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How is the liability of a professional regulated?

A professional, such as a doctor, accountant, or lawyer, must act as a reasonably competent and reasonably acting professional peer (Article 7:401 of the Dutch Civil Code). If he falls short in this regard and damage results, this constitutes a professional error and can...

Published on December 7, 2020 by MKBjuristen.nl
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A professional, such as a doctor, accountant, or lawyer, must act as a reasonably competent and reasonably acting professional colleague (Article 7:401 of the Dutch Civil Code). If he falls short in this regard and damage results, this constitutes a professional error and he may be held liable.

The duty of care of the professional

Anyone who accepts an assignment must act as a good contractor (Article 7:401 of the Dutch Civil Code). For professionals, this entails a special duty of care: clients must be able to rely on their expertise and diligence. Judges scrutinize this strictly.

The standard: the reasonably acting professional

The judge assesses whether a professional error has occurred based on the standard of a reasonably competent and reasonably acting professional peer. The question is therefore not whether it could have been done better, but whether the professional acted as an average professionally competent colleague would do in the same situation.

When does an error lead to liability?

For liability, more is required than just an error: there must be damage that is sufficiently related to the shortcoming. The duty to inform and warn often also plays a role: did the professional sufficiently point out the risks and alternatives to the client?

Limit your risk as a professional

Work with clear engagement letters, document your advice and warnings, and limit your liability where possible in your general terms and conditions. In addition, professional liability insurance is virtually indispensable.

Frequently Asked Questions

When does a professional commit a professional error?

If he does not act as a reasonably competent and reasonably acting professional in the same situation would do (Article 7:401 of the Dutch Civil Code).

Is every mistake immediately liable?

No. There must also be damage that is sufficiently related to the error. Furthermore, whether sufficient information was provided and warnings were given is taken into account.

Can I limit my liability?

Within limits, yes, via your general terms and conditions, and additionally via professional liability insurance.

Questions about professional liability?

Our legal experts advise professionals and clients and draft your engagement agreement . View our liability lawteam or schedule a free consultation.

Please note: an article provides general information, but your legal situation may turn out differently.

A contract, conflict, or legal risk must always be assessed based on the facts, documents, evidentiary position, and interests. Are you in doubt? Have your situation assessed before you act.

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SME Lawyers at the Chamber of Commerce Source: Chamber of Commerce 2019
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