An Overview of Rental Law: The Netherlands, Curacao and the BES Islands
Tenancy law is a fundamental part of the legal system in many countries and territories around the world. While the basic principles may be similar, the specific rules and regulations can vary widely, even within the Kingdom. In this article, we will discuss the differences between Dutch tenancy law, that of Curaçao and that of the BES islands (Bonaire, Sint-Eustatius and Saba).
The Netherlands
In the Netherlands, tenancy law is regulated by the Civil Code under Book 7 Title 4. Dutch tenancy law includes various types of tenancy agreements, including the lease of residential space, commercial space and other space (such as parking spaces). One of the most important features of Dutch tenancy law is the strong protection of tenancy. Tenants enjoy considerable rights, including the right to maintenance and repair by the landlord, the right to a rent reduction in the event of defects and protection against eviction without legal proceedings.
The Dutch rental market is characterised by strict government regulation and supervision. Rental prices can be influenced by maximum rent limits that are set based on the housing valuation system. In addition, there are special regulations for social housing, where the government plays an active role in ensuring affordable housing for citizens with lower incomes.
Curacao
Curaçao, as part of the Kingdom of the Netherlands, also has its own tenancy law system that differs from tenancy law in the Netherlands. Tenancy law in Curaçao is largely laid down in the Civil Code of Curaçao and supplementary legislation. In 2011, the title tenancy was moved from Book 7A Title 7 to Book 7 Title 4.
A striking difference with Dutch tenancy law is that the tenancy protection for tenants in Curaçao is generally less strict. Tenancy agreements can be negotiated more freely between tenants and landlords, with fewer legal restrictions. However, this does not mean that tenants are completely deprived of protection; there are still legal provisions that establish certain rights and obligations for both parties.
BES Islands
The BES islands, consisting of Bonaire, Sint-Eustatius and Saba, form a special municipality of the Netherlands. The tenancy law on these islands is regulated by the Civil Code BES and additional regulations. The title tenancy can be found in Book 7A under title 7.
As in Curacao, rent protection on the BES islands is generally less strict than in the Netherlands. Rental contracts may offer more freedom for tenants and landlords to enter into agreements that fit local circumstances. However, as in Curacao, there are still legal provisions that regulate the rights and obligations of tenants and landlords, albeit possibly in a slightly different way than in the Netherlands.
Striking difference – notice periods and grounds
The Netherlands: In the Netherlands, notice periods for rental agreements are strictly regulated and depend on the type of rental agreement and the duration of the lease. For residential rental, different notice periods apply to tenants and landlords. A landlord often has to observe a longer notice period than a tenant, with notice periods varying from one to three months, depending on the duration of the lease and other factors. In addition, specific legal reasons are required for termination, such as non-payment, nuisance or urgent personal use.
In the Netherlands, the notice period for the residential tenancy agreement in combination with the grounds for termination are regulated in Article 7:271 paragraph 5 of the Dutch Civil Code. This paragraph contains notice periods that may only be applied if the grounds for termination included in Article 7:274 paragraph 1 of the Dutch Civil Code have been met.
Curacao: In Curacao there is more freedom regarding notice periods compared to the Netherlands. Notice periods can be determined in the lease agreement itself, without strict legal requirements as in the Netherlands. This offers more flexibility for parties to adjust the notice periods to their specific needs.
Unlike in the Netherlands or the BES islands, the Curaçao Civil Code does not contain any provisions on grounds for termination and notice periods, and the Rent Assessment Committee must be consulted for private rental.
BES islands: On the BES islands, tenancy law is also less strictly regulated than in the Netherlands and is not consistently enforced. The latter is now a problem on Bonaire in the sense that after approximately ten years of toleration, the government currently wants to restrict short-term rental in the sense that in certain neighborhoods, holiday rental by private homeowners is no longer permitted.
In the BW BES, articles 7A:1603n paragraph 4 jo 7A:1603p correspond to the Netherlands in that the same notice periods apply and may only be applied in compliance with article 7A:1603 p BW BES. However, the difference with the Netherlands is that BW BES refers to a rent assessment committee that must give permission on the basis of only two possible grounds, instead of mandatory grounds for termination that are already included in the Civil Code.
Conclusion
Although the Netherlands, Curacao and the BES islands are all part of the same kingdom, each (is)land has its own unique tenancy law system with different levels of tenancy protection and regulation. It is important for tenants and landlords to be aware of the specific rules and regulations that apply to their situation, in order to avoid conflicts.
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This article was written by Mr. Didi Wildeman and Danielle van Voorst, LL.B.
About the authors
Daniëlle van Voorst
