ERDEM-NEWSLETTER-2018-metin

40 NEWSLETTER 2018 is even; it is sufficient that the installment be objectively determinable at the time of maturity. Payment Period of Installments: Under Article 256/I of the TCO, the buyer is obliged to pay at least one-tenth of the pre-sales price in advance and, at the latest, at the time of delivery. The remaining part of the sales price must be paid within three years following the establish- ment of the contract. Due to the mandatory nature of this provision, installment sales agreements are deemed void when the parties stipu- late a payment period greater than three years. In the doctrine, it is argued that a more appropriate solution shall be if the seller loses the right to claim installment receivables regard- ing the period that exceeds the legal payment period, in comparison with Article 256/III of the TCO; repayment of the installments that were paid after the end of the term of the contract can be demanded due to unjust enrichment in that instance. At the same time, it is stated that if there is substantial change to the detriment of the economic condition of the buyer after the estab- lishment of the contract, the installment deferral contracts that exceed the statutory period of payment should also be considered valid. Un- employment and force majeure are given as examples to such substan- tive changes. Providing Credit to the Sales Price : Installment sales agreements aim to provide credit to the buyer. As mentioned in the introduction, above, the existence of an installment sales agreement is accepted when the payment of the sales price, in installments, aims to provide additional purchase power, credit, to the buyer. Obligation of prepayment: The buyer is obliged to pay at least one-tenth of the cash purchase sales price (not the sales price), at the latest, at the time of delivery, and in advance (credit card/in cash). The parties may agree on a higher prepayment amount. Under Article 256/II of the TCO, the Council of Ministers may reduce the amount of the advance payment and the legal payment periods by one-half, or increase these periods up to two times, according to the type of sale.