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Van Doorne Newsletter March 2008      
 
 
Contents
 
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Corporate

Judicial enquiry into PCM mismanagement

There is to be a judicial enquiry into allegations of mismanagement at PCM Publishers, the Enterprise Section of the Amsterdam Court of Appeal has decided. The enquiry will look at the period between 2004 and last year, when PCM, the publisher of such newspapers as the Volkskrant and NRC Handelsblad was in the hands of British private equity investment group Apax Partners. The enquiry was demanded by two Dutch unions, the Dutch Union of Journalists (NVJ) and FNV Kiem.

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Directors’ liability at Ceteco NV

In late 2007, the Utrecht District Court handed down an uncharacteristically detailed opinion that left no stone unturned, stating that the executive and non-executive directors and the major shareholder of Ceteco NV, which had been declared insolvent, would be held liable for, among other things, the deficit on liquidation. The accountant walked free.

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Employment

County Court formula revised?

A Kring van Kantonrechters task force is drafting proposals to revise the 'County Court Formula', which may mean that the severance settlements payable by employers will be lower or geared to the actual situation.

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European and Competition law

Minister promotes NMa power

The Netherlands Competition Authority (NMa) should be given the power to impose much higher penalties as well as more options to prosecute, so said Dutch government minister Van der Hoeven of Economic Affairs at NMa’s 10th anniversary conference of 5 March 2008.

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Health Care

No right of consultation for patient and client councils when granted right of investigation

Since 1 January 2007, care institutions must grant the right of investigation to a patient & client council. This must be recorded in the institution’s articles of association. The National Committee of Counsellors, that resolves disputes between care providers and their patient & client councils, recently ruled that granting the right of investigation does not fall within the scope of the right to be consulted vested in patient & client councils.

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Use of standard care contract allowed

Care providers can use standard care contracts, provided that they also make clear arrangements on the volume and type of care to be provided to each individual client. This was supported by a court opinion rendered recently by the court in The Hague.

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Information Technology

Intellectual property software often source of problems in tender procedures

The rights of the various parties to a sourcing contract are often neglected. For instance, who has copyright on the software?

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Intellectual Property

Amendment to the Dutch Advertising Code

On 1 February 2008, the Dutch Advertising Code was modified to meet the terms of the EU Directive on Unfair Commercial Practices. The Dutch Advertising Code Authority is thus pre-empting Dutch legislation. The new Dutch Advertising Code applies to all advertising claims from 12 December 2007 (with retro-active effect).

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Litigation and Insurance

New type of action to prevent delay in personal injury and death cases

Out-of-court handling of personal injury and death issues can be time-consuming. The Dutch government intends to prevent such needless delay by offering parties the opportunity to quickly obtain a court opinion on elements in dispute.

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Mediation

Internal conflict-resolution is popular

Internal conflict-resolution is becoming increasingly popular. It means that the management of a business is primarily responsible for solving disputes within its organization. With a proper dispute protocol in place, conflicts can be spotted at an early stage, leaving lawyers out if possible and effectively managing the situation.

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Notarial Practice

1 January 2008: Energy performance certificate compulsory

Since 1 January 2008, sellers and landlords must provide an energy performance certificate (EPC) to prospective buyers or tenants when building, selling or letting a building or a part thereof. An EPC provides insight into the energy volume considered adequate for energy needs at standardized use.

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Property

Allocation of building plots by lot not allowed in all cases

In a court opinion recently handed down, the court ruled that the method of allocation of building plots by lot, adopted by the municipal authorities, was contrary to the Dutch Housing Allocation Act. For the allocation of 20 building plots, the municipal authorities had come up with a method of allocation by lot imposing requirements on economic ties with the area that in fact boiled down to only residents and persons with social or economic ties being eligible to be allocated a plot. The court disapproved of the way in which this was arranged (among other things, applicants had to leave behind residential accommodation in the municipality).

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Sports

CAS ruling in Webster case sows seeds of unrest in football world

The Court of Arbitration for Sport (CAS) recently ruled in the case against professional footballer Andrew Webster and both his new club Wigan Athletic, and his previous club, Heart of Midlothian. The CAS decided that the compensation that Webster and Wigan owed Hearts should equal the value of the contract to Hearts.

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Although this newsletter was prepared with the utmost care, it is only intended to highlight legal issues in general and does not provide for specific legal advice applicable to a specific situation. Van Doorne does not accept liability for any actions (or lack thereof) taken as a result of relying on or in any way using information contained in this newsletter and in no event shall Van Doorne be liable for any damages resulting from reliance on or use of this information. Readers should always take specific advice from a qualified professional if and when dealing with specific situations.

 

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