12th Judicial Reform Package 2026: What Is Changing?

The action for recovery of unspecified claims is being abolished, the starting date for interest in compensation calculations is changing, and a new regulation is being introduced for the sale of real property acquired through inheritance. A reduction in penalties for IBAN fraud victims is envisaged, and the scope of deferral of the pronouncement of judgment (HAGB) is being narrowed. No amnesty or sentence execution regulation is included. The bill has not yet passed the General Assembly.

The bill submitted to the Grand National Assembly of Turkey (TBMM), commonly referred to as the "12th Judicial Reform Package" (File No: 2/3737), was approved by the Justice Commission on June 25, 2026, but has not yet been voted on in the General Assembly. The bill envisages amendments across a broad spectrum, from procedural law to compensation law, criminal procedure to administrative justice. The bill is grounded in the 4th Judicial Reform Strategy Document (2025-2029); however, one of the primary triggers has been multiple Constitutional Court rulings issued over the past two years annulling certain provisions. Some of the amendments are being made out of necessity to fill the legal gaps created by these rulings.

Below, we address the provisions of the bill that we consider practically significant:

1. Action for Recovery of Unspecified Claims Is Being Abolished

Article 107 of the Code of Civil Procedure (HMK) is being repealed. In practice, there have long been serious doubts as to which claims could be subject to this type of action; the Constitutional Court has also determined on numerous occasions through individual applications that this ambiguity has led to violations of rights.

The two fundamental advantages provided by the action for recovery of unspecified claims — interrupting the statute of limitations for the entire claim as of the date of the action, and the ability to claim the remaining portion of the claim without the need for amendment — will henceforth be incorporated into the partial action procedure. A party filing a partial action will be able to claim the remaining portion of the claim once, prior to the conclusion of the investigation phase; the statute of limitations for the increased portion will also be deemed interrupted as of the date of the action.

Actions for recovery of unspecified claims filed prior to the date of entry into force will continue to be heard under the previous provisions.

2. Three-Month Limit Between Hearings

In cases subject to written procedural rules, the period between hearings shall not exceed three months as a general rule. In mandatory circumstances — such as prolonged expert examination or investigation through letters rogatory — the judge may set a longer period by recording the justification in the hearing minutes. The requirement that the justification be specific rather than abstract has also been separately regulated.

3. E-Hearings: Scope of Remote Participation in Civil Cases Is Being Expanded

Remote participation in hearings via audio and video transmission was already possible under existing law, but its scope was limited. With this bill, remote participation is being extended to a broader range, including preliminary examination hearings. Attorneys of record will be able to participate in hearings remotely, except for transactions requiring a signature. The requirement for a physical signature remains in place for admissions, oaths, waivers, acceptance of claims, consent to withdrawal of actions and settlement.

4. IBAN Victims: Penalty Reduction for Those Who Allow Use of Their Accounts

This provision was not included in the original bill; it was added during the commission stage through a joint motion.

The group known as "IBAN victims" refers to individuals who did not directly participate in the fraud offense, but indirectly contributed to it by providing their bank account, payment instrument or account details to others. These individuals are generally considered to be those who were deceived through social media promises such as "rent out your account and earn commission" and were unable to foresee the legal consequences.

The amendment adds a new paragraph to Article 158 of the Turkish Penal Code (TCK). The penalty imposed on persons whose participation in fraud or aggravated fraud is limited solely to providing their bank account, payment instrument or account details to another person will be reduced by half. Those who provide account details held with cryptocurrency asset service providers are also covered by this scope. Persons who planned, organized or primarily benefited from the offense are not eligible for this reduction; existing penalties will continue to apply to them.

For pending cases: for defendants whose case is at the appellate stage, regional courts of appeal will issue a reversal decision and remand the file to the court of first instance. Files before the Court of Cassation will also be referred to courts of first instance.

For those in the execution phase: convicted persons for whom the effective remorse provision has not been applied may be entitled to a reduction of up to half of their sentence under Article 168 of the TCK if they fully remedy the victim's damages within 6 months of the court's notice. This reduction is not applied automatically and is contingent upon the complete remediation of the damages.

5. Is There an Amnesty or Sentence Execution Regulation?

This bill contains neither a general amnesty, nor a special pardon, nor any amendment to sentence execution law. Law No. 5275 on the Execution of Sentences remains untouched. News circulating on social media claiming that "an amnesty is coming" or "sentence reductions are being introduced" are unfounded.

6. Mandatory Prior Application Before Enforcement Proceedings Against Public Administration

A new article is being added to the Enforcement and Bankruptcy Law (Article 34/a). It will no longer be possible to directly initiate enforcement proceedings for monetary judgments, attorney's fees and litigation costs awarded against public administrations by the Court of Cassation, regional courts of appeal or courts of first instance.

