“12th Judicial Package: Compulsory Lawyer Requirement for Property Deeds”

12th Judicial Package, the most talked-about and debated regulation regarding land registry and property transactions is the draft proposal for the "Mandatory Attorney Requirement in Land Registry Transactions."

Stated by Minister of Justice Akın Gürlek and closely concerning the real estate sector, the prominent details regarding this regulation are as follows:

1. Mandatory Attorney Requirement for Transactions Above 30 Million TL

Although initially reflected in the press with different figures, the threshold value has been clarified through official corrections and set at 30 Million TL.

• Scope: For high-value real estate purchase, sale, and transfer transactions with a value of 30,000,000 TL and above, it is planned that both the buyer and the seller must either have an attorney present during the transactions or carry out their transactions through a power of attorney granted to a lawyer.

• Exemption: Since the vast majority of standard residential property transactions will remain below this amount, there will be no changes or additional costs in the daily land registry transactions of ordinary citizens.

2. What is the Purpose of This Regulation?

The Ministry of Justice and legal circles state that there are two main motivations behind this regulation:

• Preventive Law and Transaction Security: To prevent fraud cases, loss of rights, and irregularities experienced during high-value real estate sales, construction agreements in return for land shares, and promise-to-sell contracts at the very moment of the transaction (before reaching the litigation stage).

• Reducing the Judicial Workload: To prevent deed cancellation and registration lawsuits arising from erroneous land registry transactions, which often drag on for years.

3. Other Real Estate Regulations: Dissolution of Partnership (Izale-i Şuyu)

Another important heading concerning property rights in the draft Judicial Package is the lawsuits for the dissolution of partnership.

• Priority Purchase Right for Heirs: During the forced sale of inherited real estate through foreclosure, it is planned to introduce a priority purchase right (facilitating mechanisms similar to the right of pre-emption/shufa) for heirs. This aims to make it harder for third parties to acquire the property and to protect the integrity of family ownership.

4. Current Status and the Legislative Process

Although the regulations in question are strongly featured in the framework draft announced by the Ministry of Justice, the final deliberations on the legislative proposal in the Parliamentary committees and the legislative process are still ongoing. The exact terms under which the mandatory attorney requirement in land registry transactions will become law will become definitive after it is approved by the Grand National Assembly of Türkiye (TBMM) General Assembly and published in the Official Gazette.