Arbitration Procedures Under Dutch Law

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An arbitration procedure under Dutch law is governed by the Dutch Arbitration Act: Book 4 of the Dutch Code of Civil Procedure (Wetboek van Burgerlijke Rechtsvordering, articles 1020-1076 DCCP). It applies whenever the place of arbitration is in the Netherlands (article 1073 DCCP). The procedure runs from the arbitration agreement to a binding award, which a court can only set aside on limited grounds.

What is arbitration under Dutch law?

Arbitration is a form of dispute resolution in which parties submit their dispute to one or more private arbitrators instead of the civil court. The arbitral tribunal gives a binding award. Once the award is final (in kracht van gewijsde), its decisions on the disputed legal relationship have the force of res judicata between the same parties (article 1059(1) DCCP). To enforce it, a party first needs leave (exequatur) from the court (article 1062(1) DCCP).

The rules are in Book 4 of the Dutch Code of Civil Procedure (articles 1020-1076 DCCP). They were modernised by the Act of 2 June 2014 (Bulletin of Acts 2014, 200), in force since 1 January 2015 (Bulletin of Acts 2014, 254). The modernised rules apply to arbitrations commenced on or after that date; arbitrations commenced earlier remain subject to the old Book 4 (Article IV of the 2014 Act).

Key differences from court procedures:

Dutch arbitration distinguishes itself through party autonomy, specialist arbitrators and international enforceability. Hearings and awards are in principle not public, but the Act contains no general duty of confidentiality: it only provides that third parties receive no copy or extract of an award deposited at the court registry (article 1058(4) DCCP). If confidentiality matters, agree on it expressly or choose arbitration rules that provide for it. Awards can be enforced in more than 170 states that are party to the New York Convention (1958).

In sectors such as construction, maritime law and international trade, arbitration is widely used for dispute resolution.

Book 4 of the Code of Civil Procedure (DCCP) consists of two titles: Title One (articles 1020-1073) regulates arbitration with its place in the Netherlands, Title Two (articles 1074-1076) addresses arbitration outside the Netherlands.

The Act makes no distinction between domestic and international arbitration: Title One applies whenever the place of arbitration is in the Netherlands, regardless of the nationality or seat of the parties (article 1073(1) DCCP).

Structure of arbitration legislation:

  • Section One: the arbitration agreement (articles 1020-1021)
  • Section One A: the arbitration agreement and the jurisdiction of the ordinary courts (articles 1022-1022c)
  • Section One B: the arbitral tribunal (articles 1023-1035a)
  • Section Two: the arbitral proceedings (articles 1036-1048a)
  • Section Three: the arbitral award (articles 1049-1061)
  • Section Three A: arbitral appeal (articles 1061a-1061l)
  • Section Four: enforcement of the award (articles 1062-1063)
  • Section Five: setting aside and revocation (articles 1064-1068)
  • Section Six: award on agreed terms (article 1069)
  • Section Seven: final provisions (articles 1070-1073)

Under Dutch private international law, an arbitration agreement is materially valid if it is valid under the law chosen by the parties, under the law of the place of arbitration or, if the parties made no choice of law, under the law applicable to the underlying legal relationship (article 10:166 Dutch Civil Code, DCC). This flexible approach increases legal certainty for international transactions.

Scope of application: Disputes from a defined legal relationship, contractual or not, can be submitted to arbitration (article 1020(1) DCCP). An arbitration agreement may not lead to legal consequences that are not at the free disposal of the parties (article 1020(3) DCCP), such as decisions on personal status or a declaration of bankruptcy; those remain with the courts. In general terms and conditions used against a consumer, an arbitration clause is deemed unreasonably onerous unless the consumer is given at least one month, after the user has invoked the clause in writing, to choose the competent court instead (article 6:236(n) DCC).

How do you initiate arbitration procedures in the Netherlands?

A valid arbitration agreement is the basic condition for arbitration. Under an arbitration clause, the arbitration commences on the day the other party receives a written notice that arbitration is initiated, indicating what the claimant wishes to submit to arbitration (article 1025(1) DCCP). Parties may agree on a different way to commence the arbitration (article 1025(2)), for example by referring to institutional rules.

Under the NAI Arbitration Rules 2024, communications are in principle transmitted electronically, by email or through the NAI arbitration platform (Article 4(2) NAI Rules).

Arbitration agreement: formal requirements and timing

Dutch law sets no form requirement for the validity of an arbitration agreement, but article 1021 DCCP contains a rule of evidence: the agreement is proven by a document. A document that provides for arbitration, or that refers to general terms and conditions containing an arbitration clause, suffices if the other party has accepted it expressly or tacitly. Electronic data can also serve as proof. An arbitration clause in binding articles of association or regulations also counts as an arbitration agreement (article 1020(5) DCCP).

