When Does the Property Regime End?

Marriage Ends, Company Remains: What Happens When the Marital Property Regime Ends?
💸When Does the Marital Property Regime End?

The property regime established between spouses during marriage officially ends in certain circumstances. This termination is, in fact, the "finish line" of the economic arrangement within the marriage. According to Article 225 of the Civil Code:

🔚 Divorce decree (The community property regime ends at the time the divorce proceedings are initiated – Turkish Civil Code Article 225)

What if she files for divorce? This situation is regulated in Article 180 of the Turkish Civil Code, and according to this article, "If a separation is decided upon, the court may decide to abolish the property regime agreed upon between the spouses, depending on the duration of the separation and the circumstances of the spouses.".

🕊 Death of one spouse

✍ Change of property regime

💣 Annulment of marriage by nullity (In this case, the community property regime ends with the filing of an absolute or relative nullity lawsuit.)

🕊 With the declaration of absence (In this case, the community property regime automatically terminates by law, starting from the moment one of the spouses disappeared under circumstances that endanger their life or from the date of the last news received.)

🧠 IMPORTANT NOTE:

The property regime ends on the date a divorce case is filed. Since the property regime ends, there is no participation in acquired property; all acquired property becomes personal property.

💼 We've separated, but what will happen to the shares?
– What is the liquidation of the marital property regime?

Once the marital property regime ends, the next step is liquidation. This is the stage that determines who will keep the assets acquired during the marriage and who will be the creditors.

🔍 Legal Definition (Turkish Civil Code Articles 226–241):

"When the property regime ends, the spouses' acquired assets are determined and these assets are divided equally."

🧠 DOES THE TERMINATION OF EVERY PROPERTY REGIME DIRECTLY LEAD TO A REQUEST FOR THE LIQUIDATION OF THAT PROPERTY REGIME?

In cases of death or disappearance, the surviving spouse or the heirs of the deceased spouse can initiate liquidation proceedings directly once the death or disappearance is officially confirmed.

Although the property regime ends the moment a divorce or annulment case is filed, liquidation does not occur immediately. Liquidation only begins if a final divorce or annulment decision is issued as a result of the case.

⚖ SO WHICH COURT SHOULD WE GO TO?

The competent court in liquidation cases is the family court, in accordance with Article 4 of Law No. 4787.

If:

📌 If the marital property regime has ended due to death, the court of the deceased spouse's last place of residence

📌 In cases of divorce, annulment of marriage, or separation of property decisions made by a judge, the court with jurisdiction over these matters.

📌 In other cases, the court of the defendant spouse's place of residence

🧠Application Steps:

Which property belongs to whom? – Is it personal property or acquired property?

The participation fee is calculated.

If there is a contribution fee, it will be determined.

The valuation is done by an expert or specialist.

It will be shared or compensated for.

We previously discussed the distinction between acquired property and personal property; to briefly summarize:
The title deed is in your name, but the assets are shared!
– It's not whose name it's registered under, but when it was acquired that matters for
acquired property.

Everything earned during the marriage, including wages, rent, bonuses, and business income.

It doesn't matter whose name it's registered under!

Personalty:

Taken before marriage

Inherited, acquired through donation

Obtained through moral damages

Personal belongings

💰 Additional Value Sharing Receivable: “The property belongs to him, but its value is shared!”

+ What is Surplus Value? What is Value Increase Share according to the Turkish Civil Code?

🔑 In a community property regime, when the assets acquired by spouses during the marriage are liquidated, the value remaining after each spouse deducts their debts and contributions is called the "surplus value." Half of this surplus value constitutes the other spouse's "participation claim.".

In more legal terms, surplus value is the amount remaining after deducting liabilities related to each spouse's acquired property from the total value of that property, including amounts before addition and equalization.

❓ What exactly are these additions and equalizations?

-Addition refers to the addition of extraordinary donations and gifts made within one year prior to the termination of the marital property regime to the acquired property.

- Equalization is when one group of goods meets its current expenditures not from its own group of goods, but from another group of goods.

For example, if someone uses donated money to repair a real estate item that is part of their acquired property, this results in a decrease in their personal property and an increase in their acquired property. This amount must be deducted from their acquired property.

