Registering the title in the buyer's name does not mean that the sale price was necessarily paid. However, non-payment of the price alone does not cancel the title. In a genuine and valid sale, the seller's principal right is to claim the unpaid price. If the buyer defaults after the transfer and the seller wants the property back, the right of rescission expressly reserved under Article 235/3 of the Turkish Code of Obligations (TBK) is what matters. If there was deception during the sale or misuse of a power of attorney, these are separate legal grounds and each must be proven on its own conditions. 1 2 5 6 7
Why does unpaid price not always justify title cancellation?
In a sale contract, the seller undertakes to transfer ownership and the buyer undertakes to pay the price. Payment may be agreed in instalments or at a later date. If the seller accepts this arrangement and makes the transfer, the buyer's later failure to pay does not by itself remove the original intention to sell. The breached debt and a defective will must be kept apart. 1
For example, the seller may have agreed that the price would be paid three months later, transferred the property and not reserved a right to take it back. When the due date arrives and no payment is made, the first issue is the claim and default. By contrast, if the seller was persuaded to transfer by presenting a bank transfer as if it had been made when no such transfer existed, deception is assessed separately. The two situations cannot be resolved by the shared statement that "the money did not arrive".
The 2025 decision: deferred sale and claim for current market value
In the decision of the 1st Civil Chamber of the Court of Cassation (Yargıtay 1. Hukuk Dairesi) dated March 10, 2025, E.2025/662, K.2025/1216, the case concerned a sale whose price was paid later. After an earlier reversal, the request to cancel the title was rejected, and the part of the judgment ordering recovery of the agreed price was upheld. The claimant's request for the current market value of the property was not considered sufficient to go beyond the sale price in the file and the binding scope of the reversal. 5
The lesson of the decision is that the unpaid price of a valid sale and the later increase in the property's market value are not the same claim. If there is a claim for additional loss, its own conditions and evidence must be set out. Claiming "today's house value" in every debt file does not by itself create a legal basis.
When can the right of rescission be exercised?
Different rules before and after the transfer
TBK Article 235 regulates rescission from a sale linked to payment of the price, and Article 246 makes the rules on movable sales apply by analogy to the sale of immovable property. Where delivery has not yet taken place when the price fell due, rescission under the statutory conditions may be considered. By contrast, where possession was transferred before the price was paid, taking the property back because of the buyer's default depends on the right having been expressly reserved in the contract. In land registry files where the title has been transferred, the Court of Cassation takes this special regulation into account. 1 5 6
For further details, see the article on default and elective rights (TBK Article 125).
The statement "the price will be paid later" and the statement "if it is not paid, the right of rescission is reserved" are not the same. The first may only govern the due date. The second's scope, validity and relation to the official transaction must be examined separately. A reminder sent later does not by itself create a right to take back that was not in the contract.
Even with an express clause, the title does not revert automatically
The conditions for rescission are examined: whether the debt is due, whether payment was made and whether the right was properly exercised. If the buyer opposes the transfer back, a court judgment may be needed to correct the land registry record. In the meantime, mutual restitution, use of the property and any rights acquired by third parties also enter the file. A later owner of the property or a mortgage creditor cannot be deprived of their rights merely by reference to a contract between two persons. 1 2
How is fraud distinguished from a mere breach of the debt?
In a fraud claim, the effect of the deceptive conduct on the will to contract or to transfer must be shown. A fake payment receipt, presenting a transfer as if it had been made, an arrangement set up by persons acting together to mislead, or concrete false information given at the time of sale can be examined from this angle. However, the buyer's later financial difficulty does not by itself prove that there was fraud at the outset. 1
For further details, see title cancellation due to fraud, mistake and duress.
Where fraud was committed by a third party, additional conditions arise, such as whether the other party knew or ought to have known of it. A dispute that begins after the property has been transferred does not automatically create fraud with retroactive effect. The petition must state who did what, when, and how that conduct influenced the will.
In notifying that the parties are not bound by the contract on the ground of fraud, the one-year preclusive period under TBK Article 39 is linked to the discovery of the deception. This period is not the same as the general statute of limitations on the sale debt. Filing a criminal complaint does not replace the claims and time-limit management in the civil action. 1
The 2025 decision: why was the price claim examined when cancellation was rejected?