Two forms of arbitration agreements:

  1. Arbitration clause (arbitraal beding): a clause for disputes that may arise in the future (article 1020(2) DCCP)
  2. Submission agreement (compromis): an agreement to submit an existing dispute to arbitration, which parties can still conclude after the dispute has arisen (article 1020(2) DCCP)

The place of arbitration is a legal concept. It determines the applicable arbitration law (article 1073(1) DCCP) and the place where the award is made, but not where hearings take place: unless the parties agree otherwise, the tribunal may hold hearings, deliberate and hear witnesses anywhere, in or outside the Netherlands (article 1037(1) and (3) DCCP).

NAI Model Arbitration Clause

The Netherlands Arbitration Institute (NAI) recommends the following clause formulation:

“All disputes arising in connection with the present agreement, or further agreements resulting therefrom, shall be settled in accordance with the Arbitration Rules of the Netherlands Arbitration Institute.”

The NAI also recommends stating the place of arbitration in the clause (source: NAI model arbitration clause). Parties can add the number of arbitrators, the language of the proceedings and, for an Amsterdam seat, a choice for the Netherlands Commercial Court.

For international contracts with Amsterdam as the place of arbitration, parties can also designate the Netherlands Commercial Court (NCC) for court proceedings before, during or after the arbitration. The official model clause is set out below in the section on the NCC.

The place of arbitration also determines which Dutch court deals with court proceedings connected with the arbitration. A claim to set aside the award, for example, goes to the court of appeal of the district in which the place of arbitration is located (article 1064a(1) DCCP).

Who appoints arbitrators and what qualifications apply under Dutch law?

Arbitrators are appointed in the manner agreed by the parties, who may also leave the appointment to a third party such as an arbitration institute. If no method has been agreed, the parties appoint the arbitrator(s) jointly (article 1027(1) DCCP). The appointment must take place within three months after the arbitration has commenced; parties may shorten or extend that period. If it does not, the preliminary relief judge (voorzieningenrechter) of the district court appoints the missing arbitrator(s) at the request of a party (article 1027(2) and (3)).

The Dutch Arbitration Act does not prescribe a default number of arbitrators. It only requires an odd number; a sole arbitrator is possible (article 1026(1) DCCP). The UNCITRAL Model Law, by contrast, uses three arbitrators as default.

Appointment procedure and impartiality in the Netherlands

If the parties have not agreed on the number of arbitrators and cannot agree on it, the preliminary relief judge of the district court determines the number at the request of a party (article 1026(2) DCCP). If the parties have agreed on an even number, those arbitrators appoint an additional arbitrator as presiding arbitrator; failing agreement between them, the preliminary relief judge appoints the chair at a party’s request, unless the parties agreed otherwise (article 1026(3) and (4)).

In institutional arbitration, the rules usually fill this gap. Under the NAI Arbitration Rules 2024, for example, the tribunal always has an odd number of arbitrators and, if the parties have not agreed on the number, the responsible member of the NAI Case Management Committee determines it (Article 14 NAI Rules).

Qualifications and independence:

  • Any natural person with legal capacity can be an arbitrator (article 1023 DCCP)
  • Nationality poses no barrier, unless the parties agree otherwise with a view to the impartiality and independence of the tribunal
  • Impartiality and independence are mandatory requirements
  • An arbitrator must disclose in writing any circumstances that could lead to a challenge, also during the proceedings (article 1034 DCCP). An arbitrator can be challenged if there is justified doubt about his impartiality or independence (article 1033(1)); the challenge must be notified within four weeks, after which the preliminary relief judge decides if the arbitrator does not withdraw (article 1035(1) and (2))

Consequently, parties in complex commercial disputes can select experts with specific industry experience. For example, in construction disputes, an arbitrator with technical expertise is often appointed alongside legally trained arbitrators.

Example (illustrative): In a construction dispute, the parties may each appoint an arbitrator with a technical background, who then appoint a legally trained presiding arbitrator. A tribunal composed in this way combines technical and legal expertise in one decision.

How does the arbitration procedure work in practice under Dutch law?

Article 1036 DCCP sets the basic principles of the proceedings: subject to mandatory provisions, the proceedings are conducted as agreed by the parties and otherwise as determined by the tribunal; the tribunal treats the parties equally and gives each the opportunity to present and explain its position and respond to the other side; and the tribunal guards against unreasonable delay, while the parties are obliged to avoid it. Dutch arbitration therefore offers considerable procedural flexibility within clear legal limits.

Written and oral phase in the Netherlands

The procedure typically begins with written submissions: a statement of claim, a statement of defence, followed by reply and rejoinder. After the written phase follows a hearing where parties orally explain their positions, witnesses are heard and experts can be appointed.

