KÜHEYLAN HUKUK
Dissolution of Partnership (İzale-i Şuyu) Case and 2026 Amendments TMK art. EBL articles amended by Law No. 698, 699 and 7589. Share Title Deed, Inheritance Real Estate and Sales Process within the Scope of 114 have been updated as of 2026
If the stakeholders cannot agree on a real estate subject to joint or joint ownership, each of them may request that the partnership be dissolved. The lawsuit is filed against all stakeholders in the Civil Court of Peace where the real estate is located, and it is mandatory to apply to a mediator beforehand. The court first investigates whether division is possible; If it is not possible, it decides to sell the real estate by auction. Law No. 7589, which came into force on July 31, 2026, stipulated that the first auction for immovable properties acquired entirely by inheritance should be made only among the heirs and abolished the collateral exemption of the stakeholders.
In Turkish law, the ownership rights of more than one person on the same real estate arise in two ways. In shared ownership, each owner has a certain share (for example 1/4) in the title deed and can sell this share alone. In joint ownership, the shares are not certain; The partnership of the heirs on the estate is the most typical example of this, and as a rule, the heirs must act together.
In both types of partnerships, when stakeholders cannot agree on management, use or sale, the real estate remains idle and taxes and maintenance costs accumulate. The lawsuit for dissolving the partnership is a recognized right to end this deadlock. TMK m. According to Article 698, each of the stakeholders may wish to share, unless a prohibition on sharing is imposed by a legal transaction or by the real estate being dedicated to a permanent purpose. This request does not expire.
Article 18/B of Law No. 6325 has made mediation a condition of litigation as of September 1, 2023, in disputes regarding the dissolution of partnership in movable and immovable properties. During the mediation stage, one of the stakeholders may purchase the shares of the others, the real estate may be divided by agreement, or a joint sale to a third party may be agreed upon. The agreement reached in this way avoids a trial that could take years and the risk of selling below value at auction.
If no agreement is reached, the final report is added to the lawsuit petition. A lawsuit filed without a report is rejected due to procedural reasons.
In the case of dissolving the partnership, all stakeholders in the land registry must take part in the case. Every stakeholder who is not a plaintiff is shown as a defendant. If one of the stakeholders dies, his heirs join the case instead; For this reason, the inheritance certificate (decision of inheritance) must be submitted to the file. For inheritance real estate that has not been transferred to the land registry, the court gives the plaintiff time to obtain an inheritance certificate. The competent court is the Civil Court of Peace. In terms of real estate, jurisdiction is absolute and the lawsuit is filed in the court where the real estate is located. The trial is subject to simple trial procedure.
4. Ditto Split or Sell?
TMK m. According to Article 699, sharing is done by dividing the real estate exactly. If division as is is not possible or will lead to a significant decrease in the value of the property, a decision is made to sell it. The court makes this evaluation through discovery and expert examination. For plots and lands, zoning legislation, minimum parcel size and Law No. 5403 limiting the division of agricultural lands are taken into account; These boundaries often make it impossible to divide exactly.
In buildings with more than one independent section, establishing a condominium and giving each stakeholder an independent section appropriate to their share can be considered as a division method. For this, the number of independent sections and their values must be compatible with the number of stakeholders and the building must be suitable for condominium ownership. Differences in value can be eliminated by paying money (equalization).
If there is a building, tree or facility on the real estate that one of the stakeholders built with their own means, it may be requested to determine who owns it. If the ownership of the property is determined by a court decision, the portion of the sales price falling on the content is paid to that stakeholder. The claim of imposition may also be put forward in a separate determination case during the trial; In this case, the case for dissolving the partnership may be put on hold.
After the sales decision is finalized, the sales officer carries out the transactions. First, the valuation is made by an expert; Stakeholders may object to this assessment within seven days from the notification. The sale is made by auction through the UYAP Electronic Sales Portal. Law No. 7589, published in the Official Gazette dated July 31, 2026, made significant changes at this stage.
