Yargıtay rules tenants must pay notice period rent for early termination

The Turkish Court of Cassation (Yargıtay) has issued a precedent-setting ruling regarding tenant compensation for early lease terminations. The case involved a logistics warehouse where the lease agreement stipulated that a tenant could terminate the contract provided they gave at least six months' notice.

In this instance, the tenant vacated the premises in January 2016 without providing the required notice. While lower courts, including the Civil Court of Peace and the Regional Court of Justice, initially ruled that the tenant only owed one month of rent as reasonable compensation for the time needed to find a new tenant, the Court of Cassation overturned these decisions.

The High Court emphasized that because the parties had explicitly agreed upon a six-month notice period in the contract, the tenant is liable for six months of rent as compensation for the early departure. This ruling underscores the legal binding nature of termination and notice clauses in commercial lease agreements.