REMOVAL OF SHUYU

(DISOLVEMENT OF PARTNERSHIP)

ENTRANCE

A lawsuit for dissolution of a partnership refers to a legal process that terminates joint or shared ownership of a movable or immovable property and transitions it to individual ownership. It aims to resolve disputes between the parties and make the property more functional. This article will examine in detail the legal nature of the lawsuit for dissolution of a partnership, the application requirements, the procedures, and the court process.

1. LEGAL NATURE OF THE DISSOLUTION CASE

A lawsuit for the dissolution of a partnership is a type of action used to terminate the partnership relationship between the parties and individualize their ownership rights in movable or immovable properties subject to joint or shared ownership. In our legal system, this type of lawsuit, regulated by Article 699 of the Civil Code, can be filed upon the request of any of the partners.

In partnership dissolution cases, the court's fundamental principle is to ensure a fair and equitable distribution among the partners. A lawsuit can be filed in the event of a legal or factual dispute between the parties, or even if no dispute exists and one of the parties wishes to dissolve the partnership.

2. METHODS OF DISSOLUTION OF PARTNERSHIP

There are two basic methods that can be used in the dissolution of the partnership case.

2.1. Dissolution of Partnership by Partition

A division in kind is the termination of a partnership by dividing movable or immovable property and transferring it to the partners as individual property. In real estate in particular, the possibility of divisibility must be present. The court first investigates whether the property can be divided, and the conditions for divisibility are determined through technical expert reports.

Divisibility conditions:

• The surface area and shape of the real estate must be divisible in a way that preserves the economic value of the portion allocated to each shareholder.

• Separate parcels should be created in accordance with zoning regulations.

• The intended use of the parts resulting from division must not be compromised.

If the court determines that a division in kind is possible, it will dissolve the partnership by dividing the property among the parties. However, if there is a difference in the value of the resulting divisions, equalization can be achieved through the method of adding money.

2.2. Dissolution of Partnership by Sale

When dividing the property is not possible, the court orders the dissolution of the partnership through sale. This method involves selling the property at auction by the sales clerk or enforcement office. The proceeds are then divided among the parties in proportion to their respective shares, thus dissolving the partnership. With unanimous agreement from all partners, the sale can only be conducted between the partners.

The following points are taken into consideration during the sales process:

• It is essential that the sale be made by public auction.

• Private sales can only be made between stakeholders with the approval of all stakeholders.

• The subject of inclusion (integral elements such as buildings and trees) should be determined before the sale and the sales price should be distributed to the stakeholders accordingly.

3. OBLIGATION OF MEDIATION IN PARTNERSHIP DISSOLUTION CASE

Pursuant to Article 18/B of Law No. 6325 on Mediation in Legal Disputes, mediation is mandatory before filing a lawsuit in cases involving the dissolution of a partnership. During the mediation process, the parties can reach an agreement on how to resolve the partnership. If an agreement cannot be reached after the mediation, the parties may exercise their right to file a lawsuit.

4. COURT WITH AUTHORITY AND RESPONSIBILITY IN THE DISSOLUTION CASE OF PARTNERSHIP

The competent court for dissolution of partnership cases is the court where the real estate is located. According to Article 12 of Code of Civil Procedure No. 6100, absolute jurisdiction applies to cases involving real estate. Therefore, dissolution of partnership cases must be filed in the courts where the real estate is located. For example, for a property located in Ankara, the relevant court in Ankara has jurisdiction.

The competent court is the Civil Court of Peace pursuant to the Code of Civil Procedure No. 6100. Civil Courts of Peace have the authority to decide on the dissolution of the partnership through division or sale.

5. COURT COSTS AND FEES IN PARTNERSHIP DISSOLUTION CASE

Court fees and expenses in the dissolution of the partnership case are as follows:

• When a decision is made to partition through sale, a proportional judgment fee of 11.38 per thousand of the sale price is collected. This rate is applied based on the appraised price of the property at the time of sale.

• If the property is divided in kind, a court order fee of 0.455 per thousand of the property's value will be collected. The proportional fee to be applied in the in kind division is determined based on the property's value.

• The fee to be applied in the case of dissolution of the partnership is not proportional but fixed.

• Litigation expenses are shared among the stakeholders in proportion to their shares.

6. STATUS OF THE RECORD IN PARTNERSHIP DISSOLUTION CASES

If the property contains integral parts (such as buildings, trees, or facilities), a dispute may arise regarding ownership. Disputes regarding the ownership of the property should be resolved by filing a separate lawsuit. During the litigation process, lawsuits regarding the ownership of the property are held in abeyance.

RESULT

A lawsuit for dissolution of partnership is an important legal procedure that terminates the partnership relationship between partners, allowing for the transfer to individual ownership or termination of ownership. This lawsuit is a resolution mechanism used by parties to clarify their rights over movable or immovable property and resolve ownership disputes. Courts conduct the process by protecting the rights of the parties, in accordance with the principles of fairness and equality.

The process of dissolving a partnership through division or sale depends on the parties' agreement or the physical and legal conditions of the property. Making mediation mandatory aims to reduce litigation by encouraging reconciliation between the parties.