Evidence and experts:

Unless the parties have agreed otherwise, the tribunal freely determines how evidence is taken, which evidence is admissible, how the burden of proof is allocated and how evidence is weighed (article 1039(1) DCCP). It can order evidence by hearing witnesses and experts (article 1041 DCCP). This flexibility contrasts with the more detailed rules of evidence in Dutch court proceedings. In international arbitrations, practices such as document production and cross-examination of witnesses are often used.

Interim measures and conservatory measures

During pending arbitral proceedings on the merits, the tribunal can grant interim relief at a party’s request, as long as it is connected with the claims in the arbitration (article 1043b(1) DCCP). Conservatory measures such as prejudgment attachment are excluded: for those, a party needs leave from the preliminary relief judge of the district court (article 700(1) DCCP). The arbitration agreement does not prevent this, nor does it prevent summary proceedings in court (article 1022a DCCP). If the other party invokes the arbitration agreement before any other defence, the court only has jurisdiction if the decision sought cannot be obtained, or not in time, in arbitration (article 1022c DCCP).

This limitation creates some interaction between arbitration and judicial proceedings, especially when parties wish to attach assets to secure their claim.

Electronic proceedings: An arbitration agreement can also be proven by electronic data (article 1021 DCCP), and the place of arbitration does not tie hearings to one location (article 1037(3) DCCP). Institutional rules such as the NAI Arbitration Rules 2024 provide for electronic communication.

What role do arbitration institutes play in the Netherlands?

The Netherlands houses multiple renowned arbitration institutes, each with specific expertise. This specialization enables parties to select the most suitable forum for their dispute.

Netherlands Arbitration Institute (NAI)

The NAI, established in 1949, is the leading general arbitration institute in the Netherlands. Its current Arbitration Rules were introduced on 1 March 2024 (text of 31 December 2024). They provide for electronic communication and require the parties, the tribunal and the NAI to take sustainability into account in conducting the proceedings.

Key features of the NAI Arbitration Rules 2024:

  • Communications are made electronically, by email or through the NAI arbitration platform (Article 4)
  • An odd number of arbitrators, usually one or three; without agreement, the NAI determines the number (Article 14)
  • Besides arbitration on the merits, the Rules cover emergency arbitration and expedited arbitration
  • An NAI award can only be challenged in court on the limited grounds of Dutch law (articles 1065 and 1068 DCCP)

Specialized arbitration institutes in the Netherlands

Council of Arbitration for the Construction Industry (Raad van Arbitrage voor de Bouw, RvA): Handles construction disputes, for example under the UAV conditions. The technical complexity of construction disputes calls for arbitrators with both legal and construction expertise.

UNUM (formerly TAMARA): Specialized in maritime and transport disputes. Proceedings often conducted in English, attracting international parties.

FENEX Arbitration: For forwarding and logistics disputes under FENEX conditions, standard in the Dutch logistics sector. The speed and industry knowledge make FENEX arbitration particularly suitable for time-sensitive logistics disputes.

What is competence-competence and judicial review under Dutch law?

Article 1052(1) DCCP codifies the principle of competence-competence: the arbitral tribunal may rule on its own jurisdiction. The arbitration agreement is treated as a separate agreement, and the tribunal may also rule on the existence and validity of the main contract (article 1053 DCCP).

Jurisdictional disputes and judicial control in the Netherlands

A party that appears in the arbitration and argues that there is no valid arbitration agreement must raise this before all other defences; otherwise it loses that argument, both in the arbitration and later in court, unless the objection is that the dispute is not arbitrable (article 1052(2) DCCP). A similar rule applies to objections that the tribunal was composed contrary to the applicable rules (article 1052(3)).

Judicial review afterwards: A decision in which the tribunal declares itself competent can only be challenged together with a subsequent final or partial final award, by means of setting aside or revocation (article 1052(4) DCCP). If the tribunal declares itself incompetent because there is no valid arbitration agreement, the ordinary courts have jurisdiction; if it does so on another ground, the arbitration agreement remains in force unless the parties agreed otherwise (article 1052(5)).

Example (illustrative): A Dutch technology company and a US licensee agree on NAI arbitration with Amsterdam as the place of arbitration. In a royalty dispute, the licensee argues that the arbitration clause is invalid. The tribunal decides on its own jurisdiction (article 1052(1) DCCP) and assesses the validity of the clause under one of the laws mentioned in article 10:166 DCC. If it accepts jurisdiction, the licensee can only challenge that decision together with a subsequent (partial) final award (article 1052(4)).

How is the arbitral award rendered under Dutch law?

The tribunal decides when it renders the award (article 1048 DCCP); the Act prescribes no deadline. Parties can agree on time limits, and some institutional rules impose them.

