ERDEM-NEWSLETTER-2018-metin

263 LAW OF OBLIGATIONS • An extraordinary unexpected event, which was unforeseen and not expected to have been foreseen by the obligor, must occur after the contract was entered into; • There must be no negligence on the obligor’s part in the oc- currence of the extraordinary event; • Performance must have become excessively burdensome for the obligor because of the extraordinary event in light of the principle of good faith; • The obligor must perform his obligation by reserving the right arising from the hardship, or the obligor must not have yet performed the contract. Additionally, as per Article 138(2) of the TCO, this Article also applies to foreign cur- rency debts. If all of the conditions under Article 138(1) of the TCO are met, the obligor may request the adaptation of the contract from the judge in accordance with the changed circumstances. If the adaptation is not possible, the obligor may revoke the contract. It is crucial to state that not all of the unforeseen and unexpected to be foreseen events, but only extraordinary events (war, economic crisis, devaluation, natural disasters, bans and menaces on imports and export 8 ) are accepted as reasons for adaptation. In other words, any misfortunes and negativities encountered whilst performing the contract shall not allow for the adaptation 9 . Under our law system, the adaptation of the contracts arises with the distortion of the balance of performances due to economic crisis 10 . However, the foreseeability of economic crisis is disputed in judicial decisions. For instance, the decision of the General Assembly of the Civil Chambers of the Court of Appeal 11 states that “ Since 1958, in our country, devaluations are declared, frequently, money adjustments are made, and the value of 8 Oğuzman/Öz , p. 582; 13th CC of the Court of Appeal, 7.2.2013, No. 2012/8250 E. 2013/2623 K. (Kazancı Regulations and Jurisprudence Bank). 9 Baysal , p. 143. 10 Baysal, p. 152. 11 T.R. General Assembly of the CC of the Court of Appeal No. 7.5.2003, 2003/13- 332 E. 2003/340 K. (Kazancı Regulations and Jurisprudence Bank).