Anyone who has been the victim of an accident and wants to receive compensation needs to take action quickly. Just as our food has a best-before date, so do claims for compensation. Anyone who does not take action in time loses the right to claim compensation. This is called limitation (verjaring). There are very clear time limits, but in some cases the court can depart from them. This page describes the situation in the Netherlands.
Limitation periods for compensation
The right to claim compensation can become time-barred. That does not mean you can no longer receive compensation once the claim is time-barred: the other party still has a moral obligation to pay the compensation. You just can no longer enforce it through the courts. The general rule is that a legal claim becomes time-barred after twenty years. This follows from article 3:306 of the Dutch Civil Code (Burgerlijk Wetboek, BW). There are exceptions to this general rule. For example, a legal claim for compensation becomes time-barred after just five years, and a special rule applies to damage caused by injury or death.
The idea behind limitation in compensation claims is fairness and legal certainty. If claims never became time-barred, a person would have to collect evidence all their life and fear claims that may never come. It is in everyone's interest that victims take action quickly, that they investigate who is liable and that they hold this liable person liable without delay.
| Rule | Limitation period | Article |
|---|---|---|
| General limitation period | 20 years | Art. 3:306 BW |
| Legal claim for compensation | 5 years after the injured party became aware of the damage and of the liable person (short limitation period) and in any event 20 years after the event that caused the damage (long limitation period) | Art. 3:310(1) BW |
| Legal claim for compensation for damage caused by injury or death | 5 years after the injured party became aware of the damage and of the liable person (only the short limitation period) | Art. 3:310(5) BW |
| Damage caused by dangerous substances | 30 years | Art. 3:310(2) BW |
| Damage where the event that caused the damage is a criminal offence | Does not become time-barred as long as the right to prosecute has not lapsed through limitation or the death of the liable person | Art. 3:310(4) BW |
Interrupting the limitation period
The limitation periods mentioned above can be interrupted (stuiting). The limitation period is interrupted by holding the liable person liable in writing or by stating in writing that you reserve the right to performance. The running limitation period is then broken off. Interruption can also occur by starting proceedings before the district court, when the liable person acknowledges the legal claim, or when a counterclaim is filed.
Interruption can only occur if the claim has not yet become time-barred. In the case of an interruption under article 3:317 BW (reserving the right to performance) or article 3:318 BW (acknowledgement of the legal claim), a new limitation period of five years starts to run. Everything must therefore be settled within that period.
Short limitation period for liability claims
For a legal claim for compensation, there is first of all a short limitation period of five years. This period starts to run as soon as the injured party knows that he has suffered damage and knows who is responsible for it. From that moment, the victim has five years to take action. For this period to start running, it is not enough that there is a suspicion about who is liable: there must already be some certainty. When exactly this period starts to run is sometimes a matter for debate.
Setting aside the short limitation period for liability claims
In principle, the court adheres very strictly to the short limitation period. Only by way of exception can the short limitation period of five years be set aside. This can be done on the grounds of reasonableness and fairness. In general, the short limitation period is set aside in the following cases:
- In a serious accident where lengthy negotiations are needed to reach agreement on the assessment of the damage
- In the case of sexual abuse and assault, where a victim is psychologically blocked and does not bring a legal claim quickly enough
In addition, until 2004 a minor's claim could also become time-barred under the short limitation period, even before the minor had come of age. This rule was changed with effect from 1 February 2004: for damage caused by injury or death, the short limitation period for someone who was a minor when the damage and the liable person became known only ends five years after they come of age (article 3:310(5) BW). This extension does not apply to other damage. This rule does not have retroactive effect for those who suffered damage earlier.
Long limitation period for liability claims
Regardless of the short limitation period, the legal claim for compensation becomes time-barred after twenty years, or thirty years in the case of damage caused by dangerous substances (for example damage from exposure to asbestos). This period starts to run at the moment of the event that caused the damage. In addition, there is the rule of article 3:310(5) BW: a legal claim for personal injury cannot become time-barred before the damage has become known. In that case, only the short limitation period applies and not this long limitation period.
Setting aside the long limitation period
The provision of article 3:310(5) BW (a legal claim for personal injury does not become time-barred before the damage has become known) was introduced in February 2004 and does not have retroactive effect. It therefore does not apply to events causing damage that took place before 1 February 2004. This may cause problems with asbestos damage, because asbestos was widely used until 1993 (since that year, the use of asbestos in new products has been banned, according to the Dutch central government, Rijksoverheid) and the damage to health sometimes only becomes apparent after sixty years. In such cases, the courts tend to set aside the long limitation period on the grounds of reasonableness and fairness.
According to the Supreme Court, the long limitation period can only be set aside in exceptional cases. When assessing whether reasonableness and fairness require the long limitation period to be set aside, the court must take the following factors into account:
- The nature of the damage suffered
- Whether the compensation goes to the injured party themselves or to their surviving relatives
- Whether the injured party or their surviving relatives already have another source of compensation
- The extent to which the liable party is to blame
- The extent to which the person who caused the damage had already taken into account, before the limitation period expired, the fact that he could be liable
- The extent to which the person held liable is able to defend themselves
- Whether or not there is liability insurance that provides cover
- Whether action was taken within a reasonable period after the damage was discovered
Frequently asked questions about limitation and liability
Both liability and claiming compensation are complex matters that can raise many questions. One of the most complicated aspects of this process is perhaps the concept of limitation. Limitation is the legal period within which a claim for damages must be submitted. Legal professionals are often asked about this. These FAQs answer a number of frequently asked questions about limitation and liability.
What does limitation mean?
Limitation is the period within which a claim must be submitted, for example to receive compensation. After this period, the right to submit the claim lapses.
What is the limitation period for damage claims?
This depends on various factors. In principle, there is a short limitation period of 5 years after the person became aware of the damage and of the liable party, and in addition a long limitation period of 20 years, which starts to run at the moment of the event that caused the damage. Sometimes this period is longer, or there is no long limitation period at all. The limitation periods can also be set aside in exceptional circumstances.
What does interrupting the limitation period mean?
Interrupting the limitation period means that the limitation period is broken off. This can happen, among other things, by holding the liable person liable in writing, by acknowledging liability or by starting proceedings before the district court.
What happens if a claim has become time-barred?
If a claim has become time-barred, the compensation can no longer be enforced through the courts. The other party does still have a natural or moral obligation to pay, but can no longer be forced to do so.
Does a claim against the insurer become time-barred after three years?
Under article 7:942(1) BW, a legal claim against an insurer becomes time-barred after three years. This period starts to run on the day after the day on which the claim became due and payable and the entitled person became aware of this. An injured party can therefore make use of their direct right of action against the third-party liability (WA) insurer for three years. However, this does not alter the fact that the damage can be claimed from the liable party for a longer period.