Form and content of the award in the Netherlands

The award must be in writing and signed by the arbitrator(s) and must state, among other things, the names of the arbitrators and parties, the date, the place and the reasons for the decision (article 1057(2) and (4) DCCP). No reasons are given if the award only determines the quality or condition of goods, if it records a settlement, or if the parties agree in writing, after the arbitration has commenced, that no reasons are to be given (article 1057(5)).

Waiving reasons can save time and costs. Before doing so, parties should consider where the award may need to be enforced.

Types of awards:

  • Final award (geheel eindvonnis): disposes of all claims in its operative part (article 1049(1) DCCP)
  • Partial final award (gedeeltelijk eindvonnis): disposes of part of the claims in its operative part, for example one of several claims (article 1049(1) and (2))
  • Interim award (tussenvonnis): a decision that does not dispose of any claim, for example on evidence or on a preliminary question
  • Award on agreed terms: at the joint request of the parties, the tribunal can record a settlement in an award; it may refuse without giving reasons (article 1069(1) DCCP)

Costs and cost allocation under Dutch law

Book 4 DCCP contains no specific rules on the costs of the arbitration or on cost allocation. Cost allocation therefore follows from the parties’ agreement, the applicable arbitration rules and, failing those, the tribunal’s decision within its procedural freedom (article 1036(1) DCCP). Tribunals often order the losing party to bear the costs, including reasonable lawyers’ fees.

Practice: Tribunals may limit the recoverable amount to what they consider reasonable, so the winning party does not always recover all costs. Recoverable costs in arbitration are not tied to the fixed scale (liquidatietarief) that Dutch courts usually apply, which often covers only part of the actual lawyers’ fees.

Can arbitral appeal be instituted in the Netherlands?

Section Three A (articles 1061a-1061l DCCP) regulates arbitral appeal: an appeal to a second arbitral tribunal. Appeal is not standard in arbitration. It is only possible if the parties have agreed on it, and that agreement must meet the requirements of articles 1020 and 1021 DCCP and articles 10:166 and 10:167 DCC (article 1061b DCCP).

Conditions and procedure for arbitral appeal

Arbitral appeal can be lodged within the period agreed by the parties or, failing that, within three months after the day the award was sent (article 1061c DCCP). It lies against a final award and a last partial final award and, unless agreed otherwise, also against other partial final awards; against an interim award only together with the (partial) final award (article 1061d DCCP).

The appeal procedure is largely determined by the parties themselves, including the composition of the appeal tribunal and the scope of the appeal; otherwise the rules of Title One apply as far as possible (article 1061a DCCP). Against an award given in arbitral appeal, only setting aside and revocation are available (article 1061l(1) DCCP).

Enforcement pending appeal: If a party asks for it, the tribunal in first instance can declare its award provisionally enforceable notwithstanding an arbitral appeal, unless the law or the nature of the case dictates otherwise; it may require security (article 1061i(1) DCCP). An award that has not been declared provisionally enforceable can in principle only be enforced once the appeal period has expired unused or the award has been upheld on appeal (article 1061k(2) DCCP).

When does arbitral appeal make sense? An appeal adds time, costs and effort, and it reduces one of arbitration’s main advantages: a final decision in one round. Parties should weigh this against the value of a second review, for example in very large or complex disputes.

How is an arbitral award set aside or revoked in the Netherlands?

Against a final or partial final award, only setting aside (vernietiging) and revocation (herroeping) are available (article 1064 DCCP). Article 1065(1) DCCP contains an exhaustive list of grounds for setting aside, which protects the finality of arbitral awards. Arbitration sits alongside the court route described under litigation in the Netherlands.

Setting aside grounds under Dutch law

An arbitral award can be set aside based on:

  1. Absence of a valid arbitration agreement, for example because no such agreement was concluded or it is invalid
  2. Irregular composition of tribunal—for example violation of appointment rules
  3. Failure to comply with its mandate, for example by deciding on matters outside the scope of the arbitration agreement
  4. Formal defects—not signed or not reasoned (article 1057 DCCP)
  5. Conflict with public policy—award or manner of rendering conflicts with fundamental legal principles

Procedural aspects: The claim for setting aside is brought before the court of appeal of the district in which the place of arbitration is located (article 1064a(1) DCCP). The right to do so lapses three months after the day the award was sent; an award is deemed sent four weeks after its date (article 1058(2) DCCP). If the parties agreed on deposit of the award at the court registry, the period runs from the deposit. If the award is served with leave for enforcement, the other party can still bring the claim within three months after that service (article 1064a(2)). All grounds must be stated in the writ of summons (article 1064a(4)). A claim for setting aside does not suspend enforcement (article 1066(1) DCCP), but the court can suspend enforcement at a party’s request if there are grounds to do so, and may order security (article 1066(2) and (5)).

