LEGAL DEFINITION OF PARTITION ACTION IN TURKEY
A partition action in Turkey, known in Turkish law as izale-i şuyu, is a type of civil lawsuit filed to terminate the co-ownership of movable or immovable property held under shared or joint ownership. The aim of this legal process is to end the existing co-ownership relationship and convert it into individual ownership. In practice, this case is more commonly referred to as a “lawsuit for dissolution of co-ownership” and is regulated under the relevant provisions of the Turkish Civil Code.
A partition action in Turkey is typically filed when continuing the co-ownership is no longer feasible or reasonable for the co-owners. It seeks the fair distribution of the jointly owned asset and allows each co-owner to obtain sole ownership of their respective share. In this sense, the lawsuit serves as a liquidation process to dissolve the legal relationship between co-owners.
It is important not to confuse this legal action with a “lawsuit for transition to shared ownership”. While a partition action in Turkey aims to end the existing co-ownership completely, a transition to shared ownership refers to a different legal mechanism.
Following the conclusion of a partition action in Turkey, if the property can be physically divided, it is apportioned among the co-owners accordingly. If physical division is not possible, the property is sold through a court-supervised auction, and the proceeds are distributed among the co-owners in proportion to their shares. This process legally ends the co-ownership, clarifying the status of the property—especially in cases where the property has been the subject of prolonged disputes among the co-owners.
THE CONCEPT AND TYPES OF CO-OWNERSHIP IN TURKEY
In order to properly understand a partition action in Turkey, it is essential to first clarify the legal nature and types of “co-ownership” under Turkish law. Co-ownership can only be established within the legal framework expressly provided by statute. It refers to a situation in which multiple individuals hold ownership rights over the same asset simultaneously.
At the core of co-ownership lies the existence of shared ownership rights over a single property by more than one person. This shared ownership inherently requires the distribution of rights and obligations among the co-owners.
Under Turkish law, co-ownership is examined under three main categories:
- Shared ownership
- Joint ownership
- Condominium ownership
Each of these types has distinct legal consequences and affects how to end co-ownership in Turkey may be pursued.
Shared Ownership
Shared ownership in Turkey refers to a situation where multiple individuals hold specific shares in a single property. Each co-owner’s ownership right pertains to a defined and independent portion; these shares are predetermined and clearly stated in official records.
Under the shared ownership regime in Turkey, each co-owner can independently exercise control over their share. This includes actions such as transfer, pledge, mortgage, or enforcement. Even without any physical division among the co-owners, the legally established share proportions remain valid. In such ownership structures, a co-ownership dispute in Turkey can be resolved by filing a partition action, which legally ends the co-ownership.
Joint Ownership
In joint ownership in Turkey, the individual shares of the co-owners are not specifically defined, and all co-owners are considered to jointly own the entire property as a whole. This type of ownership commonly arises in cases of inheritance probate process or informal partnerships.
Under this regime, no co-owner can independently dispose of or manage the property; all actions related to the property must be carried out unanimously. Since the co-owners cannot define or transfer their individual shares, this form of ownership involves a tighter legal bond.
In the event of disagreement or unwillingness to continue this joint ownership, a co-ownership dispute in Turkey may lead to a partition action to dissolve the undivided ownership and allow for either division or sale of the property.
Condominium Ownership
Condominium ownership is a special type of property ownership established under Turkish real estate law for the independent units of a completed building. In this system, each owner holds exclusive ownership of a private unit (such as an apartment) while also sharing ownership of the common areas (such as stairs, elevators, parking lots, etc.) in accordance with the principles of shared ownership.
Condominium ownership is governed by the provisions of Law No. 634 on Condominium Ownership and becomes legally effective once it is registered in the land registry.
This dual structure requires owners to operate within both individual and co-ownership frameworks. As a result, cooperation among owners is essential in matters such as property management, collective decision-making, and sharing of common expenses. In cases of disagreement, especially concerning shared areas, a co-ownership dispute in Turkey may arise and require legal resolution.
HOW TO END CO-OWNERSHIP IN TURKEY?
