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

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<strong>Do<strong>in</strong>g</strong> <strong>Bus<strong>in</strong>ess</strong> <strong>in</strong> <strong>the</strong> Ne<strong>the</strong>rlands <strong>2012</strong><br />

Most significantly, state secretaries are not members <strong>of</strong> <strong>the</strong> Council <strong>of</strong><br />

M<strong>in</strong>isters. The government (m<strong>in</strong>isters and state secretaries) prepares<br />

and implements legislation, oversees local government, carries out <strong>the</strong><br />

day-to-day bus<strong>in</strong>ess <strong>of</strong> government and ma<strong>in</strong>ta<strong>in</strong>s <strong>in</strong>ternational<br />

relations.<br />

Parliament is made up <strong>of</strong> two houses. The Senate has 75 <strong>in</strong>directly<br />

elected members, who only have <strong>the</strong> power <strong>of</strong> veto <strong>in</strong> <strong>the</strong> legislative<br />

process. The House <strong>of</strong> Representatives has 150 members elected<br />

directly by <strong>the</strong> people.<br />

1.4 Courts<br />

The Ne<strong>the</strong>rlands is divided <strong>in</strong>to 19 districts, each with its own court.<br />

The District Court (Rechtbank) is made up <strong>of</strong> a maximum <strong>of</strong> five<br />

sectors. These always <strong>in</strong>clude <strong>the</strong> adm<strong>in</strong>istrative sector, civil sector,<br />

crim<strong>in</strong>al sector and sub-district sector. The District Courts deal as<br />

courts <strong>of</strong> first <strong>in</strong>stance with crim<strong>in</strong>al cases and civil cases not handled<br />

by <strong>the</strong> 61 sub-district courts.<br />

Citizens have <strong>the</strong> right to argue <strong>the</strong>ir own case and do not need a<br />

lawyer to represent <strong>the</strong>m <strong>in</strong> <strong>the</strong> sub-district courts, Kanton courts<br />

(Kantongerechten). Civil jurisdiction <strong>in</strong>volves all cases concern<strong>in</strong>g<br />

rents, hire purchase, employment and all conflicts <strong>in</strong>volv<strong>in</strong>g an<br />

amount under EUR25,000. Crim<strong>in</strong>al Jurisdiction <strong>in</strong>volves m<strong>in</strong>or<br />

<strong>of</strong>fenses.<br />

The 19 districts <strong>in</strong> <strong>the</strong> Ne<strong>the</strong>rlands are divided <strong>in</strong>to five areas <strong>of</strong> Court<br />

<strong>of</strong> Appeal (Gerechtsh<strong>of</strong>) jurisdiction. The Hague and Amsterdam <strong>in</strong><br />

<strong>the</strong> west, Arnhem <strong>in</strong> <strong>the</strong> east, Hertogenbosch <strong>in</strong> <strong>the</strong> south and<br />

Leeuwarden <strong>in</strong> <strong>the</strong> north. The court hears appeal lodged by <strong>the</strong><br />

District Courts on crim<strong>in</strong>al and civil law. In most cases, it is possible<br />

to contest <strong>the</strong> Court <strong>of</strong> Appeal’s decision by appeal<strong>in</strong>g <strong>in</strong> cassation to<br />

<strong>the</strong> Supreme Court <strong>of</strong> <strong>the</strong> Ne<strong>the</strong>rlands. The court also functions as<br />

adm<strong>in</strong>istrative court, decid<strong>in</strong>g on appeals aga<strong>in</strong>st tax assessments.<br />

Baker & McKenzie 13

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