The grounds are limited further by law. A missing arbitration agreement cannot lead to setting aside if a party that appeared failed to raise it before all other defences, and the same applies in certain cases to an irregular composition of the tribunal (article 1065(2) and (3) DCCP). A failure to comply with the mandate only leads to setting aside if it is serious and the party objected in time (article 1065(4) and article 1048a DCCP). Against the judgment of the court of appeal, an appeal in cassation to the Supreme Court is possible; parties can exclude it by agreement, unless one of them is a natural person not acting in the course of a profession or business (article 1064a(5)).

Revocation grounds in Dutch law

Article 1068(1) DCCP provides for revocation as an extraordinary remedy, only on the following grounds:

  1. Fraud: the award is based wholly or partly on fraud discovered after the award, committed in the arbitration by or with the knowledge of the other party
  2. False documents—documents proven false after the award
  3. Withheld documents—new documents that would have had influence but were withheld by the opposing party

A claim for revocation must be brought before the court of appeal of the district of the place of arbitration within three months after the fraud or falsity became known or the party obtained the new documents (article 1068(2) DCCP). Here too, the claim does not automatically suspend enforcement; article 1066 applies accordingly.

Yukos: The best-known Dutch setting-aside case concerns the Yukos awards of 2014, made in The Hague, in which the Russian Federation was ordered to pay a total of approximately USD 50 billion to former Yukos shareholders. The case was decided under the Arbitration Act as it applied before 2015. The District Court of The Hague set the awards aside in 2016 (ECLI:NL:RBDHA:2016:4229). The Court of Appeal of The Hague overturned that judgment in 2020 and dismissed Russia’s claims (ECLI:NL:GHDHA:2020:234). The Supreme Court quashed that judgment in 2021, holding that fraud in the arbitration can also be invoked in setting-aside proceedings, and referred the case to the Court of Appeal of Amsterdam (ECLI:NL:HR:2021:1645). That court dismissed Russia’s claims again in 2024 (ECLI:NL:GHAMS:2024:351), and on 17 October 2025 the Supreme Court dismissed the appeal in cassation (ECLI:NL:HR:2025:1569).

How is an arbitral award enforced in the Netherlands?

An award made in the Netherlands can only be enforced after the preliminary relief judge of the district court of the district in which the place of arbitration is located has granted leave (exequatur) at the request of a party (article 1062(1) DCCP).

The leave is recorded on the original award or, if the award was not deposited, in a separate decision; the registrar sends certified copies to the parties (article 1062(2)). If the award is later set aside or revoked, the leave lapses by operation of law (article 1062(4)).

Grounds for refusal of leave under Dutch law

The preliminary relief judge can only refuse leave if, after a summary examination, it is plausible that the award will be set aside or revoked on one of the statutory grounds, or if a penalty payment was imposed contrary to article 1056 DCCP (article 1063(1) DCCP):

  • Setting aside grounds (article 1065(1))
  • Revocation grounds (article 1068(1))
  • A penalty payment (dwangsom) imposed contrary to article 1056 DCCP; the refusal then only concerns the penalty

Practice: If the period for setting aside has expired unused, leave can only be refused if it is plausible that the award conflicts with public policy (article 1063(2) DCCP). Once leave has been granted, a bailiff can enforce the award in the same way as a court judgment.

Asymmetric appeal system in the Netherlands

The Netherlands employs an asymmetric system: against a decision refusing leave, the applicant can appeal to the court of appeal and then in cassation (article 1063(4) and (5) DCCP). A decision granting leave cannot be appealed; the other party can only use setting aside or revocation (article 1062(3)). This does not apply to foreign awards: for those, the court of appeal decides, and an appeal in cassation is possible within three months (articles 1075(2) and 1076(6) DCCP).

How are foreign arbitral awards recognized in the Netherlands?

The Netherlands has been party since 1964 to the New York Convention (1958) on the recognition and enforcement of foreign arbitral awards; it entered into force for the Netherlands on 23 July 1964. With more than 170 contracting states, the convention gives businesses considerable legal certainty in international transactions.

Procedure for foreign awards under Dutch law

A foreign award covered by a treaty is recognised and enforced at the request of a party; the court of appeal decides instead of the district court (article 1075(1) and (2) DCCP). Under article IV of the convention, the applicant supplies the duly authenticated original award or a certified copy, the original arbitration agreement or a certified copy, and a certified translation if needed. For details, see our article on the enforcement of foreign arbitral awards in the Netherlands.

Note: the Netherlands made a reciprocity reservation. It applies the convention only to awards made in the territory of another contracting state (article I(3)); other foreign awards can be recognised under article 1076 DCCP.