A dissolution of co-ownership lawsuit, also known as a partition lawsuit in Turkey, is a judicial remedy sought by individuals who hold co-ownership rights over movable or immovable property but either do not wish to continue the co-ownership or cannot agree among themselves on how to divide the property. This lawsuit begins when one or more co-owners apply to the court to terminate the existing ownership relationship.
Although the partition lawsuit in Turkey is not explicitly named as such in the Turkish Civil Code No. 4721, its legal basis primarily stems from Articles 698 and following, which regulate the termination of shared ownership. According to Article 698 of the Turkish Civil Code, each co-owner has the right to demand the termination of the co-ownership. If this right cannot be exercised voluntarily, it is enforced through judicial means.
The dissolution of co-ownership lawsuit in Turkey is the only legal way to terminate co-ownership forcefully and lawfully. This type of lawsuit especially facilitates an equitable liquidation of the property by the court when co-owners fail to reach an agreement on its division. If the co-owners cannot conclude a contract or agreement among themselves regarding the division, the court will decide, depending on whether the property is movable or immovable, either to partition the property in kind or, if that is not possible, to order the sale of the property and distribute the proceeds according to the shares of the co-owners.
For example, Ali, Hasan, and Fatma are co-owners of a plot of land inherited from their father under joint ownership according to Turkish Inheritance Law. Although the land has been registered in the names of the heirs, it has not been physically divided. Over time, disagreements arose among the heirs regarding the use of the land; Ali wanted to cultivate it, Hasan preferred to sell it and share the proceeds, while Fatma intended to build a house on it.
When the parties could not reach an agreement, Hasan filed a partition lawsuit in Turkey at the Civil Court of Peace, claiming that continuation of the co-ownership was no longer possible. Following inspection and expert reports, the court determined that physical partition of the land was not feasible. Consequently, the court ordered the land to be sold by auction and the sale proceeds to be equally distributed among the heirs.
As seen in this example, the parties resorted to a partition lawsuit in Turkey because they could not divide the property themselves; the court terminated the co-ownership relationship and ensured individual ownership through a forced sale of property in Turkey.
Thanks to this lawsuit, the co-ownership relationship legally ended, and each co-owner gained the unrestricted right to dispose of their share based on the amount received.
In this respect, the dissolution of co-ownership in Turkey is an important legal tool both for establishing individual ownership rights and for resolving disputes that may arise from co-ownership. It is frequently used in practice, especially to resolve long-standing disagreements among co-owners in immovable property cases.
HOW TO FILE A PARTITION LAWSUIT IN TURKEY?
If it is not possible to divide a property subject to joint ownership or tenancy in common through mutual agreement between the parties, a dissolution of co-ownership lawsuit (partition action in Turkey) may be filed under certain legal conditions. This lawsuit is a judicial process aimed at terminating the co-ownership relationship by court decision and establishing individual ownership.
Below are the essential elements and important considerations required for filing a partition lawsuit in Turkey:
1. Determination of the Type of Co-Ownership
In order to file a partition lawsuit in Turkey, the property in question must first fall under either tenancy in common (shared ownership) or joint ownership (co-ownership in undivided shares). The property may be immovable (land, residence, field, etc.), movable (vehicles, machinery, valuable goods), or valuable documents (such as stocks). The property subject to the lawsuit must legally correspond to the relevant ownership type.
2. Filing the Lawsuit Against All Co-Owners
A partition lawsuit in Turkey can be filed by one or more co-owners; however, the lawsuit must be directed against all co-owners. This rule is a fundamental procedural requirement for proper party formation. If any party is missing, the court may dismiss the case on procedural grounds.
3. Clear Identification of the Property Subject to the Lawsuit
The complaint must include complete legal and technical information regarding the property under co-ownership. For immovable properties, this includes title deed details (province, district, neighborhood/village, block, parcel, description, etc.), and for vehicles, the license plate and registration information must be clearly specified. In case of errors or deficiencies in the title deed records, the court may grant the plaintiff a period to rectify these deficiencies.
