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Court of Cassation ruling on prepaid rent: Period after sale belongs to the new landlord

The Court of Cassation has ruled that in the event of a property sale, the portion of rent collected in advance that corresponds to the period after the sale date must be paid by the former owner to the new owner.

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Court of Cassation ruling on prepaid rent: Period after sale belongs to the new landlord

The 3rd Civil Chamber of the Court of Cassation has ruled that if a property for which rent has been paid in advance is sold, the rent corresponding to the period after the date of sale belongs to the new landlord.

According to the decision published in the Official Gazette, the dispute arose after a residence in Ankara changed hands on December 18, 2023. Y.Ö., who purchased the house, requested payment from the tenant for the rental period beginning on December 15. The tenant stated that they had already paid this amount to the previous owner, B.K.

Following this, the new owner, Y.Ö., demanded the portion of the rent covering the period after the sale from the former owner. When the request was rejected, a lawsuit was filed. The Ankara 14th Civil Court of First Instance dismissed the case on the grounds that the right to receive the rent at the time of the sale belonged to the former owner.

Upon the Ministry of Justice's request for an appeal in the interest of the law, the file was moved to the 3rd Civil Chamber of the Court of Cassation. The Chamber found the local court's decision to be contrary to the law and overturned it, without affecting the final outcome.

The decision emphasized that, in accordance with the Turkish Code of Obligations No. 6098, the person who purchases the residence becomes a party to the rental agreement as of the date of the sale.

''The plaintiff, who purchased the leased property on December 18, has the authority to collect the rent as of this date, and the defendant landlord, who collected the rent in advance, is obligated to return the rent corresponding to the period after the date of sale to the plaintiff.''

Thus, the Court of Cassation has indicated that even if rent was paid in advance to the former landlord before the sale of the residence, the rent receivable for the period after the date of sale belongs to the new owner.



News Source: 12punto

Court of Cassation rent property sale Turkish Code of Obligations Ankara Ministry of Justice