Refusal grounds under the New York Convention in the Netherlands

Article V of the New York Convention provides exhaustive refusal grounds:

  • Incapacity of parties or invalid arbitration agreement
  • Violation of due process
  • Arbitrators exceeding jurisdiction
  • Irregularities in composition of tribunal or procedure
  • Award not yet binding, set aside or suspended in country of origin
  • Non-arbitrable subject matter
  • Conflict with public policy

Where no treaty applies, article 1076(1) DCCP contains its own, comparable refusal grounds, including public policy.

What limitation period applies to enforcement in the Netherlands?

Under Dutch law, the right to enforce a judicial or arbitral decision lapses after 20 years, counted from the beginning of the day following the decision or, if enforcement depends on conditions whose fulfilment is not up to the beneficiary, from the beginning of the day following their fulfilment (article 3:324(1) DCC). For amounts payable annually or more frequently under the decision, the period is five years (article 3:324(3)). Whether these periods apply to a foreign award depends on the applicable law. Limitation under the law of the country where the award was made is not a ground to refuse enforcement under article 1076 DCCP (Supreme Court, ECLI:NL:HR:2015:1077).

This period is much longer than the limitation period for many ordinary claims, such as claims for performance of a contract, which lapse after five years (article 3:307(1) DCC).

What is the role of multi-party arbitration under Dutch law?

Articles 1045, 1045a and 1046 DCCP offer procedural mechanisms for involving third parties and related arbitrations. Dealing with related claims and parties together can make the resolution more efficient and cost-effective.

Joinder and intervention in the Netherlands

Unless the parties have agreed otherwise, the tribunal can, at the written request of a third party with an interest in the arbitration, allow it to join (voeging) or intervene (tussenkomst), provided the same arbitration agreement applies or becomes effective between the parties and the third party (article 1045(1) DCCP). Once admitted, the third party becomes a party to the arbitration (article 1045(4)).

Joinder refers to situations where a third party supports the position of an existing party. For example: in a joint venture with three shareholders, the third shareholder can join to support one of the parties.

Intervention means a third party institutes its own claim against one or more existing parties. For example: a third party can intervene to claim property rights on goods against both parties.

Third-party notice under Dutch law

At a party’s written request, the tribunal can allow it to give third-party notice (vrijwaring) to a third party, provided the same arbitration agreement applies or becomes effective between that party and the third party (article 1045a(1) DCCP). The tribunal refuses if it considers it implausible from the outset that the third party will have to bear the consequences of an adverse decision, or if the third-party proceedings would cause unreasonable or unnecessary delay (article 1045a(4)). For example, a contractor held liable by a client can ask permission to give third-party notice to the subcontractor who performed the work.

Consolidation of proceedings in the Netherlands

Article 1046(1) DCCP facilitates consolidation (samenvoeging) of arbitrations. A party can request a third party designated by parties to order consolidation with other arbitrations (in or outside the Netherlands), unless parties agree otherwise.

If the parties have not designated a third party, the preliminary relief judge of the District Court of Amsterdam can be asked to consolidate an arbitration pending in the Netherlands with another arbitration pending in the Netherlands, unless the parties have agreed otherwise (article 1046(1) DCCP).

Conditions: Consolidation may not cause unreasonable delay and procedures must be so intertwined that good procedural order makes it desirable to prevent incompatible decisions (article 1046(2) DCCP).

How does arbitration work in specific sectors in the Netherlands?

Construction sector: speed and technical expertise

Arbitration is common in the Dutch construction sector. Construction contracts frequently refer to arbitration by the RvA, for example through the UAV conditions. The technical complexity of construction disputes calls for specialised arbitrators.

Advantage for construction parties: Disputes over construction defects, delayed delivery or additional work require both technical and legal expertise. Parties can choose an arbitrator with a construction-technical background, and the tribunal can inspect the site (article 1039(2) DCCP).

International trade and corporate law in the Netherlands

Arbitration is popular in international trade because of its neutrality and global enforceability. Common issues include delivery conflicts, shareholder disputes and disputes after mergers and acquisitions. Arbitration can offer independence and speed in this context.

Employment law: niche application in Dutch law

Arbitration is less common in employment law, but arbitration clauses do appear, for example in collective agreements or in the regulations of sports associations. A clause in binding articles of association or regulations counts as an arbitration agreement (article 1020(5) DCCP).

What is the role of the Netherlands Commercial Court?

The Netherlands Commercial Court (NCC), consisting of the NCC District Court, NCC Court in Summary Proceedings and NCC Court of Appeal, offers English-language jurisdiction for international commercial cases.