🔍 Calculation of Residual Value:
1. Determination of Acquired Property (Turkish Civil Code Article 219):

For example:

Earnings obtained in return for work

Social security and pension payments

Income from personal property (rent, interest, etc.)

Values ​​that replace acquired property

2. Net Value of This Asset:

The fair market value of the acquired property as of the date of liquidation (not the date of the divorce proceedings) is calculated. This value is:

Expert report, expert examination

According to Supreme Court precedents, the actual market value, not the title deed value, is taken as the basis.

3. Liabilities are deducted:

After deducting any liabilities related to the asset (e.g., mortgage), the remaining amount is called the "surplus value".

4. Share Rights:

If one spouse has no personal contribution or claim to a share of the proceeds, the other spouse may claim a share equal to half of the remaining value.

🧮 Calculation Example:

📌 Example Property: Real Estate
📌 Market Value: 3,000,000 TL
📌 Loan Debt: 1,000,000 TL
📌 Residual Value: 2,000,000 TL
📌 Participation Claim: 1,000,000 TL (spouse's share)

SO HOW CAN SOMEONE CLAIM COMPENSATION IF THEY HAVE CONTRIBUTED TO THE ACQUISITION OR IMPROVEMENT OF THIS PROPERTY?

What are Personal Contribution and Equalization?

Personal contribution is a direct contribution made by one spouse to the other spouse's acquired property through their own personal assets or labor.

📌 Objective: To prevent the spouse's personal contribution from being wasted, to ensure that this contribution is returned first during liquidation, and to allow for the sharing of half of the remaining assets.

📜 2. Legal Basis:

Turkish Civil Code Article 230 – Equalization:

"One spouse may request equalization of contributions made from their personal or acquired property to the other spouse's assets upon the termination of the matrimonial property regime."

This provision recognizes that the contributing spouse's right is a priority claim equal to the amount of their contribution, before any remaining value of the assets.

🧮 3. Explanation with Application Diagram:
A. Let's assume:

The couple buys an apartment while they are married.

2,000,000 TL of the cost is being covered by money obtained from the sale of personal property by one of the spouses.

The total value of the property is 5,000,000 TL.

The purchase of the house constitutes jointly acquired property.

B. Calculation:

Total Value: 5,000,000 TL

Personal Contribution (e.g., money inherited): 2,000,000 TL

Share of Acquired Property: 3,000,000 TL

Residual Value: 3,000,000 TL

Refund to Contributing Spouse: 2,000,000 TL

Half of the remaining surplus value goes to the other spouse: 1,500,000 ÷ 2 = 750,000 TL

Result: The spouse who made the personal contribution will first receive their 2,000,000 TL contribution, and the other spouse can receive 750,000 TL from the remaining 3,000,000 TL.

⚠ 4. In Which Cases Does it Count as a Contribution?

Paying off a loan with inherited money

Selling real estate acquired before marriage and using the proceeds to purchase new property

Closing a bank account, which is considered personal property, and investing in new property

Money received from the spouse's family – if it is in the form of a donation and is the spouse's personal property

AFTER REACHING THIS NET FIGURE, EACH SPOUSE OR THEIR HEIRS BECOME ENTITLED TO HALF OF THE REMAINING VALUE BELONGING TO THE OTHER SPOUSE. THIS RIGHT IS A CLAIM, THAT IS, A RELATIVE RIGHT. THEREFORE, IT MUST BE CLAIMED WITHIN 10 YEARS FROM THE TERMINATION OF THE PROPERTY REGIME.

Frequently Asked Questions in Practice:
❓ Does a contribution made through savings before marriage count?

📌 Yes. Savings or real estate owned by a spouse before marriage are considered personal property, and any contributions made with them can be claimed.

❓ Is the contribution refunded with interest?

📌 Generally, the value at the time of contribution is updated by proportionally comparing it to the market value of the asset at the time of liquidation. The rate of increase in value is used, not interest.

AN IMPORTANT FOOTNOTE

In cases of divorce due to adultery or attempted murder, the judge may decide to reduce or eliminate the guilty spouse's share of the remaining assets in a manner consistent with equity.

💼 “The Silent Partner of Labor and Capital”: What is Contribution Receivable?

📜 Legal Definition: What is a Contribution Receivable?

