The Constitutional Court recently considered a claim alleging
violation of property rights under Article 35 of the Turkish
Constitution (decision number 2013/4523, dated 16 September 2015).
The court held that failing to consider a decrease in value which
arises due to inflation between the motion and payment dates is a
violation of Constitutional property rights. The court awarded
indemnification amounting to the difference in the expropriated
property's value between the calculation and payment dates.
In the case at hand, the municipal authority initiated an action
on 28 April 2009 to determine and register the expropriation price.
The Applicant objected to the unit prices determined by the first
instance court. The court did not take these objection into
account, ultimately giving a decision regarding payment of the
expropriation price to the applicant and cancellation of the
registry on 18 January 2012 around 33 months after the
expropriation price was determined.
Accordingly, the Applicant applied to the Constitutional Court
on the grounds that his property rights had been violated.
The Applicant claimed that the price of the expropriated land
was determined lower than the neighboring land, in a similar case.
Therefore, the Applicant argued that the first instance court's
decision was inequitable. The Constitutional Court dismissed this
claim on the basis that the expropriation price calculations are
within the first instance court's authorization and
jurisdiction. The Constitutional Court did not identify any
The Applicant also claimed he suffered a loss because the
payment was made on 18 January 2012 without any interest added on,
despite the price being calculated according to the conditions on
28 April 2009.
The Constitutional Court ruled that payment of the expropriation
price without interest, violates the Applicant's property
rights under Article 35 of the Turkish Constitution. Article 35
states that property rights can only be limited for the purposes of
public benefit. The court also noted last paragraph of Article 46,
which specifically states that interest must be applied to the
unpaid expropriation amounts.
The Constitutional Court held that the expropriation price must
reflect the expropriated property's actual value and the
ultimate amount must not disregard perceptible changes caused by
inflation during the period between calculating the expropriation
price and the payment date. Accordingly, the court awarded
indemnification corresponding to the expropriated property's
The full text of the Constitutional Court's reasoned
decision was published in Official Gazette number 29546 on 28
November 2015 and can be found at this link (only available in Turkish).
Information first published in the MA | Gazette, a fortnightly legal update newsletter
produced by Moroğlu Arseven.
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