Legal Bulletin
Turkey Legal News — 25 May 2026: Court Voids HMK Appeals Cap
Published 25 May 2026·11 min read
This week's Turkish law headlines centre on two landmark Constitutional Court rulings: the annulment of the monetary threshold barring cassation review when appeal courts rule in a party's favour, and the strike-down of a provision allowing property registration before expropriation compensation is finalised. On the legislative side, Law No. 7579 capped condo service charge increases, and new Health Ministry regulations restricted gun permit eligibility for people with active psychiatric diagnoses.
Legal Profession
TBB and 69 Bar Associations: Lawyers' Prison Visit Times Are Private Data, Not News
The Turkish Bar Association (TBB) and 69 bar associations issued a joint statement after a broadcaster published the prison entry and exit times of lawyers visiting detained Istanbul Mayor Ekrem İmamoğlu at Silivri Prison. The statement characterised the disclosure as a breach of personal data law (Law No. 6698, KVKK) and a direct threat to the right to a fair defence.
CPC Art. 154 guarantees a suspect's right to meet their defence counsel freely and in confidence. Disclosing lawyers' visit schedules goes beyond a logistical detail — it enables inference about defence strategy and exposes lawyers to surveillance pressure. The bars argue that even information appearing logistically neutral can constitute protected personal data when it relates to the attorney-client relationship.
For criminal defence lawyers, the statement reinforces the legal argument that third-party disclosure of any information derived from the lawyer-client interaction — however indirect — may trigger both KVKK liability and disciplinary consequences.
Bar Association Meets CHP Leader, Issues Joint Statement on Rule of Law
TBB President Av. Erinç Sağkan led a delegation to meet CHP leader Özgür Özel, after which both sides issued a joint press statement. The full text was not released publicly; reports indicate the meeting covered judicial independence, unenforced Constitutional Court decisions, and current challenges facing the legal profession.
The meeting revived debate about the appropriate boundary between bar associations, which are professional regulatory bodies, and active political engagement.
HSK Appoints 30 New Inspectors to Expand Judicial Oversight
The Council of Judges and Prosecutors (HSK) appointed 30 new inspectors to its Inspection Board. The Board monitors judicial performance, professional conduct, and disciplinary matters for judges and prosecutors across Turkey.
Under Law No. 2802, inspector reviews feed directly into career assessments for judges and prosecutors, influencing promotions and appointments. Expanding the inspection corps signals more frequent oversight cycles. For lawyers, the practical implication is indirect but real: the mechanism that processes complaints about judicial conduct will have greater bandwidth going forward.
Official Gazette
Law No. 7579: Condo Service Charge Increases Capped at Revaluation Rate
Law No. 7579, published in the Official Gazette on 22 May 2026, amended Condominium Law No. 634 to introduce a ceiling on annual service charge increases by building and estate managers.
Previous rule: Managers could raise service charges unilaterally without a resolution of the General Assembly of co-owners, which frequently triggered disputes between managers and residents.
New rule: Managers may not increase service charges above the official revaluation rate (yeniden değerleme oranı). Any increase exceeding that rate requires a General Assembly resolution, which the manager must convene within three months of determining that such an increase is necessary.
In force: 22 May 2026. The change strengthens the position of co-owners challenging inflated charges and provides a clear statutory basis for contesting excess increases before condominium courts.
Law No. 7579: New Municipal Companies Now Require Presidential Approval
The same statute amended the Municipal Law (No. 5393) to require Presidential approval before any municipality, affiliated entity, union of municipalities or their subsidiaries may incorporate a new company or cooperative.
Previous rule: Municipalities could set up subsidiary companies through an internal process without central government clearance, subject to sector-specific statutes.
New rule: A Presidential decree is now a prerequisite for any new incorporation. Existing municipal companies are unaffected; however, any new structuring plans must factor in this approval requirement.
Lawyers advising on municipal procurement, concessions or joint ventures with local authorities should note this gatekeeping change when advising on transaction structure.
New Health Regulation: Active Psychiatric Diagnoses Restrict Gun Permit Eligibility
The Ministry of Health's Health Reports Regulation, published on 19 May 2026, overhauled the criteria for issuing medical certificates required for firearms licences.