4. Submission of Documents Demonstrating the Co-Ownership Relationship
The plaintiff is required to submit documents proving the co-ownership relationship to the court. These documents may include inheritance certificates, copies of title deeds, notarized agreements, court rulings, or written contracts between the parties. The documents must establish the legal validity of the co-ownership over the property.
5. Legal Possibility of Terminating the Co-Ownership
If the property subject to tenancy in common is dedicated to a specific legal purpose (for example, allocated to a foundation or for public use) or involves a structure intended for continuous use, terminating the co-ownership may not be legally possible. Therefore, the court evaluates the nature and current status of the property to determine whether any legal obstacles prevent the dissolution of the co-ownership in Turkey.
In conclusion, a partition lawsuit in Turkey is an effective judicial mechanism aimed at individualizing ownership rights and terminating co-ownership in a property ownership dispute. To file and proceed with the lawsuit properly, the conditions outlined above must be met. The court process emphasizes the protection of the parties’ ownership rights and the equitable distribution of the property in Turkey.
IS MEDIATION MANDATORY IN PARTITION ACTIONS IN TURKEY?
As of September 1, 2023, with the enactment of new legal regulations, cases concerning the dissolution of co-ownership in Turkey have been included within the scope of mandatory mediation. Under this regulation, pursuant to the Law No. 6325 on Mediation in Civil Disputes and related legislation, initiating the mediation process in Turkey in such cases has become a prerequisite for filing a lawsuit.
Within this framework, in any partition action in Turkey concerning the division of movable or immovable properties subject to joint or tenancy in common ownership:
- It is mandatory to apply to mediation before filing the lawsuit.
- The mediation application must be directed to all co-owners who will be defendants in the case. Starting mediation with missing parties will invalidate the process and result in the failure to meet the lawsuit prerequisite.
- The final record issued at the conclusion of the mediation process must be submitted to the court along with the lawsuit petition.
- If a lawsuit is filed in Turkey without prior mediation, the court will dismiss the case on procedural grounds due to the absence of this prerequisite.
The purpose of this practice is to encourage the resolution of property ownership disputes in Turkey through amicable means before resorting to judicial proceedings, thereby reducing the number of lawsuits and the duration of trials, and promoting a culture of reconciliation between parties. However, if mediation does not result in an agreement, parties retain their legal right to pursue their claims in court.
WHO CAN FILE A PARTITION LAWSUIT IN TURKEY?
The partition lawsuit in Turkey can be filed by one or more co-owners. The right to file this lawsuit covers all natural and legal persons who hold joint or undivided ownership over the relevant movable or immovable property. Accordingly, not only individuals but also associations, or other companies established in Turkey and foreign companies’ branches in Turkey can act as plaintiffs in their capacity as co-owners.
Foreigners acquiring real estate in Turkey are subject to the same rights and obligations as Turkish citizens, and they also have the right to file a real estate partition lawsuit in Turkey for properties in which they hold shares. Although the acquisition of immovable property by foreigners is subject to certain restrictions under Article 35 of the Turkish Land Registry Law No. 2644, once acquired, co-ownership relations over the property are governed by the Turkish Civil Code and related procedural laws.
Therefore, foreign nationals who hold shares in a property may file a partition lawsuit in Turkey alone or jointly with other co-owners in Turkish courts without needing any additional permits or being subject to special foreigner laws during the litigation process.
The person or persons filing the lawsuit are called the plaintiff(s), and all other co-owners are defendants. This is a unique feature of the partition lawsuit in Turkey regarding party composition. The lawsuit must be directed against all co-owners without exception. Otherwise, the court cannot proceed to the merits without complete party formation and may dismiss the case on procedural grounds.
In the event of the death of a co-owner, their heirs succeed to the deceased’s position and gain the status of parties in the heirs property dispute in Turkey within the partition lawsuit. In this case:
- First, a certificate of inheritance must be obtained and the heirs of the deceased determined. Heirs may be legal heirs under law or those appointed by a will.
- If the deceased’s estate is unknown, it is important to file an inheritance determination lawsuit before the partition lawsuit to determine the estate.
