On July 1, 2016, the Penalization of Bankruptcy Fraud Amendment Act (the "Act") came into force. The Act aims to combat bankruptcy fraud and stimulate companies to keep proper records at all times.
Obligation to keep company records
A Dutch company's board of managing directors must keep records of the company's financial position and everything related to the company's activities. Additionally, it must keep the company's books, records and other data in such a manner that the company's rights and obligations can be ascertained from them at any time.
On September 19, the Dutch District Court ruled in the first ever Dutch court case on the transfer pricing implications of a large business restructuring and confirmed the legal certainty that taxpayers can derive from thorough transfer pricing documentation. The case was litigated by the Tax Dispute Resolution group of Baker McKenzie Amsterdam.
In de Employment Update van april jl. informeerden wij u al over het feit dat de Advocaat-Generaal van het Hof van Justitie van de Europese Unie ("HvJ") in zijn conclusie in de zaak Estro/Smallsteps het HvJ heeft geadviseerd, dat de Richtlijn Overgang van Onderneming gewoon van toepassing dient te zijn op zogenaamde pre-pack faillissementen. Een pre-pack faillissement betekent - in het kort - dat een doorstart volgend op een faillissement al vóór de faillietverklaring in stilte wordt voorbereid met de hulp van een "beoogd curator".
The current Dutch Bankruptcy Code dates back to 1893 when it was first enacted, has aged nicely and still functions well despite the now existing international financial markets and complex financial instruments that could not have been imagined 127 years ago. Although many changes were made since its inception, the Dutch Bankruptcy Code has never had a major overhaul, even though many initiatives were launched over the years.
02 Employment and Pensions
2.1 Whilst some COVID-19 measures relating to employment are adopted globally (e.g., self-isolation and working from home), the implementation of such measures and employment protections vary per jurisdiction. For the latest employment law guidance, we recommend that you read our latest Global Employment Guide, which covers 11 key questions across 41 jurisdictions.
2.2 Now
In Nederland is het, vergeleken met omringende landen, vrij eenvoudig om beslag te leggen. De Wet herziening beslag- en executierecht (de ‘Wet’) beoogt het beslag- en executierecht voor schuldeisers eenvoudiger te maken door de mogelijkheden tot digitaal beslag leggen te verruimen. Ook wordt het beslag- en executierecht efficiënter met als gevolg dat schuldeisers minder kosten hoeven te maken om vorderingen te incasseren. Enig tegenwicht biedt de Wet, uitgebreider dan voorheen, door waarborging van het bestaansminimum van natuurlijke personen met schulden.
New act overning attachments and executions
Since Article 3: 305a of the Dutch Civil Code entered into force on 1 July 1994, a legal person (usually a foundation) can institute legal proceedings that serve to protect interests outlined in its articles of association (for example, recovering damage caused to the members of the foundation concerned). The mass claims foundation was born.
On 1 January 2021, new Dutch restructuring law Wet Homologatie Onderhands Akkoord (or WHOA) came into effect. Here, we run through what WHOA is and cover the first decisions handed down under the new law.
What is WHOA?
On 26 May 2020, the House of Representatives of the Dutch Parliament passed the Act of Court Confirmation of Extrajudicial Restructuring Plans (CERP). This long-awaited plan for a new restructuring law in the Netherlands features elements of both the US Chapter 11 procedure and UK schemes of arrangements. It is an important development in the evolution of Dutch insolvency practice.