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Contracts for work and contracts for services are similar, but legally distinct. In a contract for work, the contractor creates a tangible work (Article 7:750 of the Dutch Civil Code); in a contract for services, he performs other services (Article 7:400 of the Dutch Civil Code). Neither is an employment contract.
Contract for work
In a contract for work, the contractor undertakes to produce a tangible work in exchange for payment, such as a renovation, a piece of furniture, or an installation (Article 7:750 of the Dutch Civil Code). A characteristic feature is that a concrete, tangible result is delivered. Special rules apply to this, including those concerning delivery and liability for defects.
Contract for services
In a contract for services, the contractor performs activities that do not consist of creating a tangible work, such as advice, administration, or guidance (Article 7:400 of the Dutch Civil Code). This often involves an obligation of best effort: the contractor makes an effort but does not always promise a fixed result.
Why the distinction matters
The difference determines which legal framework applies and what parties may expect from each other: a result (contract for services) or an effort (contract for work). This has consequences for liability, completion, payment, and the possibility to terminate the agreement.
Pay attention to the boundary with work
In both forms, there is no employment contract, provided that the working method clearly indicates this. If the contractor actually works under your authority as an employee, an employment relationship may nevertheless arise, with all the associated consequences.
Frequently Asked Questions
What is the difference between a contract for work and a commission?
A contract for work produces a tangible work (Article 7:750 of the Dutch Civil Code); an assignment concerns other services (Article 7:400 of the Dutch Civil Code), often as an obligation of best effort.
Does employment law apply to these agreements?
No, provided the practice does not constitute disguised employment. If someone works under your authority as an employee, an employment contract may still arise.
Which agreement do I need?
That depends on what is being delivered: a tangible result or a service. Have the right format chosen to avoid misunderstandings.
Drafting the right agreement?
Our legal experts draft construction contracts or service agreements . View our contract lawteam or schedule a free consultation.
