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If an employee makes a mistake and damage results, he is rarely personally liable for it. The law protects the employee: he is only liable in cases of intent or conscious recklessness (Article 7:661 of the Dutch Civil Code). In most cases, the employer bears the cost of the damage.
The employee is well protected
Where work is done, mistakes are made. If an employee causes damage in the process—to the employer himself or to a third party—he is, in principle, not liable for it. The underlying idea is that mistakes are simply part of the job and that the risk lies with the employer.
Only in case of intent or conscious recklessness
The employee is only personally liable if the damage is the result of intent or conscious recklessness (Article 7:661 of the Dutch Civil Code). That bar is set high: an ordinary or even gross error is not sufficient. The employee must have been genuinely aware that his actions would lead to damage and have acted accordingly.
The employer is often liable
If an employee causes damage to a third party during work, the employer may be liable for this (Article 6:170 of the Dutch Civil Code). The injured party then sues the employer, not the employee. Moreover, the employer usually cannot recover that damage from the employee, precisely because of the protection afforded by Article 7:661 of the Dutch Civil Code.
What does this mean for you?
As an employer, count on bearing the risk of errors yourself. Limit that risk with proper instructions, supervision, and appropriate liability insurance. If you wish to recover damages in exceptional cases, you must be able to prove intent or conscious recklessness — and that is rarely successful.
Frequently Asked Questions
Is my employee liable for damage he causes?
Usually not. The employee is personally liable only in cases of intent or conscious recklessness (Article 7:661 of the Dutch Civil Code).
Can I recover the damages from my employee?
Rarely. You can only do that in cases of intent or conscious recklessness, and that is difficult to prove.
Who pays for damages to a customer?
Often the employer: the employer may be liable for damage caused to third parties by an employee during work (Article 6:170 of the Dutch Civil Code).
Ensure you are well covered for your liability?
Our legal experts advise on this and record agreements in your employment contract. View our liability lawteam or schedule a free consultation.
