Month: September 2006

The articles may provide for an instruction right I received a question about controlling one’s subsidiaries. I assume that the (Netherlands Antilles) holding owns the majority of shares in the subsidiaries. In general, it is the (managing board of a) holding company that exercises voting rights attached to the shares in its subsidiaries, i.e., the… Continue reading HOW TO CONTROL SUBSIDIARIES?

Relative effect only A conservatory attachment (or arrest) serves the purpose of trying to prevent a debtor from frustrating recovery by his creditor, for example, by alienating, removing, or hiding assets. However, under Netherlands Antilles law an attachment has a relative effect only: any subsequent transfer would be void in relation to the party that… Continue reading WHAT IS THE EFFECT OF ATTACHING SHARES UNDER THE LAWS OF THE NETHERLANDS ANTILLES?

Local practice may differ from island to island Some believe that the mortgagee should always procure auction proceeds of at least 70% of the appraised free market value and that the mortgagee may never accept a bid below such amount. The question is, however, whether such a minimum bid prize is required? The answer is… Continue reading FORECLOSING A MORTGAGE IN THE NETHERLANDS ANTILLES

Default could be a ground for early termination Under Netherlands Antilles law of long lease, a right of long lease (10 years or longer) is forfeit by decision of the court. However, a long lease deed may provide for unilateral termination upon a default in the payment of long lease installments. Even if the long lease… Continue reading THE TERMINATION OF A LONG LEASE UNDER THE LAWS OF THE NETHERLANDS ANTILLES

Basic overview of the procedure The appellate procedure in summary relief actions is as follows. The party appellant first files a deed of appeal with the court (a strictly formal document), followed within three weeks by a statement of grievances (“memorie van grieven”), setting forth the objections of the party appellant against the judgement. The… Continue reading APPELLATE PROCEEDINGS IN SUMMARY RELIEF PROCEEDINGS IN THE NETHERLANDS ANTILLES AND ARUBA

The request to consent may be treated as a new application Today I received a question from a visitor to the site. He would like to know whether licenses and permits can be assigned from one party to another by a simple agreement. Under local law, permits and licenses can only be transferred with the… Continue reading THE TRANSFER OF LICENSES AND PERMITS UNDER THE LAWS OF THE NETHERLANDS ANTILLES

Directors of a fund manager lost job fully unnecessary On 12 September 2006, the Dutch Trade and Industry Appeals Tribunal (‘College van Beroep voor het bedrijfsleven’), a special administrative court based in The Hague which rules on disputes in the area of social-economic administrative law, nullified several decisions of the Dutch Authority on Financial Markets… Continue reading MAJOR DEFEAT FOR DUTCH AUTHORITY ON FINANCIAL MARKETS (AFM) IN CASE RELATED TO INSIDER TRADING

His name and photo may no longer be used The legendary Dutch football player Johan Cruijff – often spelled Cruyff outside the Kingdom of the Netherlands – got a court order from the Amsterdam district court against the Spain-based real estate developer Colmar (click here for source). The court order is blocking Colmar from using Johan Cruijff’s… Continue reading FORMER STAR PLAYER JOHAN CRUIJFF WINS INJUNCTION IN COLMAR CASE

Venture capital companies included in exemption regulation The primary objective of the National Ordinance on the Supervision of Investment Institutions and Administrators 2002 (‘Landsverordening toezicht beleggingsinstellingen en administrateurs’) is to introduce a regime of supervision for investment institutions and administrators in the interest of an adequate operation of the financial markets and the position of… Continue reading VENTURE CAPITAL COMPANIES UNDER THE LAWS OF THE NETHERLANDS ANTILLES

A limited partnership has no legal personality A limited partnership (‘commanditaire vennootschap’) under the laws of the Netherlands Antilles has no legal personality but has a contractual basis. A limited partnership can be ‘established’ (concluded) pursuant to the provisions of the Commercial Code (‘Wetboek van Koophandel’) as well as the Civil Code of the Netherlands… Continue reading LIMITED PARTNERSHIPS UNDER THE LAWS OF THE NETHERLANDS ANTILLES

The pledgor must be authorized to dispose over the receivable Under the laws of Aruba, a right of pledge can be established on future receivables, provided that such receivables directly result from an existing legal relationship (‘rechtstreeks zullen worden verkregen uit een bestaande rechtsverhouding’). However, the right of pledge on a future receivable will only… Continue reading PLEDGING FUTURE RECEIVABLES UNDER THE LAWS OF ARUBA

Consolidated financial information must be made public The Netherlands Antilles Central Bank (‘Bank van de Nederlandse Antillen’) decided in March 2006, that each insurance company should disclose its 2005 Consolidated Financial Highlights (“CFH”) within 2 months after June 30, 2006, and starting as of year-end 2005, disclose its CFHs within 6 months after each calendar… Continue reading NEW DISCLOSING OBLIGATIONS FOR INSURANCE COMPANIES TRANSACTING BUSINESS IN THE NETHERLANDS ANTILLES