Netherlands updates

Arbitration & ADR

Contributed by Freshfields Bruckhaus Deringer LLP
NAI introduces enhanced transparency policy
  • Netherlands
  • 14 February 2019

The Netherlands Arbitration Institute (NAI) recently introduced a new transparency policy, which aims to enhance the transparency of arbitral proceedings without harming their confidential nature. This is a promising step by the NAI, which will hopefully contribute to a more cost-effective, efficient and credible arbitration practice in the Netherlands.

New Court of Arbitration for Art established
  • Netherlands
  • 07 February 2019

In June 2018 a new arbitration court specialised in art-related disputes was launched in The Hague. The court, which offers an attractive and efficient dispute resolution mechanism for cross-border art-related disputes, was founded by the Netherlands Arbitration Institute (NAI) in collaboration with Authentication in Art. According to the NAI's website, it has now started accepting arbitrator and mediator applications for the Court of Arbitration for Art.

New model BIT goes beyond consultation draft and introduces sweeping changes for investors
  • Netherlands
  • 22 November 2018

The government recently adopted its new model bilateral investment treaty (BIT). The proposed changes, which are likely to limit investor protection, have now been incorporated, together with additional important amendments. The model BIT reflects two government objectives: a sustainable investment policy and a better balance between the rights and obligations of both states and investors.

New draft Dutch model BIT: significant changes ahead for investors
  • Netherlands
  • 19 July 2018

A consultation process on the new draft Dutch model bilateral investment treaty (BIT) recently ended. The government is expected to publish the finalised text of the new model BIT later in 2018. The new model will serve as the basis for renegotiation of the 79 BITs that the Netherlands has with states outside the European Union. Among other things, it proposes significant changes to the conduct of arbitral proceedings.

Sine dubio: court acknowledges pro-enforcement bias of New York Convention
  • Netherlands
  • 07 June 2018

The Hague Court of Appeal recently ruled that its decision on an application for the enforcement of a foreign arbitral award would not be stayed solely on the basis of pending setting aside proceedings at the place of arbitration. Further, the court ruled that the party requesting exequatur did not have to submit Dutch translations of the award. The decision is notable, as the appeal court explicitly acknowledged the New York Convention's pro-enforcement bias, which several courts have failed to do in recent years.


Company & Commercial

Distributions of profits to shareholders under corporate law
  • Netherlands
  • 29 January 2018

A Dutch private limited company can make distributions of profits to its shareholders if the company's capital exceeds the aggregate of the reserves that must be maintained pursuant to the law and the company's articles of association. If a company cannot pay its due and payable debts after a distribution, the members of the board of directors can be held liable to for any resulting shortfall and the company's bankruptcy trustee can claim and recover the amount wrongfully paid from each shareholder.


Employment & Benefits

Contributed by AKD The Netherlands
Employers beware! Right of access to personnel files under GDPR
  • Netherlands
  • 19 December 2018

For most employers, the threat of high fines has been sufficient to encourage them to try and comply with the EU General Data Protection Regulation (GDPR). Now, more than six months after the GDPR's introduction, the question has arisen as to whether employers' concerns in this regard were justified. Recent case law and an incremental penalty imposed by the Dutch Data Protection Authority show that employers should be taking the GDPR seriously when it comes to personnel files.

Is this the end of traditional employment contracts?
  • Netherlands
  • 10 October 2018

According to the European Commission, the growth of flexible contracts in the Dutch labour market, as well as the inequality between flexible contracts and employment contracts for indefinite periods, is a problem. As such, one of the commission's recommendations for the Dutch government is to tackle the barriers to entering into traditional contracts or employment contracts for indefinite periods and facilitate the transition from definite contracts to employment contracts for indefinite periods.


Energy & Natural Resources

Contributed by Stek Advocaten BV
Broadening subsidy scheme for renewable energy: from SDE+ to SDE++
  • Netherlands
  • 14 January 2019

The minister of economic affairs and climate policy recently announced that the scope of the main subsidy scheme for renewable energy in the Netherlands, the Stimulation of Sustainable Energy Production, will be broadened. Under the new scheme, various technologies will no longer compete on the basis of amounts of renewable energy produced, but rather on the amounts of carbon dioxide and other greenhouse gases that have been avoided.

Prohibition on coal-fired power plants
  • Netherlands
  • 11 June 2018

In the new government's coalition agreement, the ruling parties promised to phase out coal-fired power plants by 2030. Thus, the minister of economic affairs and climate policy has been negotiating the closure of the five remaining coal-fired power plants in the Netherlands, and the government recently published a draft bill effecting this closure for consultation. Based on the initial public reactions, it appears that although exiting coal may be relatively easy, it may be naive to think that it can be done for free.

Towards a climate and energy plan: will Dutch polder model succeed?
  • Netherlands
  • 09 April 2018

The government recently finalised its objectives and the negotiation format for the national climate agreement. This will be an agreement in principle, which will form the basis of the integrated national energy and climate plan pursuant to the draft regulation on the governance of the Energy Union. The state and various stakeholders will negotiate and conclude the climate agreement, for which the government recently finalised its objectives and the negotiation format.

Renewable energy subsidies renewed
  • Netherlands
  • 12 March 2018

The minister of economic affairs and climate recently announced that the new government has reserved €12 billion to grant subsidies in 2018 for the production of renewable energy under the Renewable Energy Grant Scheme. The subsidies, which will be made available to applicants in two €6 billion tranches, aim to accelerate the development and use of sustainable energy production technologies.

New government's ambitious climate and energy initiatives
  • Netherlands
  • 15 January 2018

The new government's coalition agreement contains an ambitious paragraph on climate and energy, which observes that the European Union's aim to reduce greenhouse gas emissions by 40% (compared with 1990 levels) by 2030 will be insufficient to meet the Paris Agreement target. Therefore, the new government has set the bar higher, introducing measures to prepare the Netherlands for a 49% reduction in greenhouse gas emissions by 2030.


Environment & Climate Change

New milestones to combat climate change
  • Netherlands
  • 22 October 2018

The government is working hard to achieve its climate goals and has set new milestones to implement a carbon price floor, a climate agreement and the Climate Act. Further, in a landmark judgment, The Hague Appeal Court recently ordered the government to do more to combat climate change. The appeal court's judgment is unprecedented and may serve as a wake-up call for other governments worldwide.