Previous rule: Persons with psychiatric conditions could obtain favourable medical reports on a case-by-case basis at the physician's discretion, including in some cases of ongoing treatment.
New rule:
- Issuing a favourable report to persons with active or chronic depression, anxiety disorder, OCD or ADHD is now restricted.
- To qualify, the applicant must demonstrate that treatment has fully ended and that they have been symptom-free and medication-free for two consecutive years, verified through e-Nabız health records.
- For rifled firearms, the restrictions are extended to persons with gambling addiction.
In force: 19 May 2026. The change directly affects not only applicants but also the physicians issuing the reports and forensic medicine experts who provide expert evidence in firearms licence disputes before administrative courts.
Istanbul Bilgi University Operating Licence Reinstated
A Presidential decree published on 25 May 2026 reinstated the operating licence of Istanbul Bilgi University, Turkey's fourth-largest private foundation university. The university has been under court-appointed administration since September 2025 after the Savings Deposit Insurance Fund (TMSF) seized its parent company, Can Holding. The licence was initially revoked before being restored in today's decision.
The case provides a detailed real-world illustration of the mechanisms governing private university closure and revival — TMSF seizure procedure, court-appointed administration powers, and the Presidential licensing authority. The immediate operational uncertainty for students and staff has been resolved, though the university's financial trajectory remains a longer-term question.
April 2026 Judicial Promotion and Grade Advancement Lists Published
The April 2026 promotion and grade advancement lists for civil and administrative court judges and prosecutors who completed two-year qualifying periods were published in the Official Gazette on 21 May 2026, as required by Law No. 2802.
Constitutional Court
AYM Strikes Down HMK Monetary Appeals Cap When Appeal Courts Rule in Favour
The Constitutional Court unanimously annulled the part of CPC Art. 362(1)(a) that imposed a monetary threshold for cassation review in cases where the appeal court had partially or fully granted the appeal and overturned the first-instance decision.
Previous rule: Under HMK Art. 362(1)(a), civil claims below the monetary threshold could not proceed to the Court of Cassation after appeal, regardless of the outcome at appellate level. A party whose case was successful before the appeal court still faced a closed door at the cassation stage if the claim value fell below the limit.
Court's reasoning: The AYM held that where an appeal court issues a substantive ruling overturning the lower court — that is, where two competing judicial decisions now exist on the merits — preventing higher-court review through a monetary filter violates the right of access to a court guaranteed by Art. 36 of the Constitution.
Practical effect: In any case where the appeal court sets aside the first-instance judgment, parties may now pursue cassation review regardless of the claim's monetary value. This is particularly significant for condominium disputes, residential lease claims, small commercial debts and consumer cases, where claim values frequently fall below the cassation threshold. Lawyers in these practice areas should revisit pending matters in which cassation had been assumed unavailable.
AYM: Registering Expropriated Property Before Compensation Is Finalised Violates Constitution
The Constitutional Court unanimously struck down a statutory provision that allowed state entities to register expropriated land in their name before expropriation compensation had been definitively determined.
Previous rule: Under Expropriation Law No. 2942, the state could proceed with land registration even while the owner disputed the compensation amount. The ownership dispute and the valuation dispute ran on separate tracks, leaving the former owner without title and often without an effective remedy.
Court's reasoning: Art. 35 of the Constitution protects property rights and permits expropriation only if genuine fair value is provided. Transferring title before compensation is settled creates an irreversible factual position that undermines the owner's ability to negotiate or litigate effectively.
Practical effect: Going forward, expropriation proceedings must keep the valuation dispute open before any title transfer takes place. Landowners contesting compensation in pending proceedings gain a stronger procedural position, and lawyers handling expropriation cases now have a direct constitutional reference point for challenging premature registration.
AYM: Selling Co-Owned Property Without Joining All Co-Owners Breaches Property Rights
The Constitutional Court found violations of the right to property and the right to an effective remedy in a case where applicants who were co-owners and heirs were not brought into the proceedings before their jointly-owned property was sold through a partition action (ortaklığın giderilmesi).
