A precedent-setting decision has been issued by the Court of Cassation regarding the debate over who is responsible for litigation costs and attorney fees in rent determination cases if the tenant vacates the property before the new rental period begins while the case is still ongoing.
The 3rd Civil Chamber of the Court of Cassation ruled that if a case filed before the period for which the rent is to be determined becomes moot because the tenant terminates the contract within the legal timeframe and vacates the property, it cannot be said that the tenant caused the lawsuit to be filed. Therefore, it was stated that the tenant cannot be held responsible for litigation costs and that these costs must be left to the landlord.
The decision was made following conflicting practices that emerged on the same issue among the civil chambers of the regional courts of justice in Istanbul, Bursa, Antalya, and Sakarya. Upon the emergence of a disagreement in the final decisions of the regional courts of justice, the Board of Presidents of the Civil Chambers of the Istanbul Regional Court of Justice applied to the Court of Cassation to resolve the dispute.
In the chamber's decision, it was recalled that a rent determination lawsuit can be filed at any time; if the lawsuit is filed at least 30 days before the new rental period, the rent amount to be determined will bind the tenant from the beginning of the new period. For this reason, it was emphasized that there is no violation of procedure or law in the landlord filing a lawsuit for the determination of the rent amount before the renewed rental period begins.
However, the decision also stated that the tenant has the right not to renew the contract by providing notice at least 15 days before the expiration of the lease agreement. It was noted that if the tenant exercises this legal right and vacates the property before the new rental period begins, the rent determination lawsuit will become moot.
The Court of Cassation's decision included the following assessment: “A rent determination lawsuit can be filed before the new rental period begins. However, if the tenant vacates the property before the new rental period begins and the case becomes moot for this reason, it cannot be said that the tenant caused the lawsuit to be filed.”
The chamber also emphasized that the fact that a landlord can file a rent determination lawsuit at any time under the Turkish Code of Obligations No. 6098 does not eliminate the tenant's right to terminate the contract within the legal timeframe. Accordingly, the tenant's exercise of a right arising from the law will not, by itself, lead to the conclusion that the filed lawsuit was justified.
The 3rd Civil Chamber of the Court of Cassation decided to resolve the conflict in practice in accordance with these principles and to send the file to the Board of Presidents of the Civil Chambers of the Istanbul Regional Court of Justice.
News Source: 12punto