This is the English version of a Turkish article. The original, with further detail and linked petition templates, is at Sözleşme İhlali Halinde Tazminat Davası Nasıl Açılır?.
On a breach of contract the creditor has three options: to demand specific performance, to rescind, or to claim damages. Which is available depends on the type of breach. Against a debtor in default, most remedies require a warning notice and the allowance of a reasonable period first (TBK arts. 117 and 123).
A party that fails to perform must make good the loss the other suffers. Articles 112 and following of the Turkish Code of Obligations set out the forms of breach and their consequences. TBK means the Turkish Code of Obligations No. 6098.
The Four Types of Breach
- Complete failure to perform. The debtor does not perform at all. The gravest form, giving the creditor rescission and full damages.
- Late performance (default). Performance comes later than it should. Late performance alone can found a damages claim and, where the conditions are met, rescission.
- Partial performance. Performance falls short in quantity or quality.
- Defective performance. Performance is rendered but does not meet the agreed qualities — faulty goods, defective construction, careless service.
Each has different consequences and requires a different route, so identifying the type of breach correctly is the first step.
| Breach | Remedies |
|---|---|
| Complete failure to perform | Specific performance, rescission, damages |
| Late performance (default) | Performance and delay damages; rescission where the conditions are met |
| Defective performance | Repair, price reduction, replacement, rescission |
| Partial performance | Performance of the balance, or damages |
| Performance becoming impossible (debtor at fault) | Damages |
| Performance becoming impossible (no fault) | The obligation ends; what was received is returned |
Where the obligation has a fixed date, no warning notice is needed for default; the arrival of the date suffices (TBK art. 117/2).
When Default Arises
- Warning notice as a rule. To put the debtor in default the creditor must generally send a written warning notice allowing a reasonable period for performance. If the period passes without performance, default has occurred.
- No notice where the date is fixed. Where the parties have agreed a definite date — "delivery by 15 September at the latest" — default arises automatically on that date.
- The consequences. A debtor in default owes default interest, must make good the losses caused by the delay, and must cover the losses arising if the creditor rescinds.
- The creditor's choice. On default the creditor may either demand performance with delay damages, or rescind and recover their reliance loss.
Claiming Damages
1. Written warning notice. Before starting proceedings, send a notice through a notary or by registered post with acknowledgement. It both eases proof and fixes the date of default.
2. Mediation. For disputes arising from a commercial relationship, mediation is compulsory before filing; an action brought without it is dismissed on procedural grounds. It is not compulsory in personal relationships but is worth attempting.
3. Filing. If mediation does not resolve it, the action is filed — in the civil court of peace or the civil court of first instance, depending on the amount and the nature of the dispute.
4. Evidence. An expert examination may be ordered, particularly to quantify the loss. The contract, payment records, e-mail correspondence and witness evidence are the core material.
5. Interest. Claim statutory interest from the date of default — commercial interest in commercial relationships, statutory interest otherwise.
Rescission and Its Consequences
- The threshold. The breach must be substantial. Minor delays or trivial shortcomings will not support rescission.
- Anticipatory breach. Where the debtor states plainly that they will not perform, or that is clear from the objective circumstances, the creditor may rescind before default arises.
- Notice of rescission. Given in writing to the other party, stating its content and grounds expressly.
- Mutual restitution. On rescission each party returns what it received — money repaid, goods returned, services accounted for.
- Reliance loss. The rescinding party may claim the losses caused by having entered the contract: notarial costs, travel, opportunities forgone.
"A debtor who fails to perform an obligation at all or properly is liable to make good the loss the creditor suffers as a result."
TBK art. 112
The Evidence to Gather
- The signed contract, or documents showing that a contract was concluded
- Invoices, delivery notes and handover records — or documents showing their absence
- Payment records and receipts
- E-mails and written communications
- Message records, where a notarial record improves their reliability
- Witness evidence
- Technical or expert reports, particularly in defective performance cases
Oral contracts can be valid but are hard to prove. Keep the signed copy, and do not delete digital correspondence — it is frequently the decisive evidence.
The Limitation Period
Claims for damages arising from a contract are subject to a general limitation period of ten years (TBK art. 146). Shorter periods apply to some types of contract, so delay is a risk.
Frequently Asked Questions
What are my options on a breach?
Specific performance, rescission or damages. Which is available depends on the type of breach.
Must I send a warning notice first?
As a rule yes. But where the contract fixes a definite date, default arises automatically without one.
What can I recover if I rescind?
Mutual restitution, plus your reliance loss — the costs incurred because you entered the contract.
Is mediation compulsory?
For commercial disputes, yes, before filing. In personal relationships it is optional but worth attempting.
What is the limitation period?
Ten years as a general rule; shorter periods apply to some contract types.