- The deceased co-owner’s share is jointly represented by all heirs; thus, not just one heir but all must be parties to the case. Heirs who renounce the inheritance in Turkey are not parties in this lawsuit.
- The heirs may file the partition lawsuit in Turkey against the other heirs or co-owners to terminate the co-ownership relation over the inherited property.
- Complete inclusion of heirs in the lawsuit is mandatory both in terms of legal capacity and as a procedural requirement.
If this procedural compliance is not met, the case cannot proceed properly, and the court will not continue the trial without the missing parties. Particularly for inherited real estate, consulting an inheritance lawyer in Turkey before filing a real estate partition lawsuit in Turkey is highly important.
WHICH COURT HAS JURISDICTION IN PARTITION ACTIONS IN TURKEY?
The partition lawsuit in Turkey, is a legal proceeding subject to special regulations regarding jurisdiction and competence. In this context, the determination of which court will hear the case and which court has jurisdiction is governed by the provisions of the Turkish Code of Civil Procedure No. 6100 and relevant special legislation.
Competent Court in Dissolution of Co-ownership Cases in Turkey
In partition lawsuits in Turkey, the competent court, pursuant to the explicit provisions of the Turkish Code of Civil Procedure No. 6100, is the Civil Court of Peace. This court is competent regardless of the value of the disputed property or the share ratios of the co-owners. Additionally, as a general rule, simplified trial procedures apply in Civil Courts of Peace (Article 316 of the Code of Civil Procedure).
Jurisdiction in Dissolution of Co-ownership Cases in Turkey
There is a distinction regarding jurisdiction depending on whether the disputed property is movable or immovable:
- In cases involving immovable property, the dissolution of co-ownership lawsuit must be filed at the Civil Court of Peace located where the immovable property is situated. This is a strict jurisdiction rule. In the event that multiple immovable properties are located in different places, the Civil Court of Peace in each location where the respective immovable property is situated will have jurisdiction.
- For movable properties, the competent court is the court of the defendant’s place of residence, which is the general rule for jurisdiction (Article 6 of the Code of Civil Procedure). Since there are no special jurisdiction provisions for these cases, general rules apply.
This distinction is critically important for ensuring the lawsuit is conducted properly and in accordance with procedural rules. A lawsuit filed in a court lacking jurisdiction will be dismissed upon objection due to lack of jurisdiction, making the correct determination of the competent court essential for procedural economy; for this reason, obtaining legal advice in Turkey is crucial.
HOW LONG DOES A PARTITION CASE TAKE IN TURKEY?
The partition case in Turkey duration varies significantly depending on many factors. The complexity of the case, the number of parties involved, the intensity of disputes among the parties, the workload of the court reviewing the case, and procedural objections that may arise during the trial are the main elements affecting the case length. Therefore, it is not possible to precisely predict the exact duration of a specific partition action in Turkey in advance.
Considering general practice in Turkey, an ordinary partition case in Turkey may take an average of 3 to 4 years from the first instance court until the finalization of the appeal process, if necessary. This period may extend even further, especially in cases where the value of the immovable property is high, there are many co-owners, or disputes among heirs are intense.
During the ongoing partition action in Turkey, if there are lawsuits regarding the cancellation and registration of the title deed based on the deceased’s collusion or lawsuits for title deed cancellation due to abuse of power of attorneyconcerning the immovable property subject to dissolution of co-ownership, these lawsuits are treated as preclusive issues . Since such lawsuits may have direct legal consequences on the ownership of the property, their outcomes can affect the legal status of the property subject to the partition case in Turkey.
For this reason, the court will first wait for the final decision of the cancellation and registration lawsuits before continuing with the dissolution of co-ownership case. This preclusive issue process can significantly delay the conclusion of the partition action in Turkey and restrict the parties’ rights to dispose of the property during this period.
It is important for those considering filing a partition case in Turkey to consult a specialized real estate lawyer in Turkey to obtain a professional evaluation tailored to their specific situation. This way, they can gain more realistic and detailed insights about the probable course of the lawsuit and make strategic decisions more effectively.