The creditor or their attorney must first submit a written application to the administration and provide their IBAN. The administration will be given a one-month payment period. If payment is not made within this period, enforcement proceedings based on a court judgment may be initiated.

7. Dissolution of Co-Ownership in Real Property Acquired Through Inheritance: First Auction Restricted to Heirs

Where a decision is made to dissolve co-ownership through sale in real property where all owners hold shares through inheritance, the first public auction will be held exclusively among the co-owning heirs. The minimum bid in this auction is one hundred percent of the appraised value. If no heir submits a bid, the second auction will be open to the public and conducted under general provisions. Co-owning heirs are still required to deposit security in these auctions; the provision removing the former exemption is intended to prevent abuse.

8. Change in the Starting Date of Interest for Loss of Support and Loss of Working Capacity Compensation

Two new paragraphs are being added to Article 55 of the Turkish Code of Obligations (TBK). Under current practice, interest has been accruing on the entirety of loss of support and loss of working capacity compensation — including future loss of earnings — from the date of the incident.

The bill introduces a dual distinction: interest on compensation relating to the period during which the earnings of the injured party or the supporter were known will accrue from the date of the incident, while interest on compensation relating to the period during which earnings could not be determined (future losses) will accrue from the date of the judgment.

The new provision will apply only to tortious acts occurring after the date of entry into force; it will have no effect on pending cases.

9. Statutory Interest Rate Is Changing

Article 1 of Law No. 3095 on Statutory Interest and Default Interest is being amended. The Constitutional Court determined that the fixed interest rate applicable to non-contractual obligations was inadequate in the face of the erosion in the value of money and violated the right to property.

Under the new regulation, the statutory interest rate will be tied to eighty percent of the rediscount rate applied by the Central Bank in short-term credit transactions as of December 31 of the previous year. If the rate determined on June 30 differs from the rate at the end of the previous year by five points or more, this new rate will apply in the second half of the year.

10. Deferral of the Pronouncement of Judgment (HAGB): No Longer Applicable in Certain Offenses

The Constitutional Court, in its ruling of July 2025, partially annulled paragraphs five through fourteen of Article 231 of the Code of Criminal Procedure (CMK). The grounds: the application of deferral of the pronouncement of judgment (HAGB) in offenses of torture, ill-treatment and ill-treatment committed by public officials in the course of their duties was found to be incompatible with Article 17 of the Constitution. The bill accordingly prohibits HAGB for the relevant offenses and expressly regulates the right to appeal against HAGB decisions.

11. Protection of Personal Data: Rules on Retention and Destruction of Genetic and Digital Data

Two separate Constitutional Court rulings rendered the preparation of this bill necessary. The first: an annulment arising from the absence of adequate safeguards regarding the storage, destruction and conditions of use of molecular genetic examination results obtained in criminal investigations. The second: a deficiency concerning the retention period and deletion of data obtained through search and seizure of computers and computer records.

The bill addresses both gaps. Genetic data: in cases such as acquittal and decisions not to prosecute, data will be destroyed immediately upon the finalization of the decision; in other cases such as conviction, rejection of the case and dismissal, data will be destroyed twenty years after the finalization of the decision. Computer data will be deleted fifteen years after the finalization of the decision not to prosecute or the court judgment. The data subject may apply to the court during these periods, claiming that the purpose has ceased to exist, and request the deletion of the data.

12. Single-Judge Jurisdiction and Appeal in Administrative Courts

The types of cases to be heard by a single judge in administrative and tax courts are being expanded. The monetary threshold is set at TRY 486,000, which corresponds to the annually updated threshold for 2026. In addition, cases filed against reprimand penalties imposed on civil servants, temporary assignment, travel allowance and housing transactions, as well as cases filed against certain disciplinary decisions of professional organizations, will also be heard by a single judge.

With respect to decisions issued by regional administrative courts that reverse and replace first instance court decisions, the right to appeal is being introduced in line with the Constitutional Court's annulment ruling of March 27, 2025. These decisions may be appealed before the Council of State within thirty days of notification. Cases heard by a single judge and certain special categories are exceptions to this rule.

13. Disciplinary Sanctions for Unnecessary Expert Appointments

An amendment to the Law on Judges and Prosecutors introduces disciplinary sanctions for judges and prosecutors who refer matters to expert witnesses that could be resolved with the legal knowledge required by the profession. The disciplinary sanction envisaged is a reprimand.

Legislative Process

For a bill to enter into force, it must pass through the following stages in order: submission to the TBMM, deliberation in the relevant commissions, adoption in the General Assembly, approval by the President, and finally publication in the Official Gazette.

The current status of this bill is as follows: it was submitted to the TBMM on June 22, 2026, and approved by the Justice Commission on June 25, 2026. The provision regarding IBAN victims was also added to the text during the commission stage. The bill is currently awaiting the General Assembly. Since the judicial recess begins on July 20, it is expected to be voted on in the near future