A contribution claim is the request for the return of a direct contribution made by one spouse to the other spouse's assets after the termination of the marital property regime. This contribution includes:

The cash paid for the purchase of the house,

Paying the loan installments,

Providing support for land acquisition,

It could be in the form of sharing the construction costs.

This contribution differs from the participation in surplus value claim in the community property regime because here it is a matter of recovering a contribution, not participation in the right of ownership.

🏠 “Even if they don't have a 'share' in a house purchased jointly with their spouse, they still have rights!”
The right to a contribution share is a legal guarantee outside of the marital property regime.

When divorce proceedings arise, the division of assets acquired during the marriage usually comes to mind. However, in some cases, one spouse may not receive a share simply because the property is registered in the other spouse's name. This is where the "contribution claim" comes into play. This type of claim allows one spouse to recover the financial contribution they made to an asset registered in the other spouse's name, regardless of the type of marital property regime.

⚖ What is the difference between a Contribution Share Claim and a Claim for Participation in Surplus Value?
: Contribution Share Claim vs.
Supreme Court jurisprudence & Law of Obligations, Turkish Civil Code Articles 231-236
Effect of property regime: Independent of property regime; Only in the acquired property participation regime
Type of relationship: Debtor/creditor relationship; Sharing relationship
Method of claim: Amount equal to the contribution rate; Half of the surplus value
🧠 “Can a Contribution Claim Be Made Without Documentation?”: Who Bears the Burden of Proof?

The spouse claiming a contribution is obligated to prove their contribution. The Supreme Court is very clear on this matter:

“Contributions must be proven with concrete documents and facts. Expenses incurred within the marriage should be shown as 'contributions,' not 'natural expenses.'
Claims of contributions without documentation can only be proven with very strong witnesses or evidence that does not contradict the ordinary course of life.

💰 How is Capital Appreciation Calculated?

Contributions are assessed proportionally, not as a fixed amount.

🧮 Example:

The house was originally purchased for: 1,000,000 TL

Spouse's contribution: 300,000 TL (30%)

The value of the house at the time of liquidation: 4,000,000 TL

Based on the contribution rate (30%), a receivable of 1,200,000 TL arises.

The Supreme Court calls this calculation the "relative contribution" theory.

📍 Most Common Examples in Practice:
🔹 1. Cash Paid During Home Purchase:

The 300,000 TL received from one spouse's family was used as a down payment for a house registered in the other spouse's name.

🔹 Joint Construction on the 2nd Plot of Land:

The title deed is in the other spouse's name; they share 50% of the construction costs.

🔹 3. Joint Contribution to Real Estate Loan:

The mortgage payments were made jointly, but the title deed is solely in the spouse's name.

In such cases, the contribution rate is calculated based on the current value of the property, regardless of whose name the title deed is registered under.

RELEVANT SUPREME COURT DECISIONS

🏛 SUPREME COURT OF APPEALS, 8TH CIVIL CHAMBER

E. 2019/13756
K. 2020/3209
T. 02.06.2020

📌 SUMMARY:

The lawsuit concerns a claim for contribution to a property. The property in question is registered in the name of the defendant spouse. The plaintiff spouse claims to have made a significant contribution to the purchase of this property during the marriage. While the court accepted that the contribution was proven, it calculated the claim based on the principle of fixed contribution; however, this procedural error is incorrect.

When calculating the contribution, the relative rate of contribution should be determined and calculated based on the market value of the property at the time of liquidation. In this context, the contribution rate must also be applied to the increase in the value of the property. Otherwise, the contribution will not be fully met.

📖 REASON:

“…Contribution claim is the right of one spouse to demand compensation for the financial contribution they made to the acquisition of property registered in the name of the other spouse. The contribution may occur in the acquisition or repair of real estate, loan payments, land purchase, or during the construction process.

It is established that 35% of the purchase price of the property registered in the defendant's name was paid by the plaintiff spouse. In this case, the value of the property at the time of liquidation should be taken as the basis, and 35% of this value should be awarded to the plaintiff as a contribution claim…”

⚖ DECISION RESULT:

The first instance court's calculation based on fixed contributions has been overturned.

It was ruled that the contribution rate should be recalculated by applying it to the current market value of the property.

It was emphasized that the commencement date for interest accrual in favor of the plaintiff should be the date of liquidation (divorce), not the date of the lawsuit.