HOW MUCH DOES A PARTITION LAWSUIT COST IN TURKEY?
The partition lawsuit in Turkey is subject to a fixed (lump-sum) court fee. This fee system aims to predict the litigation costs in advance and ensure a fair distribution of expenses among the parties.
The litigation expenses arising at the conclusion of the lawsuit are shared equally among the parties. This arrangement is based on the principle that there is no winning or losing party in a partition lawsuit. Since the dissolution of co-ownership means the termination of the ownership relationship between the parties, both parties are equally affected by the outcome of the case.
Therefore, all parties involved in the lawsuit are obliged to contribute equally to the litigation costs regardless of the case outcome. This principle is adopted by the legal system to ensure equity among the parties and to prevent any party from gaining an unfair advantage.
HOW TO END CO-OWNERSHIP IN TURKEY IN A DISSOLUTION OF CO-OWNERSHIP CASE?
In a dissolution of co-ownership in Turkey, the termination of co-ownership can be achieved through three main methods: partition in kind, sale (by private agreement or auction), and conversion to condominium ownership.
The applicability of each method depends on factors such as the type of property, the demands of the co-owners, and the nature of the asset.
1. Termination of Co-ownership in Turkey by Partition in Kind
Partition in kind is the preferred method for ending co-ownership in Turkey. In this method, the property subject to joint ownership is physically divided and allocated to each co-owner separately. For example, if there are three plots owned by three co-owners, each owner receives one distinct plot.
Conditions for applying partition in kind in Turkey include:
- At least one plaintiff or defendant must request partition in kind.
- The court must determine, usually through an expert report, whether the property is suitable for physical partition.
- Partition in kind should not cause a significant loss in the property’s value. However, if all parties agree, this value loss condition can be relaxed.
If the court concludes the property is suitable for partition in kind, it orders the division of the property. If the portions are of unequal value, the court may require compensatory payments to ensure fairness among co-owners.
2. Termination of Co-ownership in Turkey by Sale (Private Agreement or Auction)
If partition in kind is not feasible or not requested by all co-owners, the property may be sold to dissolve the co-ownership. This method is often preferred when dividing the property would reduce its value or is technically impossible.
- If all co-owners agree, the sale can be conducted by private agreement among them.
- If any co-owner objects to the sale, the property will be auctioned publicly.
Once the court decision approving the sale is finalized, the case file is sent to the enforcement office. The enforcement officer determines the sale value based on expert reports, and the sale is carried out according to the Enforcement and Bankruptcy Law. The proceeds from the sale are distributed to the co-owners proportionally to their shares.
3. Termination of Co-ownership by Conversion to Condominium Ownership
Conversion to condominium ownership is especially suitable for buildings with multiple independent units. Under this method, the property is divided into independent sections in accordance with the Condominium Law, and each co-owner is assigned at least one independent unit.
For this method to apply:
- A project compliant with the Condominium Law must be prepared or an existing project revised by the court.
- The building must be completed, constructed with durable materials, and suitable for use as independent units.
- If there are deficiencies, the court may grant a reasonable period for corrections.
Long-standing common use arrangements among co-owners can be taken into account; otherwise, allocation of independent units is done by lottery.
Conversion to condominium ownership protects the rights of co-owners and establishes a legal and physical ownership structure suitable for the property.
The court evaluates which method to apply based on the nature of the property, co-owners’ requests, and expert reports during the partition case in Turkey. The goal of the partition action in Turkey is to end co-ownership and establish the ownership rights of the parties separately and fairly.
SALES STAGE IN CO-OWNERSHIP PARTITION ACTIONS IN TURKEY
When the sale method is preferred in a dissolution of co-ownership case in Turkey, the disputed property is put up for sale through enforcement proceedings, and the proceeds are distributed among the co-owners. When the plaintiff requests dissolution of co-ownership by sale in Turkey, the court first examines whether the sale method is applicable.
If the plaintiff does not explicitly specify which method to choose, the court first evaluates whether partition in kind is possible. If the property is unsuitable for physical partition or if partition would cause a significant loss in value, the court resorts to the forced sale method.