For arbitration-related court proceedings, the NCC can be designated if the place of arbitration is Amsterdam and the general NCC requirements are met: jurisdiction of the Amsterdam District Court or the Amsterdam Court of Appeal, an international dispute about a legal relationship at the free disposal of the parties, an express agreement to litigate before the NCC, proved by a written document, and no case for the subdistrict court (article 32a(1) DCCP; article 1064a(1) DCCP). More on this in our article on arbitration and the Netherlands Commercial Court.

NCC jurisdiction in arbitration under Dutch law

The NCC can among others handle:

  • Conservatory measures and summary proceedings despite the arbitration agreement (articles 1022a and 1022c DCCP)
  • Appointment of arbitrators in disputes (article 1027(3) DCCP)
  • Challenge of arbitrators (article 1035 DCCP)
  • Setting aside requests at the NCC Court of Appeal (article 1064a(1) DCCP)

Model NAI + NCC clause: The NAI and NCC have jointly developed a model clause combining NAI arbitration with NCC jurisdiction in English. This combination offers parties complete English-language dispute resolution from arbitration to potential setting aside proceedings:

“All disputes arising in connection with the present agreement, or further agreements resulting therefrom, shall be settled in accordance with the Arbitration Rules of the Netherlands Arbitration Institute (NAI). The place of arbitration shall be Amsterdam (the Netherlands). The proceedings shall be conducted in English. Any court proceedings in the Netherlands before, during or after the arbitration will – to the extent allowed by law – exclusively be dealt with by the Amsterdam District Court or the Amsterdam Court of Appeal, whichever has jurisdiction, following proceedings in English before the Chambers for International Commercial Matters (Netherlands Commercial Court, which consists of the NCC District Court, the NCC Court in Summary Proceedings and the NCC Court of Appeal). The NCC Rules of Procedure (see www.ncc.gov.nl) apply to these proceedings. This clause is not intended to exclude Supreme Court appeal.” (Source: NCC model clause (arbitration).)

What is the role of investment arbitration in the Netherlands?

The Netherlands is often chosen as seat for investment arbitrations, likely due to the Permanent Court of Arbitration in the Peace Palace in The Hague. The Netherlands is party to the ICSID Convention (1965), which facilitates dispute resolution between states and foreign investors.

Bilateral investment treaties and Achmea under Dutch law

The Netherlands is party to numerous bilateral investment treaties (BITs). After the Achmea judgment of the European Court of Justice (declaring investor-state arbitration clauses in intra-EU BITs incompatible with EU law), the Netherlands signed an agreement with other EU member states to terminate intra-EU BITs.

Consequence: Intra-EU investment arbitrations are no longer possible, but investment disputes with non-EU countries can still be resolved through arbitration. This development emphasizes the fast-moving nature of international investment law and the need for businesses to regularly review their dispute resolution clauses.

What are the strategic advantages and disadvantages in the Netherlands?

Advantages of arbitration under Dutch law

Speed and efficiency: Arbitration can offer faster resolution than court proceedings, in particular because there is no appeal unless the parties have agreed on it (article 1061b DCCP). That can save time and lawyers’ fees.

Expertise and specialization: Parties select arbitrators with relevant industry experience. In complex technical or financial disputes, this expertise can make the difference between a well-substantiated and superficial decision.

Privacy: Arbitration hearings are not public, unlike most court hearings. The Act does not impose a general duty of confidentiality, however (article 1058(4) DCCP only bars copies of deposited awards for third parties). Agree on confidentiality expressly if you need to protect trade secrets, financial data or reputation.

International enforceability: Thanks to the New York Convention, arbitral awards can be enforced in more than 170 contracting states, subject to the refusal grounds of article V. Court judgments, by contrast, depend on treaties, EU rules or national recognition rules.

Definitive character: Without an agreed arbitral appeal, the award is not open to appeal on the merits. Court review is limited to setting aside and revocation on exhaustive grounds (articles 1064 and 1065 DCCP), followed by a possible appeal in cassation that parties can exclude in business-to-business cases (article 1064a(5)).

Disadvantages and limitations in Dutch law

Higher direct costs: Arbitration can be more expensive than court proceedings because the parties pay the arbitrators’ fees and the institution’s administrative costs, in addition to lawyers’ fees. Institutions such as the NAI publish their fee schedules.

No standard appeal: Without an appeal, there is no second review of the merits. Because the grounds for setting aside are limited, parties are generally bound by the award, even if they consider the outcome wrong.

Not suitable for all disputes: Matters outside the parties’ free disposal, such as personal status or a declaration of bankruptcy, cannot be decided by arbitration (article 1020(3) DCCP). Consumers are protected: an arbitration clause in general terms and conditions is deemed unreasonably onerous unless the consumer may still opt for the competent court within one month (article 6:236(n) DCC).

Exequatur requirement: Enforcement requires leave from the court (article 1062 DCCP), which adds an extra step before a bailiff can act.

