BERK – New communiqué regulating off plan sales in Turkey

New communiqué regulating off plan sales in TurkeyOverseas investors now have more protection against property scams in Turkey. I would strongly recommend that foreign buyers ask for the assistance of a lawyer when signing the agreement, and the same lawyer can act on behalf of the buyer from A-Z, including the finalization of the deal with the developer, signing the agreement, if there is a financing agreement, the execution of the agreement and finally the registration of the property in the name of the foreign investor at the end of the process.

All of these actions can be fulfilled without the buyer and by the lawyer who has a valid power of attorney. Please consider giving power of attorney to a lawyer as you will be under their protection, and it will minimize your risk of failing to comply with the law.

A communiquandeacute recently released concerning Turkish consumer law and off plan sales introduces new mechanisms that benefit off plan buyers. The communiquandeacute was published by the Ministry of Customs and Trade on Nov.

27 in the Official Gazette, number 29188, and came into force on the same day. The legal basis for this communiquandeacute is articles 46 and 84 of the law on protection of consumers dated Nov 7, number 6502.

If you need any further details please do not hesitate to send me an e-mail and ask questions about this matterOne of the most important issues concerning the definitions is the difference between a buyer who is buying for non-commercial purposes and a buyer Those who are acting for commercial purposes will not be considered consumers under this law. The communiquandeacute makes the developers andor its agents responsible for informing the consumers about the details of the property (this includes the net and gross square meter size of the property — this was a very vague issue abused by some developers in the past) and the project at least one day prior to the signing of the pre-paid residential property sales agreement.

The seller must also inform the consumer about the management of the property and what would be the property management fees after the delivery of the residential property. The communiquandeacute further stipulates that a prepaid residential property sales agreement must be made in writing or before a notary public as a promise to sell agreement.

It was the case that some developments were being sold before a construction license had been issued for the development. The communiquandeacute stipulates that no prepaid residential property sales agreement can be executed without obtaining a construction license.

In a similar format with the information obligation of the seller the communiquandeacute states that a prepaid residential property sales agreement must include vital information in the content of the agreement.What about termination and andldquostep backandrdquo rights? The communiquandeacute provides that consumers shall have several rights when they would like to back away from or terminate the agreement.

The most interesting one is that the consumers now have the right to step back and walk away without any obligations within 14 days following the signing of the agreement.NOTE: Berk ektir is a Turkish lawyer and available to answer questions on the legal aspects of living and doing business in Turkey.

Please kindly send inquiries to bcektir@todayszaman.com If a senderand#39s letter is published, names may be disclosed unless otherwise is expressly stated by the senderDISCLAIMER: The information provided here is intended to give basic legal information.

You should get legal assistance from a licensed attorney at law while conducting legal transactions and not rely solely on the infor.

SOURCE: Today’s Zaman