The stages of the sale process in a partition lawsuit are as follows:
1. Auction Procedure
The forced sale of property in Turkey is conducted through an auction process, which can be executed in two different ways:
- Public Auction: An open sale accessible to everyone.
- Private Auction: A limited auction only among the co-owners.
However, to apply the private auction method, all co-owners must unanimously consent, and the court must issue a decision approving this method.
2. Initiation of the Sale Process
After the finalization of the court’s decision on the dissolution of co-ownership in Turkey, the case file is sent to the Sale Office responsible for executing the sale upon request. The sale officer is appointed by the court and is usually the head clerk of the court or an enforcement officer. The forced sale of property in Turkey is conducted in accordance with the provisions of the Enforcement and Bankruptcy Law.
3. Valuation and Objection Process
The sale officer prepares for the sale and determines the property’s value according to Articles 128 and subsequent provisions of the Enforcement and Bankruptcy Law. The valuation process includes:
- Determining the estimated value of the property to be sold.
- Objections to the valuation are reviewed by the Peace Court that decided on the dissolution of co-ownership.
- Complaints regarding the sale officer’s actions or requests for annulment of the auction are also decided by the Peace Court.
- Decisions of the Peace Court regarding valuation are final and binding.
- A new valuation request cannot be made within two years of the previous valuation date.
4. Sale Announcement and Auction
Once the valuation is finalized, the sale officer sets the sale conditions and announces the sale. Important points regarding the sale announcement include:
- The announcement must be made at least one month before the sale date.
- The announcement must detail the property’s characteristics, the appraised value, the date, time, and location of the auction.
- The auction conditions must be included in the announcement.
- The announcement is also formally notified to registered interested parties in the land registry.
5. Legal Basis of the Sale
Sales based on the dissolution of co-ownership decision are fully executed under the Enforcement and Bankruptcy Law. The Peace Court decisions form the legal basis of the sale process, and the authority and responsibilities of the sale officer are shaped accordingly.
6. Auction Start: First and Second Bidding
In a forced sale of property in Turkey, auctions conducted following the court’s sale decision are supervised by the Enforcement Officer and often held via electronic sales portals.
The auction begins on the date and time specified in the announcement and proceeds as follows:
- The bidding starts at 50% of the estimated (appraised) value of the property.
- For a bid to be valid, the offered amount must exceed 50% of the appraised value or the higher of the plaintiff’s receivable and other preferential receivables, plus the sale and distribution expenses.
- If these conditions are met, the property is awarded to the highest bidder.
7. Conclusion of the Auction and Transfer of Ownership
At the end of the bidding period, if the necessary conditions are met, the property is definitively awarded to the highest bidder and ownership transfers to that person. The process proceeds as follows:
The highest bidder is obligated to pay the sale price within the legal deadline.
If the payment is not made on time, the deposit is not refunded; it is first used to cover the sale expenses, and the remaining amount is distributed to the creditors.
If the buyer is a third party who is not a shareholder, the entire sale price is considered a delivery for VAT purposes, and VAT must be calculated on the full sale price. If the buyer is one of the shareholders, the VAT base is calculated on the amount obtained by subtracting the buyer’s existing share from the sale price, meaning VAT applies only to the price corresponding to the shares of the other co-owners. It is important to seek support from a tax law attorney in Turkey to ensure VAT calculation is done correctly.
8. Auction Result Report and Announcement
The enforcement officer prepares a report on the auction results on the first business day after the electronic auction ends and publishes this report on the sales portal the same day. The report must include:
- Date and time of the auction
- Identity of the participant who made the highest bid
- Whether the auction is deemed valid
- Reminder that the auction price must be deposited into the enforcement office’s account within seven days
- Reason if the auction could not be held
9. Bidding Process and Irrevocability of the Sale Request
Once the sale request has started the bidding process, it cannot be withdrawn. The enforcement officer documents by report if the auction could not be held or was cancelled due to:
- Failure to meet the minimum bid price
- The highest bidder not paying the auction price
- Full repayment of the debt before the bidding period ends if the dissolution of co-ownership lawsuit was filed due to debt
10. Second Auction and New Sale Request
- If the first auction is invalidated, a second auction is held on the previously announced date.
