Drafting Sales Contracts in Northern Cyprus

Drafting and Preparing Real Estate Sales Contracts in Northern Cyprus

A sales contract is a fundamental document that records the transfer of ownership rights and the obligations of the parties. A well-drafted contract not only regulates the transaction but also serves as the only effective tool for protecting the buyer’s interests in case of legal disputes or delays on the part of the seller.

However, foreign investors in Northern Cyprus face a dilemma: the law imposes strict requirements on the language of the document, which the buyer often does not understand. Below, we outline the current legal requirements and the optimal format for preparing a transaction.

• Language Requirements (2022 Law)
• Why a Bilingual Contract Is Necessary
• Legal Validity of Versions
• Mandatory Contract Clauses

Language Requirements and Legal Changes

The key nuance of local legislation concerns the language of court proceedings and administrative documentation. The official language of the TRNC is Turkish. Previously, contracts could be drafted exclusively in English or Russian-English versions, but this situation has changed.

Important to know: Since 2022, District Land Committees (Tapu) and the Tax Office do not accept contracts for registration without a Turkish version. A contract drafted only in a foreign language (Russian or English) cannot be registered.

Why We Recommend a Bilingual Contract

To comply with legal requirements while ensuring transparency for the client, the optimal solution is drafting the contract in two languages (bipartite contract). For example: Turkish + Russian or Turkish + English.

Such a document is usually formatted in two columns, offering the following advantages:

• Legal Compliance: Including the Turkish text ensures successful registration with the Land Registry.
• Transparency: The client personally reads and understands each clause they sign, without relying on oral translation.

Legal Validity of Versions

When drafting bilingual contracts, it is critical to determine which version takes precedence in case of discrepancies.

• As a rule, the Turkish version is designated as the prevailing version, since it will be considered by the TRNC courts in case of a dispute.
• The role of lawyers is to ensure maximum accuracy in the legal translation, so that the meaning of the version you understand (Russian or English) fully corresponds to the Turkish original.

Mandatory Clauses and Contract Structure

For a document to have legal force, minimize risks, and protect your assets, it must provide detailed regulation of all stages of the transaction. Instead of general phrases, a quality contract includes the following essential conditions:

1. Party Information. Full details of the seller (developer or private individual) and the buyer, including passport information and registration addresses.
2. Description of the Property (Subject of the Transaction). Detailed specification: plot registration numbers, area, number of floors, layout, as well as a list of finishing materials.
3. Price and Payment Schedule. Recording the total cost, payment currency, deposit amount, installment deadlines, and penalties for late payments.
4. Transfer Terms and Procedure. Clear date for handover of keys and conditions under which ownership passes to the buyer.
5. Rights and Obligations. Regulation of actions by the parties until the title (ownership rights) is obtained.
6. Warranties and Liability. Penalties for delayed handover and developer’s warranty obligations for construction quality (structure, finishing, hidden defects).
7. Force Majeure. Exhaustive list of unavoidable circumstances releasing parties from liability (e.g., natural disasters or changes in legislation).
8. Dispute Resolution. Indication of jurisdiction, procedures for pre-trial settlement, and the court that will handle potential conflicts.
9. Additional Conditions. Specific agreements, such as furnishing, household appliances, or air conditioning units.

Professional Assistance

Drafting a contract yourself or using downloaded templates can result in refusal to register the transaction or financial loss. DeJure Consulting prepares contracts that undergo professional linguistic and legal adaptation. We guarantee that documents comply with current Northern Cyprus legislation, ensuring the legal security of your investments.