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Doing Business in the Netherlands 2012 - American Chamber of ...

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goods. This act is aimed especially at protect<strong>in</strong>g (fur<strong>the</strong>r) distribution<br />

<strong>of</strong> unsafe goods. Any obligation to launch a product recall is based on<br />

<strong>the</strong> Consumer Goods Act.<br />

23.3.4 O<strong>the</strong>r Strict Liability<br />

O<strong>the</strong>r types <strong>of</strong> non-contractual liability based on strict liability are,<br />

<strong>in</strong>ter alia, <strong>the</strong> liability for a wrongful act <strong>of</strong> one’s employees, one’s<br />

subcontractors and one’s representatives. Ano<strong>the</strong>r example <strong>of</strong> strict<br />

liability is that <strong>the</strong> owner <strong>of</strong> a moveable defective object is, under<br />

certa<strong>in</strong> conditions, liable for <strong>the</strong> damage caused by that object.<br />

Liability for some forms <strong>of</strong> environmental damage is also based on<br />

strict liability.<br />

23.4 Compensation<br />

The sections <strong>of</strong> <strong>the</strong> Code that govern compensation apply to both<br />

contractual and non-contractual liabilities.<br />

23.4.1 Types <strong>of</strong> Damage<br />

The Code provides that two types <strong>of</strong> damage may be compensated: (i)<br />

f<strong>in</strong>ancial loss (vermogensschade); and (ii) o<strong>the</strong>r disadvantages (ander<br />

nadeel).<br />

F<strong>in</strong>ancial loss <strong>in</strong>cludes both losses suffered and pr<strong>of</strong>its lost. F<strong>in</strong>ancial<br />

losses also <strong>in</strong>clude reasonable cost made <strong>in</strong> order to avoid or limit<br />

one’s damages, reasonable cost made <strong>in</strong> order to establish <strong>the</strong><br />

damages and <strong>the</strong> liability and reasonable cost made <strong>in</strong> order to collect<br />

one’s damages out <strong>of</strong> court. By <strong>the</strong> term “o<strong>the</strong>r disadvantages,”<br />

immaterial or emotional damage is meant. This damage will be<br />

compensated only <strong>in</strong> as far as <strong>the</strong> law provides for a legal basis for<br />

such compensation. A legal basis for compensation exists, for<br />

<strong>in</strong>stance, <strong>in</strong> case <strong>of</strong> (a) <strong>in</strong>tentional damage or (b) personal <strong>in</strong>jury or<br />

damage to <strong>the</strong> <strong>in</strong>jured party’s reputation.<br />

Dutch law does <strong>in</strong> pr<strong>in</strong>ciple not dist<strong>in</strong>guish between direct damages<br />

and consequential damages. All damage suffered must <strong>in</strong> pr<strong>in</strong>ciple be<br />

252 Baker & McKenzie

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