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Kıstas HukukLaw & ConsultancyLegal & Consultancy Services

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Construction Law Advisory

Legal support across every stage of a construction project, from forming the construction contract to build-for-land agreements and contractor-employer disputes.

Last updated: · Prepared by: Av. Barış Kaymaz

Construction law primarily governs the relationship between contractor and employer under the Turkish Code of Obligations' provisions on construction (work) contracts (Art. 470 et seq.). Build-for-land contracts, widely used in Turkey, combine elements of a construction contract with a transfer of land share and therefore require particular care.

Getting the contract right from the outset on matters such as timeline, price, defective workmanship and penalty clauses significantly reduces the risk of disputes as a construction project progresses.

Forming the Construction Contract

Under Art. 470 et seq. of the Turkish Code of Obligations, the contractor undertakes to produce a work and the employer undertakes to pay for it. Clearly defining the scope of work, delivery timeline, payment schedule and each party's obligations in the contract prevents the disputes most commonly seen in practice.

Build-for-Land (Flat-for-Land) Contracts

In build-for-land contracts, the landowner transfers land to the contractor, who in return constructs and delivers a set number of units to the landowner. The timing of the land-share transfer, security mortgages and penalty clauses carry significant weight here. Because these contracts combine elements of both a construction contract and a real-estate sale, formal requirements must also be observed carefully.

Defective Workmanship and Contractor Liability

Under Art. 475 et seq., the employer must notify the contractor of defects in the delivered work within a reasonable time; this can trigger rights such as free repair, a price reduction, or rescission of the contract. Special limitation periods apply to hidden defects that emerge after the occupancy permit is issued.

Resolving Construction Disputes

Construction disputes frequently involve damages for delay, the employer's right to terminate for just cause, and the contractor's claims for progress payments. Given the technical complexity of these cases, expert examination plays a decisive role, and managing the process correctly — including objections to the expert report — matters greatly.

Services in This Area

  • Drafting construction contracts and build-for-land agreements
  • Representing employers or contractors in construction projects
  • Preparing and pursuing claims arising from defective workmanship
  • Resolving delay-damages and penalty-clause disputes
  • Litigation and enforcement proceedings over progress-payment claims
  • Managing expert examination processes in construction disputes

Frequently Asked Questions

If the contract includes a delay-penalty clause, it can be claimed directly; even without one, damages arising from the delay can be sought under general provisions. Where the conditions are met, the right to rescind the contract can also be considered.