News

Reintegration challenges during COVID-19

The Gatekeeper Improvement Act requires you to reintegrate an employee who is incapacitated for work due to illness. COVID-19 does not alter this, however it may cause you to face certain challenges during the reintgration process. For instance, how to reintegrate a sick employee when your business is closed as a result of governmental COVID-19 measures, such is the case in the hospitality industry? Particularily taking in mind that UWV can impose a wage sanction if UWV would deem the reintgration efforts as insufficiently after two years of illness.

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The New Franchise Act: who owns goodwill?

The Franchise Act will (almost certainly) enter into force on January 1, 2021. This will be a historical event for the Netherlands, for it is the first actual Dutch Franchise Act. The impact of the new Act on practices of franchise organizations is major and requires adjustment not only as to method of operation but also of franchise agreements.
Franchise agreements must contain a clause on how goodwill, if any, must be assessed within the franchise company upon termination of the franchise agreement (Article 7:920 Dutch Civil Code).

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