In the decision of the 1st Civil Chamber of the Court of Cassation dated December 8, 2025, E.2024/5797, K.2025/5772, the rejection of the title cancellation was found appropriate because fraud could not be proven. However, because the evidence that the defendant had paid the full price was not sufficiently examined, the decision was reversed in respect of the price claim. The chamber thus showed that the failure of the title claim does not remove a properly raised alternative claim for the debt. 6
For this reason, where a title cancellation claim is brought, the amount, basis and defendant of any price claim must be clearly stated. The idea that the court will make every possibility the subject of the claim on its own does not fit with the principle that the court is bound by the claim. 3
If an agent made the sale, from whom should the price be claimed?
The buyer may have paid an attorney-in-fact authorised to collect the money, and the attorney-in-fact may not have passed it on to the owner. In that case, whether the buyer performed the payment obligation and the attorney-in-fact's duty to account and to hand over what was received are different matters. The attorney-in-fact holding the money does not in every case require the cancellation of a good-faith buyer's title. The scope of the power of attorney, the relationship between the parties and the buyer's knowledge are examined. 1 2
If it is alleged that the buyer caused loss to the owner together with the agent, concrete facts of cooperation must be shown. Understating the sale price, the payment channel and the closeness of the parties may be evaluated as a whole; none of these always gives a definitive result on its own. By contrast, the agreement concluded by the buyer's own attorney-in-fact on the basis of the authority granted by the buyer is also examined separately under the rules on representation.
The decision of the 1st Civil Chamber of the Court of Cassation dated April 2, 2026, E.2025/3148, K.2026/2653, concerns an instalment sale agreement concluded with the buyer's representatives and an unpaid price. The judgment that rejected the title cancellation and accepted the price claim was upheld, with particular attention to the appellant's capacity. A valuation based on current values in the file does not mean that the same valuation method is mandatory for all price claims. 7
What is the statutory mortgage in favour of the seller?
Turkish Civil Code (TMK) Article 893 allows the seller to request registration of a statutory mortgage over the property sold, to secure the claim arising from the sale. This right should not be thought of as a security that is written to the title deed automatically and requires no action. Under TMK Article 894, registration of the seller's mortgage within three months following the transfer of ownership is important. 2
Confusing the three-month period with the statute of limitations on the sale claim may lead to loss of rights. The continuation of the price claim does not mean that the period for registering the statutory mortgage continues indefinitely. The scope of the claim, the registration conditions and the route of application in a dispute must be assessed without delay.
A mortgage provides security; when the buyer does not pay, the seller does not become the owner again automatically. Enforcement of the security, the scope of the pledge and the ranking of other creditors are separate matters. Therefore, establishing payment security and collateral before the title is transferred offers a different kind of protection from filing a recovery action after a dispute arises. 2 4
Which claim serves which purpose?
| Claim | Basic condition | Expected result |
|---|---|---|
| Sale price claim | Valid debt, maturity and unpaid amount | Recovery of the money |
| Default interest and appropriate additional loss | Delay and the related liability conditions | Monetary consequences of the delay |
| Restitution based on a reserved right of rescission | Valid express clause and the conditions having occurred | Mutual settlement and an appropriate title request |
| Cancellation for fraud | Effect of the deception, time limit and other conditions | Application of the consequence of invalidity |
| Registration of the seller's mortgage | Statutory conditions and the three-month period | Protection of the claim by a security in rem |
These different claims are assessed separately as to whether they can be brought together in the same case. Whether to continue collecting the debt or to make a declaration of rescission from the contract must be examined according to the nature of the elective rights. The claims must not produce a duplicate recovery of the same loss.
How is non-payment of the price proven?
An official deed, a statement acknowledging receipt of the price, a separate payment plan, an acknowledgment of debt, bank records, cheques and promissory notes are assessed together. Asserting something contrary to an official document does not necessarily follow the same evidentiary regime as proving fraud. The rules on proof by written document and their exceptions in the Code of Civil Procedure (HMK), Articles 200–203, must be observed. 3
The first step is to prepare a calculation showing the total agreed price and each payment on a separate line. Payment descriptions on receipts, transfers that were returned and payments made to third-party accounts should be marked. Where the buyer says "I paid in cash", the statutory means by which this defence is proven are examined. If the seller claims an amount different from the official document, the seller must show the basis for that amount. 6
Issuing a cheque or promissory note does not always mean that money was collected. The purpose for which the document was issued, whether it was collected and its relation to the underlying debt must be determined. The same debt must not be collected twice, through both an enforcement proceeding on the instrument and a judgment for the claim. Ongoing enforcement proceedings relating to the payment schedule should also be included.
How to choose between an action, enforcement and interim protection?
