Rent Determination Lawsuit and Filing Period
Rent Determination Lawsuit and Filing Period; The prerequisite for filing a rent determination lawsuit is the existence of a written lease agreement. A lease agreement refers to contracts made between the landlord and the tenant, which leave the use and enjoyment of a property to the tenant, in return for which the tenant undertakes to pay the rent. The most common area of use is residential lease agreements. In residential lease agreements, parties can freely determine the rent amount and the rate of rent increase.
Rent increases not specifically determined by the parties in the lease agreement are limited to the twelve-month average CPI rate. In recent years, disputes between landlords and tenants have increased due to high inflation and economic crisis in our country. Property owners, whose purchasing power has decreased due to high inflation, are demanding much more than the legally prescribed rate of increase in the contracts they have made with their tenants. On the other hand, tenants who cannot increase their income due to inflation are experiencing hardship when the landlord demands a rent increase rate higher than the CPI rate.
Rent Determination Lawsuit
If 5 years have passed since the lease agreement was made, the landlord can file a rent determination lawsuit to increase the rent that is low compared to the market, or the tenant can file to decrease the rent that is high compared to the market. According to the legal regulation, the rent increase rate to be applied to the leased property cannot exceed the twelve-month average of the consumer price index.
Factors such as the location of the property, its surroundings, characteristics, usage, and comparable rent prices play an important role in determining the rent. While parties cannot resort to legal action to determine the rent without being bound by the CPI rate before 5 years have passed, they can file a lawsuit for the adaptation of the rent.
For detailed information about the Rent Adaptation Lawsuit conditions and process, you can consult Gürbüz Law law firm.
Within What Periods should a Rent Determination Lawsuit be Filed?
A rent determination lawsuit can be filed from the moment the lease agreement is made. However, it is necessary to determine in which rental period the new rent will be applied. If the rent determination lawsuit is filed before 5 years from the date of the lease agreement, the court can increase the rent by a maximum of the CPI rate. If it is filed after 5 years, the court makes an increase based on equity without being bound by the CPI.
The lawsuit must be filed at least 30 days before the start of the new rental period. If written notice is given at least 30 days before the start of the new rental period that the rent will be increased, it is possible to file the lawsuit within the new rental period as well.
How is the Rent Determination Made?
The main purpose of a rent determination lawsuit is to protect the rights of both the tenant and the landlord within the limits of fairness and in accordance with the law. Therefore, when determining the new rent, twelve-month averages of CPI, the condition of the leased property, and comparable rent prices are taken into account.
Who Can File a Rent Determination Lawsuit?
The rent determination lawsuit can be filed by the property owner or the tenant. In case of shared ownership of the leased property, property owners can file a lawsuit in proportion to their shares, while in joint ownership, all partners must be plaintiffs in the lawsuit. Additionally, if the property changes hands, the new owner can continue the lawsuit filed by the previous owner against the tenant.
Is Sending a Notice a Prerequisite for Filing a Rent Determination Lawsuit?
Sending a notice before filing a rent determination lawsuit is not a prerequisite. However, it is an important step for the defendant to know that the plaintiff has such a request and to determine whether they will comply with the requested rent. Also, by sending the notice, the determination of the rental period will be easier, and if the rent increase is notified in writing, it will be possible to file the lawsuit in the new rental period.
Competent Court in Rent Determination Lawsuit
In a rent determination lawsuit, the competent court is the Civil Court of Peace. The authorized court is the court of the defendant’s place of residence or the court of the place where the contract will be performed.
This blog post is prepared for general information purposes, and for more detailed information about rent determination lawsuits, you can contact Gürbüz Law. Our Izmir lawyer team is expert in rent lawsuits and will provide you with the most accurate legal advice. We are pleased to assist you with our experienced staff among Izmir lawyers. You can contact us for all your questions about the rent determination lawsuit process.