- The second auction is subject to the same conditions as the first.
- If no buyer appears or the sale conditions are not met in the second auction, the creditor may request a new sale date within the legal timeframe arising from the previous sale request.
- In this case, the deadline for requesting sale is suspended and resumes from where it left off as of the date of the report stating that the auction could not be held.
11. Extension of Time Due to Technical Issues
If a technical malfunction occurs in the electronic auction system, the enforcement officer shall take the following actions:
- If it is detected from the electronic sales portal records that no bids were made during the last 10 minutes of the auction, the auction period is extended by one day.
- In such a case, the enforcement officer clearly announces the new start and end dates of the auction and immediately publishes this information on the portal.
- The auction is restarted within three days from the date the extension decision is made.
- The participant who made the highest bid before the extension remains bound by their bid. Additionally, new participants may join the auction by providing the required deposit.
12. Registration of Ownership
Once the auction sale of the property is finalized, the process of transferring ownership to the winning bidder begins. Important points to consider in this stage are:
- If the winning bidder pays the full auction price within the legal 7-day deadline, the ownership of the property legally transfers to the buyer.
- The auction report and sales documents prepared by the enforcement office are sent to the Land Registry Office for registration.
- These documents have the status of an official deed for acquiring ownership, and the registration is performed directly without a court decision.
13. Complaints Against Auction Procedures
Although the auction process is conducted by the enforcement office, interested parties who suffer damage due to these procedures can file complaints within certain deadlines:
- Complaints must be submitted to the competent enforcement court within 7 days.
- Complaint subjects may include procedural errors in valuation, lack of proper sale announcement, irregularities during the auction process, or violations of auction terms.
- Complaints do not suspend enforcement proceedings; however, the court may temporarily postpone the sale.
- Complaints are usually examined based on the file, but hearings may be held if necessary.
14. Annulment of the Auction
After the auction is finalized, it may be annulled under certain circumstances, especially due to legal violations during the auction process. The main principles of annulment are as follows:
The annulment request must be made within 7 days of the sale (according to Article 134 of the Enforcement and Bankruptcy Law).
Grounds for annulment include:
- Improper announcement of the sale,
- Prevention of participation,
- Fraud or collusion,
- Sale below the appraised value by a significant margin.
The annulment case is conducted before the Peace Court, and until the decision is finalized, the transfer of ownership may be suspended.
If the court finds the annulment request justified, the sale is declared invalid and a new sale process is initiated.
Forced sale of property in Turkey, especially in dissolution of co-ownership lawsuits, is a complex legal and administrative process requiring meticulous care, particularly in stages like public auction, valuation, bidding, and transfer of ownership. The provisions of the Enforcement and Bankruptcy Law aim to balance the interests of the parties and protect public order.
IMPORTANT CONSIDERATIONS IN DISSOLUTION OF CO-OWNERSHIP IN TURKEY
Dissolution of co-ownership lawsuits have a unique procedural nature and require attention to the following key points:
- No Transactions Before Final Judgment: No legal transactions or disposals can be made on the disputed property until the dissolution lawsuit is finalized. This ensures that no legal uncertainty or disputes arise among co-owners before the termination of the co-ownership in Turkey.
- Court’s Authority – Physical Division or Sale: The court may decide to end the co-ownership either by physically dividing the property (partition in kind) or by ordering its sale. The court must first investigate whether physical division is feasible, especially if one party requests it.
- Appraisal for Sale Value: While the expert appraisal conducted during the lawsuit assists the court’s decision, the valuation for the sale is determined separately by the enforcement office during the execution phase.
- No Winning or Losing Party: The goal of the lawsuit is to terminate the co-ownership relationship over the property. Thus, there is no “winner” or “loser”; both parties cease to be co-owners once the case concludes.
- Reciprocal Nature of the Lawsuit and Withdrawal: The lawsuit is reciprocal—plaintiffs are defendants and vice versa. Even if one party withdraws, the court may continue to examine the case if other parties wish to proceed. Withdrawal by one party does not automatically result in dismissal.