How does arbitration compare with mediation in the Netherlands?

Arbitration ends with a binding award; mediation with a settlement agreement, if the parties reach one. Arbitration is formal with fixed procedures; mediation is voluntary and informal. Arbitration requires an arbitration agreement, which can be concluded before or after the dispute arises (article 1020(2) DCCP); mediation can be terminated at any time.

When do you choose arbitration? If parties want a definitive, binding decision by an independent third party. Suitable for complex legal disputes where parties want an expert to decide.

When do you choose mediation? In disputes where parties want to maintain a working relationship and jointly reach a solution. Mediation is more flexible, cheaper and less confrontational.

Hybrid solutions: Some clauses combine mediation and arbitration (“med-arb”). The parties first try to reach agreement through mediation; if that fails, arbitration follows if the clause so provides.

Strategic implementation for businesses in the Netherlands

For businesses considering arbitration, the following strategic considerations are essential:

Contract drafting: Include a clear arbitration clause during contract formation. Use model clauses from renowned institutes such as NAI, RvA or UNUM. Explicitly specify place of arbitration, applicable law, number of arbitrators and procedural language.

Cost management: Consider cost allocation clauses where the losing party bears all reasonable costs. This clause discourages frivolous claims and protects winning parties.

Language choice clause: In international contracts, specify English as procedural language to avoid translation costs. Combine this with an NCC clause for potential judicial proceedings.

Escalation clause: Consider an escalation clause where parties first try mediation before proceeding to arbitration. This approach can resolve disputes more cheaply and quickly.

Example (illustrative): A Dutch software company concludes a licence agreement with a distributor outside the EU. The contract contains an NAI arbitration clause with Amsterdam as the place of arbitration, English as the language and an escalation clause (first mediation, then arbitration). If mediation fails, the arbitration can be conducted largely electronically, before arbitrators with knowledge of software licensing. The award can then be enforced in any New York Convention state, subject to the refusal grounds of article V.

Frequently asked questions about arbitration procedures under Dutch law

How does an arbitration procedure work in the Netherlands?

The procedure starts with a written notice of arbitration (article 1025 DCCP), followed by the appointment of the arbitrators (articles 1026-1027). The tribunal then conducts the proceedings as the parties agreed, usually with written submissions and a hearing, while treating the parties equally (article 1036). It ends with a written and signed award that, as a rule, states its reasons (article 1057), which can be enforced after leave from the court (article 1062).

What types of arbitration exist under Dutch law?

Institutional arbitration follows the rules of an institute such as the NAI, which become part of the arbitration agreement (article 1020(6) DCCP). In ad hoc arbitration, the parties and the tribunal shape the procedure within Book 4 DCCP (article 1036). The agreement itself can be an arbitration clause for future disputes or a submission agreement for an existing dispute (article 1020(2)).

Who appoints the presiding arbitrator?

The method agreed by the parties applies; otherwise the parties appoint the arbitrators jointly (article 1027(1) DCCP). If the parties agreed on an even number of arbitrators, those arbitrators appoint an additional arbitrator as chair, and failing agreement the preliminary relief judge appoints the chair at a party’s request (article 1026(3) and (4)), unless the parties agreed otherwise.

Can parties agree to arbitration after a dispute has arisen?

Yes. A submission agreement (compromis) covers an existing dispute (article 1020(2) DCCP). It is proven by a document that the other party has accepted expressly or tacitly; electronic data also suffice (article 1021).

What happens if one party seeks enforcement and the other seeks revocation of the award?

A claim for setting aside or revocation does not suspend enforcement by itself, but the court of appeal can suspend enforcement at a party’s request and order security (articles 1066 and 1068(2) DCCP). The preliminary relief judge may also refuse leave if it is plausible that the award will be revoked (article 1063(1)). If the award is revoked, the leave lapses (article 1062(4)).

Primary sources

Is arbitration suitable for your dispute under Dutch law?

Arbitration offers Dutch businesses a mature, respected alternative to court procedures. Particularly in sectors where speed, expertise and discretion are essential, arbitration offers clear advantages.

The combination of internationally recognized legal force, specialist knowledge and flexibility makes arbitration a strategically valuable instrument for businesses wanting to control legal procedures regarding timing, content and reputation.

However, arbitration does not fit every dispute. Matters outside the parties’ free disposal cannot be arbitrated, and consumers have special protection. Higher direct costs and the absence of appeal are also important considerations. Legal advice helps to determine whether arbitration is the right method for your situation.

For international commercial disputes with substantial interests, arbitration under Dutch law offers a reliable, efficient and definitive mechanism ensuring global legal certainty. Therefore, during contract drafting, contact a specialized lawyer in arbitration law in Amsterdam to develop a custom arbitration clause that best protects your commercial interests.

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