Real estate acquired entirely by inheritance public auction The first auction is made once only between the owner's heirs; The offer must exceed the full estimated price
If there is no sale in the first auction (There was no separate method) The second auction is open to everyone; Fifty percent of the estimated price is taken as basis
Stakeholder assurance The stakeholder was exempt from guarantee in proportion to his share Stakeholders also deposit a guarantee of ten percent of the estimated price; exemption reserved for Treasury only
Buyer who does not pay the tender price General provisions The deposit is non-refundable; In addition, an administrative fine of five percent of the bid price is imposed.
transitional provision The new rules do not apply to sales announced before July 31, 2026. What is decisive is not the date of the lawsuit, but the date of the sale announcement.
This priority given to heirs aims to prevent the transfer of family real estate to foreigners at a low price. However, the rule does not apply if there is a stakeholder who is not an heir in the real estate. For example, if one of the stakeholders has sold its share to a third party, the first auction is made public. Some ambiguities of the law regarding these concepts have not yet been clarified by established jurisprudence; The title deed record and chain of transmission must be examined in the concrete file.
As a rule, litigation expenses and attorney fees are charged to the stakeholders in proportion to their shares. Before the sales price, sales expenses and any preferential receivables (for example, mortgage receivables) are deducted; The remaining amount is distributed to the stakeholders in proportion to their shares in the title deed. Stakeholders or third parties using the real estate after registration is made on behalf of the tender buyer, EBL art. In accordance with Article 135, he can be released through the enforcement office.
Four siblings share the single-flat detached house in Üsküdar, which they inherited from their father. One of the siblings lives alone at home and does not consent to the sale. The other three siblings applied to mediation, but no agreement was reached. The sale announcement will be made in September 2026.
It is not possible to divide the real estate consisting of a single residence into four shares; The court decides to dissolve the partnership through sale. Since the entire property was acquired by inheritance and there is no third party stakeholder, the first auction is made only between the four siblings. The sibling living at home can buy the property by bidding above the estimated price; However, he must now deposit collateral. Other siblings may also consider demanding a usage fee (ecrimisil) against this sibling.
Can a shareholder with a small share file a lawsuit?
Yes. The size of the share does not affect the right to sue. A shareholder with 1/100 share may also request the dissolution of the partnership.
Can I sell my share after a lawsuit is filed?
It is possible to sell shares in joint ownership; However, other stakeholders may have pre-emptive rights. In case of sale, the new owner is included in the case.
How long does the case take?
Although it varies depending on the number of stakeholders, notification problems, ownership claims and appeal stage, the litigation and sales process is completed within one to three years in most cases. An agreement in mediation can reduce this period to a few weeks.
Can a stakeholder living abroad prevent the lawsuit?
He cannot prevent it; However, notification abroad extends the period. For this reason, determining the current addresses of the stakeholders before the lawsuit saves time.
Forgetting to include a stakeholder in the case, especially the heirs of a deceased stakeholder.
Filing a lawsuit without attaching the final mediation report.
Not objecting to the valuation within seven days and consenting to the sale at a low price.
Trying to assert the imposition claim after the sale.
Participating in the tender without knowing the new guarantee rule and causing the bid to be deemed invalid.
The lawsuit to dissolve the partnership is the definitive solution to the deadlock in shared title deeds and inheritance real estate. However, the case requires family relations, real estate value and new tender rules to be taken into consideration together. While Law No. 7589 allows heirs to protect family real estate, it also tightens their guarantee and payment obligations.
Küheylan Law Firm aims to establish a reasonable basis for agreement between the stakeholders during the mediation phase, and in the absence of agreement, to manage the case, property determination, objection to valuation and tender process in a way that protects the economic benefit of the client.
Important Legal Notice: This guide has been prepared for general information purposes and does not constitute legal advice. Legislation and Supreme Court practice may change over time; The unique circumstances of each dispute require a separate legal assessment. Küheylan Law Firm cannot be held responsible for the consequences that may arise from transactions based on this text.
KÜHEYLAN HUKUK