Background: Partition actions under TMK Arts. 698–700 allow any co-owner to force a sale or physical division of jointly-held property. All co-owners must be parties to the proceedings — this is a basic procedural requirement. When a co-owner is omitted, the resulting sale deprives them of title without notice or the ability to participate.
Significance: The Court confirmed that incomplete party joinder in partition proceedings can reach the level of a constitutional rights violation, not merely a procedural defect. Lawyers handling inheritance and co-ownership disputes should treat the completeness of the party list as a threshold compliance check rather than a formality. Any gap in joinder creates exposure to a constitutional complaint after the fact.
Court Decisions
Ankara Regional Court: Private Conduct Cannot Justify Dismissal Without Proven Workplace Impact
The Ankara Regional Court of Justice, 7th Labour Chamber ruled that an event occurring outside the workplace and within the employee's private life cannot constitute a valid ground for dismissal under Labour Law No. 4857 Art. 18 unless the employer proves a concrete, measurable adverse effect on the workplace.
The court requires a demonstrated causal link: general character concerns or reputational fears are insufficient. The employer must document tangible consequences — reduced productivity, damage to client relationships, conflict with colleagues, or similar objective harms.
For employment lawyers, this ruling provides a direct precedent to challenge dismissals grounded in off-duty conduct. Employers wishing to rely on private-life events must build an evidence-based record showing workplace impact before issuing termination notices.
Ankara Regional Court: Four-Part Test for Performance Dismissal — Missing Any Element Means Reinstatement
The Ankara Regional Court of Justice, 7th Labour Chamber overturned a dismissal for poor performance and ordered reinstatement because the employer could not satisfy a four-part evidential test.
The court requires the employer to establish: (1) performance was measured through an objective system; (2) targets were realistic and communicated in advance; (3) the employee received concrete support; (4) the employee was given access to performance-improvement training. Failure on any single element defeats the dismissal.
This ruling raises the bar for performance management documentation in Turkey. Both employees challenging dismissal and employers defending it should audit their performance review systems against this four-part framework before proceedings begin.
Court of Cassation: Traffic Insurance Ruling Without Checking Policy Validity Times Is Defective
The 10th Civil Chamber of the Court of Cassation quashed a judgment on cassation for the benefit of law in a case where SGK sought reimbursement of temporary incapacity payments from an insurer after a traffic accident. The lower court had ruled without establishing whether a valid policy existed at the moment of the accident, whether the premium had been paid before the accident occurred, and the exact time of the crash.
Under Turkish mandatory traffic insurance (ZMSS) rules, the insurer's liability depends on a valid, paid-up policy being in force at the precise moment of the accident. If the premium was paid the same day as the accident, the chronological sequence is material.
Lawyers handling traffic accident claims involving insurer liability should document three distinct facts: the policy's contractual start time, the timestamp of the premium payment, and the accident time. Judgment without this investigation is now clearly established as a procedural ground for reversal.
Court of Cassation: Superstructure Value, Not Land, Determines Claim Value in Detection Cases
The 7th Civil Chamber of the Court of Cassation (E. 2026/635, K. 2026/1054, 26.02.2026) ruled that in actions to establish the ownership of structures built on another's land (muhdesatın tespiti), the claim value is calculated on the basis of the respondent's proportionate share of the superstructure value alone, excluding the underlying land component. Court fees and attorney's fees are determined on that same basis.
Miscalculating the claim value in these cases leads to either an overpayment of court fees or an underpayment triggering additional fees — in both cases, disputable costs that this ruling definitively settles.
İzmir Regional Court: No Attorney's Fee Against Claimant When Rent Is Reduced on Equitable Grounds
The İzmir Regional Court of Justice, 23rd Civil Chamber (E. 2024/1255, K. 2026/801, 20.04.2026) held that in rent determination proceedings, where the court awards a lower rent figure than claimed due to equitable or discretionary reduction, the portion of the claim rejected on those grounds does not attract an award of attorney's fees or litigation costs in the respondent's favour.
In rent determination cases, courts routinely apply equitable adjustments below market value, producing a partial rejection of the landlord's claim. This ruling confirms that the equitable reduction mechanism cannot be weaponised to impose cost penalties on landlords who claimed the market rate in good faith.