Depending on the nature of the document in hand, an action for the debt or an appropriate enforcement route may be considered. In a title cancellation dispute, an interim injunction may come up; in a monetary claim, precautionary attachment under the Enforcement and Bankruptcy Law (İİK), Article 257 et seq., may come up subject to its conditions. It should not be assumed that a transfer ban will be placed on the property for every monetary claim. The protection requested must be connected to the right asserted and proportionate to it. 3 4
For further details, see interim injunction and precautionary attachment.
The competent court and mediation are determined according to the parties to the sale and its nature. An ordinary sale, a consumer transaction and a commercial sale are not necessarily subject to the same procedural route. In a title cancellation claim, the exclusive jurisdiction of the place where the property is located applies; for a claim for the price alone, the relevant jurisdiction rules are examined separately. 3
For the general sale price claim, the ten-year period and the start of maturity are assessed under TBK Articles 146 and 149. The instalment due dates, any acknowledgment of the debt and acts that interrupt the period are also important. The one-year period for fraud and the three months for the seller's mortgage are not sub-headings of this ten-year period; each concerns a different right. 1 2
For related topics, see our articles on title cancellation and registration based on a promise of sale, title registration and refund of the price in an informal property sale, termination of a land-share-for-construction agreement and transfer of property under a divorce protocol, as well as our page on title cancellation and registration actions.
Conclusion
If no money has been received after the title was transferred, first determine whether there is a debt for the sale price, a reserved right of rescission, or a separate unlawfulness affecting the will. The correct claim is built on the contract and the payment records. Where title cancellation is not possible, correctly pursuing the sale debt, its interest and the existing security is decisive for protecting the seller's rights.
Frequently Asked Questions
I transferred the title but the money did not come; is the title taken back automatically?
No. As a rule, an unpaid price gives rise to a claim right. If there is a rescission clause, fraud or another ground for cancellation, it must be assessed separately. 1 5
Is it enough for the contract to say only that the price will be paid later?
That expression alone may not mean that a right to take the property back was expressly reserved. The time of payment and rescission on default are different regulations. 1
If the buyer paid my attorney-in-fact, can I claim the money again?
The attorney-in-fact's authority to collect and the validity of the payment are examined. If the payment is valid, the problem may lie in the attorney-in-fact's duty to account and to pass on the money. 1
Does a fraud complaint bring the title back?
A complaint alone does not change the land registry record. The basis of the civil action, its claims, its evidence and its time limits must be pursued separately. 1 3
The house has gained value; can I receive today's value instead of the sale price?
Not automatically. In a valid sale, the debt agreed in the sale is the basis. A different loss or value claim requires its own legal basis and proof. 5 7
How long is there to register the seller's mortgage?
TMK Article 894 provides for registration within three months following the transfer of ownership. This period is separate from the general statute of limitations on the sale claim. 2
If the cancellation claim is rejected, will my price claim also be rejected?
A properly raised price claim is examined on its own conditions. Decision 2025/5772 shows that the outcome may differ for cancellation and for the monetary claim. 6
Does sending a formal notice alone interrupt the statute of limitations?
A notice may have an effect on default and on evidence, but a single notice is not in every case an act that interrupts the statute of limitations. The conditions in TBK Article 154 and the related enforcement provisions are examined separately. 1
Sources and legal bases
1 — Law No. 6098, Turkish Code of Obligations (6098 sayılı Türk Borçlar Kanunu), especially Articles 36, 39, 112, 117–125, 146, 149, 154, 207, 235, 246 and 508.
2 — Law No. 4721, Turkish Civil Code (4721 sayılı Türk Medenî Kanunu), Articles 893–894, 1023–1025.
3 — Law No. 6100, Code of Civil Procedure (6100 sayılı Hukuk Muhakemeleri Kanunu), Articles 12, 26, 111, 190, 200–203, 389 et seq.
4 — Law No. 2004, Enforcement and Bankruptcy Law (2004 sayılı İcra ve İflas Kanunu), debt enforcement, enforcement of pledges and Article 257 et seq.
5 — Court of Cassation, 1st Civil Chamber (Yargıtay 1. Hukuk Dairesi), March 10, 2025, E.2025/662, K.2025/1216, full text of the decision accessed, secondary publication.
6 — Court of Cassation, 1st Civil Chamber (Yargıtay 1. Hukuk Dairesi), December 8, 2025, E.2024/5797, K.2025/5772, full text of the decision accessed, secondary publication.
7 — Court of Cassation, 1st Civil Chamber (Yargıtay 1. Hukuk Dairesi), April 2, 2026, E.2025/3148, K.2026/2653, full text of the decision accessed, secondary publication.