consequences, and compensation may be filed within the framework of Articles 56 et seq. of the Turkish Commercial Code.
13. Conclusion: The Fine Line Between the Right to Criticize and Commercial Reputation
Negative comments and advertisements about a competitor are frequently used tools in today's competitive environment, but they carry high legal risks . Within the framework of Articles 54-55 of the Turkish Commercial Code:
- Untrue, misleading, or unnecessarily offensive statements,
- Derogatory statements targeting the goods, services, operations, and commercial activities of a competitor ,
- Systematic smear campaigns aimed at influencing the customer base and eliminating the competitor from the market.
This is considered unfair competition; in addition to lawsuits for determination, injunction, correction, and compensation, it can even lead to criminal liability in some cases
On the other hand, fact-based, measured criticism that serves the public interest is lawful and part of freedom of expression. Where this fine line begins and ends must be assessed by considering all the specifics of the case, the language used, the target audience, the timing of the statement, and the resulting effects.
It is crucial for businesses to ensure that both their own employees and external advertising/communication teams are aware of these boundaries; and to implement a swift and planned legal and communication strategy, without neglecting to gather evidence, when faced with negative comments and advertisements
Frequently Asked Questions (FAQ)
1. If I make negative comments about a competitor on social media, will it always be considered unfair competition?
No. If:
- the statements are based on facts,
- If it is verifiable,
- Provided it does not contain attacks on personal rights or defamation,
- If the tone is measured and aim is to inform the consumer ,
Such statements can be considered within the scope of lawful criticism. However , exaggerated, insulting, unproven statements that manipulate the customer base pose a very high risk of unfair competition.
2. What happens if I systematically give my competitor low ratings on Google reviews?
Systematically low scores being given through fake accounts that do not reflect reality:
- Unfair competition through defamation within the meaning of Article 55 of the Turkish Commercial Code ,
- In the context of the Turkish Code of Obligations , a tort is...
- It can give rise to criminal liability under certain circumstances .
The aggrieved business may pursue various claims in both civil and criminal courts.
3. Is it permissible to disparage a competitor's product by comparing it to it in an advertisement?
Comparative advertising is generally permitted; however:
- The comparison real and measurable criteria .
- Disparaging or insulting language should not be used towards the opponent .
- Consumers with false or incomplete information .
When these limits are exceeded, advertising becomes unfair competition
4. What claims can I make in a lawsuit filed due to unfair competition?
According to Articles 56 et seq. of the Turkish Commercial Code:
- Detection of unfair competition ,
- Prevention (cessation) of unfair competition .
- Removal of results (advertisement, correction, content removal),
- Monetary compensation,
- If the conditions are met, compensation for non-pecuniary damages,
- Transfer of profits obtained through unfair competition
You can submit your requests.
5. A competitor is accusing me of unfair competition; what should I focus on in my defense?
- of the statements you made ?
- your tone measured, or does it contain insults and demeaning remarks?
- the purpose of your statements to inform and warn , or to eliminate your competitor from the market ?
- the platform and target audience where the statements were made sufficient to justify the severity of the criticism?
The answers to these questions are crucial for rejecting the claim of unfair competition.