What is a service agreement under Dutch law?

Dutch term: Dienstverleningsovereenkomst | Legal basis: Articles 7:400-7:413 BW

A service agreement (dienstverleningsovereenkomst) under Dutch law is a contract for the provision of professional services, governed by the mandate provisions of articles 7:400 to 7:413 of the Dutch Civil Code (overeenkomst van opdracht). The service provider must perform with the care of a reasonably competent professional (article 7:401 BW).

The principal can terminate the mandate at any time (article 7:408 BW), subject to reasonable notice and compensation for work already performed. The service provider can also terminate but must ensure that the principal is not left without adequate alternatives. Service agreements commonly include provisions on scope, deliverables, timelines, fees, liability limitations, confidentiality and intellectual property ownership.

Why it matters for international businesses

For international businesses engaging Dutch professional service providers, the duty of care standard under article 7:401 BW provides a baseline quality obligation that applies even where the contract does not specify detailed performance standards.