The following provisional article was added to the Turkish Code of Obligations numbered 6098 with the “Law Amending the Law on Attorneyship and the Turkish Code of Obligations” numbered 7409 and published in the Official Gazette numbered 31863 and dated 11 June 2022.
Provisional Clause 1 – From the day this article enters into force until 01.07.2023 (including this day), agreements for increases in rental fees for residential leases for renewed rental periods shall be valid only if the determined increase in price does not exceed twenty-five percent of the previous year’s rental fee. If the previous rental year’s twelve-month consumer price index average falls below twenty-five percent, this rate shall be applied. This rule shall also be applied to lease agreements that are longer than one year. Any agreement which exceeds this amount shall be invalid in terms of the exceeding amount. This clause shall also be applied to the decisions made by judges based on the second paragraph of article 344.
In accordance with this provisional clause, which was added to the Turkish Code of Obligations, a new limitation has been imposed on the rate of increase to rental fees for new lease periods in terms of residential leases. According to this, if a lease agreement is renewed between 11.06.2022 and 01.07.2023, the new rental fee shall not exceed 25% of the last rental period fee. If the twelve-month consumer price index average of the previous year is below 25%, then this rate shall be used. If the increase rate determined in the agreement is below these two rates, the increase rate determined in the agreement shall be applied.
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