Loss of Vehicle Use After a Traffic Accident in Türkiye

Loss of use is the harm caused by being unable to use a vehicle while accident damage is repaired. It is distinct from the reduction in the vehicle's market value and from lost commercial income. A privately used vehicle can also give rise to a loss-of-use claim.

The Court of Cassation, 4th Civil Chamber, E.2022/26464, K.2022/11237, 29 September 2022, rejected the view that the vehicle had to be a commercial taxi. In that case it treated loss of use as indirect loss outside compulsory traffic insurance, and required assessment of the driver's liability and evidence of damage.

The at-fault driver and vehicle operator may be liable under the applicable rules and circumstances. Ownership and operation do not always coincide, such as in some long-term leases. Compulsory traffic insurance generally excludes indirect losses of this kind. Optional liability insurance and the claimant's own comprehensive policy must be examined separately: a contractual replacement vehicle is different from a claim against the responsible party, and overlap for the same period must be considered.

The assessment generally focuses on the reasonable time needed for the damage to be repaired, not automatically the entire period the vehicle spent at a workshop. An expert may determine that time. Evidence of exceptional delay, including parts availability or workshop circumstances, should be retained and its significance assessed in the particular case.

Renting another vehicle is not an absolute condition for a claim. Receipts for rental, taxis or public transport can help prove damage. Where its precise amount cannot be established, Article 50(2) of the Turkish Code of Obligations permits the court to assess a fair amount in light of the ordinary course of events.

Relevant factors can include use of the vehicle, occupation and distance to work, a comparable vehicle's rental cost, the claimant's fault, and any replacement actually supplied. Necessary expenses saved by not using the vehicle, such as fuel, are deducted where appropriate. There is no universal daily rate.

When a vehicle is damaged beyond repair, repair time may not be an appropriate measure. The reasonable time needed to obtain a comparable replacement and the loss actually suffered during that period require separate assessment.

Claims covered by compulsory traffic insurance, such as eligible vehicle damage or diminished value claims, have their own insurer application procedure. A loss-of-use claim excluded from that cover should be distinguished from them. Insurance arbitration concerns eligible claims against insurers.

Mandatory mediation may arise where the dispute qualifies as a commercial case. The competent court depends on the parties and dispute. Article 109 of the Highway Traffic Law generally provides two years from learning of the damage and liable person and, in any event, ten years from the accident; a longer criminal limitation period may apply where the statutory conditions are met.

Keep the accident report, repair and service records, expert report, rental or travel receipts, insurance policy and replacement-vehicle records, and information showing how the car was used.

Examples: If parts delays keep a car at the workshop for an extended time, an expert may assess the reasonable repair period. A person who uses public transport instead of renting can still rely on relevant transport records and evidence of vehicle use. Outcomes depend on the facts.

Highway Traffic Law No. 2918, Articles 85, 92, 97 and 109; Code of Obligations No. 6098, Articles 50 and 52; Commercial Code Article 5/A; Court of Cassation, 4th Civil Chamber, E.2022/26464, K.2022/11237, 29.09.2022.