Development and current situation of

property rights in the Netherlands

Mr. G.A. van der VEEN
AKD Prinsen Van Wijmen

In this presentation Mr. van der Veen will discuss aspects of the development and current
situation of property rights in the Netherlands. In accordance with the scope of this
conference, attention will be focused primarily on the use of land. Other property rights, such
as intellectual properties, will therefore remain undiscussed.

In 1992, in the Netherlands came into force the new Civil Code. It followed the old one, wich
was still bases on the French Civil Code. An important new feature of this new code was the
abolition of a separate Commercial Code and therefore the integration of – almost – all civil
law in one Code. The new Code is also known for its structural construction, in which general
chapters are followed by more specific chapters. Thus, chapter 3 deals with proprietary rights
and obligations in general, while chapter 5 deals with the property rights more specifically.

Mr. van der Veen will briefly explain the structure of the Civil Code, the structure of the
property rights in chapter 5 and then present three recent or still ongoing legal and judicial
developments.

First, the revision of the agricultural lease. In June of this year, a draft revision has been
presented. Most important feature of the proposed revision is the abolition of the specific “law
on agricultural lease”, by putting the provisions into a new chapter of the Civil Code. This
change illustrates one more time the aim of constructing one general Civil Code and
abolishing specific civil laws. Effects of the proposed law are therefore a less specific
approach of agricultural lease, including more flexibility in contracts.

Another topic to discuss, is the still ongoing uncertainty of public law-restrictions, such as
planning regulations. According to a new law of June 17th, 2004, these restrictions need to be
announced to the land registry (cadastre), so that they are easier to check. It is, however, yet
unclear to what extend the new law really will prevent further uncertainties.

A third topic that always has to be taken into account when dealing with administrations, is
the topic of the administration and its role in private law-relations. According to long-lasting
case law, the administration is – almost – completely bound by public law restrictions, such as
the general principles of proper administration, such as the principle of equality. According to
a recent court decision for example, principles like this can force an administration to ask the
same price when selling pieces of land to various persons or industries. It is beyond doubt that
such decisions don’t leave much of the normal freedom that one has under civil law, to
determine the conditions under which one wants to contract!

At the end of this lecture, time will be reserved for a brief discussion.