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REAL ESTATE LAW · RIGHT OF OWNERSHIP

Promise to Sell, Fiduciary Transfer and Pre-Emption Actions

Registration based on a contract, transfers for security, acquisition from a contractor and exercise of the right of pre-emption.

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Title Cases Arising from a Fiduciary Transfer

The allegation that a property was transferred to another person as security, to secure a debt, for temporary safekeeping or for a particular purpose, but was not returned even though the agreed conditions were met, may give rise to a fiduciary transfer dispute.

In this context:

  • Property transfers made as security
  • Failure to transfer the property back although the debt was paid
  • Allegations of a temporary transfer or a transfer for a specific purpose
  • Assessing written evidence, a commencement of written evidence and supplementary evidence
  • The position of subsequent owners who knew or should have known of the fiduciary transaction
  • Examining claims for cancellation and re-registration of title, monetary claims and compensation together

Promise to Sell Immovable Property and Actions to Compel Registration

Where a land registry transfer is not made despite a valid promise to sell immovable property or a contract creating an obligation to transfer ownership, an action to compel registration or connected monetary and compensation claims may be assessed after examining the form of the contract, the parties’ performances, the possibility of performance, the land registry record and the acquisitions of third parties.

In this context:

  • Promise-to-sell agreements for immovable property drawn up by a notary
  • Annotation of the promise to sell in the land registry
  • Payment of the sale price and the parties’ reciprocal performances
  • The promisor’s avoidance of the land registry transfer
  • Transfer of the property to a third party or creation of a right over it
  • Refund of the price, monetary claims and compensation where registration is not possible
  • The legal nature of consumer transactions, housing projects and purchases from contractors

For contract and title review in the real estate purchase process, see the Property Purchases and Title Review page.

Registration Claims Based on Rights of Pre-Emption, Purchase and Repurchase

Rights of pre-emption, purchase and repurchase arising from statute or contract may, once their conditions are met, give rise to actions and registration claims aimed at transferring ownership of the property to the rightholder. The source of the right, whether it was annotated in the land registry, notification of the sale to the rightholder, the date on which the right was exercised, the sale price and the position of the third party are examined together.

In this context:

  • The statutory right of pre-emption arising from co-ownership in shares
  • The contractual right of pre-emption
  • Rights of purchase and repurchase
  • Annotation of the rights in the land registry and their effect on third parties
  • Assessing the time limits for notification of the sale and exercise of the right
  • Examining the sale price against the price shown at the land registry
  • Claims for cancellation of the land registry record and registration in the name of the rightholder

For pre-emption, rights of way, easements and other neighbor and ownership disputes, see the Property and Neighbor Disputes page.

Title Cases Arising from Construction in Return for Land Share and Acquisition of Property from a Contractor

In construction relationships in return for a land share or for units, the shares transferred to the contractor, the landowner’s claims to terminate the contract and the legal position of third parties who acquired independent units from the contractor are assessed together.

In this context:

  • Claims for return of the land shares transferred to the contractor
  • Allegations of rescission of the contract or of termination with retroactive effect
  • Acquisitions of third parties who bought property from the contractor
  • The percentage of completion of the construction and performance in line with the contract
  • Separating claims for cancellation and re-registration of title from monetary and compensation claims
  • Interim injunction, annotation of pending litigation and connected protective claims

For construction contracts and contractor disputes, see the Construction Law page.

Current Time Limit and Price Distinction in Pre-Emption

The amendment made to Article 733 of the Turkish Civil Code (TMK) by Law No. 7571 does not apply to sales made before its entry into force. Under the new provision, the period is three months after notification through a notary and in any event one year from the sale; for a sale subject to the former provision, the distinction of the two-year upper limit is observed. The dates of the sale and of notification must be checked together.

The price to be deposited

Under the amendment to Article 734 of the TMK, the market value of the share as determined by the judge and the land registry costs borne by the buyer are to be deposited within the final period set, to be placed on interest-bearing account. Under the transitional provision, this price rule also applies to actions filed earlier. No step should be taken on the assumption that the former land registry price alone is sufficient.

If registration is not possible

The form of the contract, the reciprocal performances, the annotation, the current owner and the contractor’s performance are examined. The options of registration, refund of the price, compensation for loss or termination of the contract are determined according to the circumstances of the file; it is not assumed that the same result applies to every contract.

This content is general information. Information and documents you share are kept confidential and used for legal assessment and within the agreed scope of service. An inquiry alone does not create an attorney–client relationship and does not stop time limits. The legal conditions of the specific matter are reviewed separately.