Warranty Period and Contractor’s Liability in Real Property Sales

Introduction

Buying and selling real estate (residential, commercial, or land) is a process that entails significant financial and legal responsibilities for both parties. In this context, defects that arise after the sale, whether apparent or hidden, are subject to protection and liabilities defined under the Turkish Code of Obligations. The warranty period and the contractor’s liability are especially important for new or under-construction properties.

1. The Concept of Defects in Real Property

A defect in real property is any deficiency that compromises the quality, function, or characteristics an average purchaser can reasonably expect. These defects are classified as:

• Apparent Defects: Issues noticeable upon inspection (e.g., cracked tiles, inconsistent paintwork).

• Hidden Defects: Issues that arise after delivery and surface during the property’s use (e.g., structural cracks in the foundation, plumbing problems).

2. Warranty Period

According to the Turkish Code of Obligations, the warranty period for hidden defects in real properties is 5 years, and this period can be extended up to 20 years if the defect results from serious fault or fraudulent behavior.

• The purchaser must notify the seller or contractor within a reasonable period upon discovering the defect.

• Failure to do so may result in the loss of the purchaser’s rights arising from the defect.

3. Contractor’s Liability

The contractor is obliged to deliver the property free of defects and in accordance with applicable standards and regulations. Liability applies in the following cases:

• Defective or incomplete construction,

• Use of low-quality materials,

• Violation of zoning or building regulations,

• Gross negligence or fraudulent behavior.

4. The Purchaser’s Legal Rights

In case of a defect, the purchaser can claim one of the following remedies:

• Replacement with a defect-free property,

• Reduction of the sale price,

• Free repair of the defect,

• Termination of the contract.

Conclusion

Encountering a defect in a purchased property can expose the purchaser to significant financial and legal risks. To protect one’s interests, it is vital to properly understand the warranty period, notification obligations, and available legal remedies. Seeking professional legal counsel is highly recommended to ensure that rights are fully preserved and enforced throughout the process.