- Sharing Litigation Costs: Since there is no winner or loser, the litigation costs and attorney fees are divided among the parties proportionally to their ownership shares.
- Ottoman Title Deeds: If the property is registered under an Ottoman title deed, it must first be converted to the current land registry system and registered in the names of the rightful heirs before the lawsuit proceeds.
- Usufruct Rights on Shares: A co-owner may establish a usufruct right on their share, granting the right to use and benefit from the property. Other co-owners must be notified of such rights. If within three months they request dissolution of co-ownership regarding the usufruct share, the sale price is calculated including the usufruct value.
- Sale of Shares During the Lawsuit: According to the Court of Cassation (Yargıtay), co-owners can sell their shares to third parties during the lawsuit. This does not affect the lawsuit’s progress, as no legal restriction exists on share transfer during litigation.
- Status of Tenants: If the property is sold while rented, tenant protection laws apply. The new owner is bound by the existing lease contract, including rights such as evacuation letter, rent increases, and objections to excessive rent hikes. If the new owner needs to occupy the property personally or for close family members, they may file a tenant eviction lawsuit based on necessity under Turkish Code of Obligations Article 351 or may seek a rent determination lawsuit according to legal provisions.
This summary provides an overview of essential aspects to consider in property ownership disputes and dissolution of co-ownership cases in Turkey, ensuring parties are aware of their rights and obligations throughout the process.
FIXTURES IN CO-OWNERSHIP DISPUTES IN TURKEY
In Turkish property law, fixtures (muhdesat) refer to the items, structures, or installations that complete the nature of an immovable property and function integrally with it. Fixtures are legally considered an inseparable part of the real estate and are included within the scope of ownership rights. However, disputes often arise between co-owners regarding the affiliation and ownership of such fixtures, leading to legal conflicts that require judicial resolution.
Scope and Purpose of the Affiliation Lawsuit on Fixtures
The primary goal of an affiliation lawsuit concerning fixtures is to establish the ownership or control rights of the fixtures between the property owner and other parties. This legal action seeks to determine whether the disputed fixtures are indeed an inseparable part of the property and lawfully belong to the property owner. Clarifying the status of fixtures is essential for all subsequent legal processes, including co-ownership termination (dissolution).
Relationship with Dissolution of Co-ownership Lawsuits and Preliminary Issue Status
Disputes about fixture affiliation frequently surface during dissolution of co-ownership lawsuits. Such disputes act as a preliminary (preclusive) issue, meaning the co-ownership lawsuit cannot proceed until the fixture affiliation question is conclusively resolved. This ensures that the co-ownership termination process is not compromised or delayed by unresolved subsidiary disputes.
Legal Consequences of Fixture Affiliation Disputes
Failure to reach an agreement on the affiliation of fixtures prolongs the litigation and creates uncertainty over the parties’ property rights. This complicates the exercise of rights by co-owners and impedes a fair and just conclusion of the dissolution process. Unresolved fixture disputes can lead to unnecessary delays, which may cause loss or infringement of rights.
Valuation of Fixtures and Calculation of Sale Price
When fixtures belong to one or more co-owners and are recorded as such in the land registry or when no dispute exists between the parties, separate valuations of the property and fixtures at the time of litigation are conducted. Based on these valuations, the ratio of fixtures to the total property value is determined. This ratio is then used to calculate the share of the sale price attributable to the fixtures during the sale executed for dissolution purposes. Such an approach ensures equitable distribution of the proceeds.
Conclusion and Legal Recommendations
In summary, lawsuits concerning the affiliation of fixtures hold critical importance in co-ownership dissolution cases and represent a decisive preliminary matter. Without a final determination regarding fixtures, effective and result-oriented progress in dissolution lawsuits cannot be achieved. Cooperation and consensus between the parties can accelerate proceedings and prevent rights losses. Legally, the swift and clear resolution of fixture affiliation disputes enhances the efficiency of dissolution lawsuits in Turkey and facilitates equitable outcomes for all involved parties.
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