Mandatory Mediation in the Dissolution of Co-Ownership (Izale-i Şuyu) in Turkey

If you co-own property in Turkey and want a clean exit, dissolution of co-ownership (izale-i şuyu) is the legal tool — but since 1 September 2023 you can no longer go straight to court. Attempting mediation is now a mandatory pre-condition: skip it, and your lawsuit is dismissed without the judge ever looking at the merits. This guide explains the process step by step, what changed, and how foreign co-owners can run the whole thing from abroad.

What "dissolution of co-ownership" means in Turkey

When two or more people own the same property in Turkey and can no longer use or manage it together, any one of them can force a clean break. This action is called ortaklığın giderilmesi in modern Turkish and is still widely known by its older name, izale-i şuyu. In English it is usually translated as dissolution of co-ownership or a partition action.

It is the standard tool used when heirs must split an inherited Turkish estate, when ex-spouses share a flat after a divorce, or when business partners co-own an asset and one wants out. The asset is most often co-owned Turkish real estate — an apartment, a plot of land, a building — but the same right applies to movable property.

Because a contested case usually ends in a forced sale run through the enforcement office, dissolution sits closely alongside Turkey's debt collection and enforcement procedures.

The 2023 rule change: mediation is now compulsory first

This is the single most important update for any co-owner. Until 2023 you could file a dissolution lawsuit directly. That is no longer possible.

The consequence of skipping it is harsh and purely procedural. If you file the lawsuit without first attempting mediation, the court does not examine the merits at all. It raises the missing pre-condition on its own initiative and dismisses the case on procedural grounds (usulden ret) — and you have lost time and court fees. There is effectively no discretion to overlook the step.

The reform extended mandatory mediation — long familiar from many commercial money claims — into this category of property disputes. The aim is to clear courts of cases that families and co-owners can resolve faster by agreement.

How the mandatory mediation process works

The process runs through Turkey's official mediation system and is built to be far quicker than litigation.

1. Application. The applicant (or their lawyer) files a mediation application at the mediation office (arabuluculuk bürosu). For a dispute about real estate, this is the office at the place where the property is located — that venue is exclusive for immovables, so the applicant's own town of residence is not an alternative.
2. Every co-owner must be named. This is the classic trap. The application must list every single co-owner who would be a defendant in the eventual lawsuit (they are necessary joint parties — zorunlu dava arkadaşı). Leave one out and the mediation does not satisfy the pre-condition, so the later lawsuit can still be dismissed.
3. Appointment. A mediator from the official roster is assigned and contacts the parties to schedule sessions.
4. Sessions. The mediator helps the parties explore whether they can agree on how to divide or sell the property without a judge deciding for them.
5. Outcome. The process ends either in a signed settlement or in a final minute (son tutanak) recording that no agreement was reached. That minute is what unlocks the courthouse.

If you settle in mediation

If the co-owners reach agreement, the terms go into a settlement document signed by the parties and the mediator. This carries real legal weight.

• Whatever you agree is binding. You generally cannot reopen the same points later in court, so every clause should be reviewed before signing.
• Settlement is usually faster and cheaper than a full partition lawsuit, and it lets the family or partners control the outcome instead of leaving it to a public auction that often fetches less than market value.

If mediation fails: the dissolution lawsuit

If no settlement is reached, the mediator issues the final minute, and only then can the lawsuit be filed. The case proceeds before the Civil Court of Peace (Sulh Hukuk Mahkemesi) in the district where the property is located — and for immovables that venue is exclusive (kesin yetki), so you cannot pick a more convenient court.

The two ways a court ends co-ownership

The court chooses between physically dividing the property and selling it. The table below shows when each applies.

How the sale is carried out

The court does not auction the property itself. The sale is run through the sales office of the enforcement directorate (İcra/Satış Müdürlüğü) under the Enforcement and Bankruptcy Law (İİK, Law No. 2004), and it is governed by the strict procedural rules of Turkish enforcement. An expert valuation sets the opening price, and the asset is then sold through the enforcement office.

Foreign co-owners: the extra checks to plan for

A foreign co-owner can be on either side of a dissolution — forced to sell, or wanting to buy the whole property at auction. A few Turkey-specific rules deserve early attention.

• Proving your share. Your title is the land registry (tapu) record. Where the co-ownership comes from an inheritance, you also need a certificate of inheritance (veraset ilamı / mirasçılık belgesi) showing the heirs and their shares. Foreign heirs often need this issued or recognised before anything can move — build in time for it.
• Foreign acquisition limits if you want to buy. A foreigner buying at the auction is still subject to Turkey's acquisition rules: a per-person cap of 30 hectares nationwide, a limit of up to 10% of the area of any district, and military/security-zone clearance for the location. These can block or delay a foreign bidder, so check them before you rely on buying in.
• Existing tenants, mortgages and liens. A sale does not automatically wipe everything off the property. Registered mortgages and charges are dealt with from the sale proceeds, and an occupying tenant's position depends on the timing and registration of the lease. Confirm what survives the sale before you assume vacant possession.
• Tax on the proceeds. A forced sale can have the same tax consequences as a voluntary one — value-based gains may be taxable depending on how long and how the property was held. Treat the net figure, not the headline price, as your real recovery.
• Running it from abroad. Co-owners living overseas may need documents served internationally and translated, and will usually act through a Turkish lawyer holding a power of attorney so they do not travel for every step.

How much does izale-i şuyu cost and how long does it take?

Co-owners share the burden of the process broadly in line with their ownership shares, rather than one "losing" party paying as in an ordinary dispute.

• Costs. Expect a court fee tied to the property's value, expert valuation fees, auction-related charges, and lawyers' fees. These are generally apportioned among the co-owners by share. The mediation has its own fee under the official tariff; where mediation ends without agreement, part of the mediator's fee can fall on the state in defined situations rather than on the parties — your lawyer can confirm the current tariff for your case.
• Timing. Mediation itself is short (roughly 3–4 weeks). If it fails, a straightforward, uncontested lawsuit can take roughly one to one-and-a-half years; disputes over valuation, a hard-to-sell property, or contested shares can take longer.
• Value risk. A forced auction often fetches less than an open-market sale. That gap is the strongest practical reason to take mediation seriously and settle if a fair deal is on the table.

Frequently asked questions