The new penalty for contractors who take the money and do not deliver the house has been announced.

The monetary limits for disputes to be submitted to consumer arbitration boards, as stipulated in the Consumer Protection Law, have been increased in line with the administrative monetary penalties' revaluation rate.

The Ministry of Commerce's relevant notifications were published in the Official Gazette, effective from January 1, 2025.

The mandatory monetary limits for applications to consumer arbitration boards have been regulated within the scope of a 43.93% revaluation rate.
Applications can be made to the arbitration board located in the consumer's place of residence or where the relevant transaction was conducted.

If there is no consumer arbitration board established in the district where the application can be made, an application can also be submitted to the district governor's office.

PENALTIES FOR TRADESMEN NOT SELLING PRODUCTS TO CUSTOMERS HAVE INCREASED

The administrative monetary penalties to be applied for violations of the general principles of the law have also been determined. A penalty of 3,166 lira will be imposed for each transaction for those who violate a series of provisions, from not preparing written contracts in 12-point font to avoiding the sale of displayed goods or services to consumers without just cause.

PENALTY FOR INCOMPLETE OR INCORRECT WARRANTY DOCUMENTS IS 3,126 LIRA

If the warranty document and the Turkish introduction and usage manual are not delivered to the consumer at all or in accordance with the regulations, a penalty of 3,126 lira will be imposed on the seller, and manufacturers and importers who do not obtain the post-sale service adequacy certificate from the Ministry will face an administrative monetary penalty of 1,604,819 lira. Manufacturers and importers who do not provide the minimum number of service stations during the validity period of the post-sale service adequacy certificate will be fined 178,473 lira for each missing service station, and those who do not register or update the information regarding authorized service stations in the Ministry's system will also face a penalty of 25,907 lira for each service station.

ADDITIONAL PENALTY FOR ARBITRARY REPAIR TIME

A penalty of 3,166 lira will be applied for violations detected in cases where the maximum repair time is exceeded or where maintenance and repair services are not provided in accordance with the regulations. The penalty amount for service stations operating independently of any manufacturer or importer that do not use the term "special service" in a visible and readable manner in all their media and activities has been set at 25,907 lira. If this activity is carried out without a renewal authorization certificate, a penalty of 2,542,198 lira will be imposed, and for violations and deficiencies detected in the sale of refurbished products, a penalty of 2,540 lira will be applied for each transaction.

PENALTIES FOR BANKS REGARDING CREDIT CARDS HAVE REACHED 79 MILLION

The administrative monetary penalty for not offering credit cards without membership fees to consumers has been increased to 79,171,438 lira. For consumer credit and housing finance contracts, lenders who violate the law's provisions on the right of withdrawal, interest rates, early payment, and default, and who demand unjust and unwarranted insurance, fees, and expenses from consumers in exchange for using credit, will face an administrative monetary penalty of 15,800 lira for each non-compliant contract or transaction.

The penalty amount for sellers who do not obtain an authorization certificate from the provincial trade directorate to establish contracts with consumers outside the workplace has also been set at 1,583,405 lira.

PENALTY FOR DECEPTIVE ADVERTISING IS 31 MILLION 808 THOUSAND 530 LIRA

Administrative monetary penalties for deceptive and misleading commercial advertisements and unfair commercial practices have also been determined. The Advertising Board may impose administrative monetary penalties ranging from 79,161 lira to 31,808,530 lira to prevent consumer grievances caused by such practices and unfair competition that disrupt fair competition conditions.

PENALTY OF 3,166 LIRA FOR RULE VIOLATIONS IN ONLINE SHOPPING

The administrative penalty amount for violations related to the rights granted to consumers, primarily the right of withdrawal and the seller's arbitrary and unjustified order cancellation, in distance contracts involving consumers in electronic commerce has been set at 3,166 lira for each transaction.

A penalty of 5,084,396 lira will be imposed on intermediary service providers for violations of the obligation to establish and maintain a system that allows consumers to communicate and follow up on their requests and notifications.

PAY ATTENTION TO THE 7-DAY CONDITION

For violations of the obligations of information and consent, the prohibition of automatic renewal of contracts that have expired, changes made to the terms of the commitment to the detriment of the consumer, and failure to fulfill requests for contract termination within 7 days, a penalty of 3,166 lira will be imposed for each transaction.

PENALTY OF 355,907 LIRA FOR CONTRACTORS WHO DO NOT DELIVER HOUSES

For each contract or transaction that violates the provisions related to prepaid housing sales contracts, a penalty of 15,800 lira will be imposed, and for each undelivered house, a penalty of 355,907 lira will be applied. Those who sell houses to consumers on a prepaid basis without obtaining a building permit will face an administrative monetary penalty of 1,583,405 lira, and sellers who do not fulfill their obligation to provide collateral will be fined 7,917,110 lira.

PENALTY FOR PRODUCT LABELING IS 3,166 LIRA

In case of violations related to vacation timeshare contracts, an administrative monetary penalty of 17,794 lira will be imposed for each contract or transaction. In retail businesses, for each violation of the legal obligations established for the complete and accurate information of consumers regarding the price tags and lists of goods offered for sale, a penalty of 3,166 lira will be imposed. Additionally, the "Regulation on the Classification of Goods and Services Related to Trademark Registration Applications" prepared by the Turkish Patent and Trademark Office has been published in the Official Gazette.