The principle of full compensation under Dutch expropriation law

Abstract

Discussions about expropriation usually fall into one of two categories: the actual taking of the property and the compensation given for that taking. If we discuss the latter, it is almost always because we think adequate compensation is lacking. Public authorities that resort to expropriation prefer to acquire the property on the cheap, so they can minimize the costs. Courts generally have a tendency to follow the public authorities’ lead. In this article we would like to show how in the Netherlands the granting of adequate or just compensation is guarded by the national courts, especially the Dutch Supreme Court. The Dutch Supreme Court plays and always has played a very important role in determining the compensation given in cases of expropriation. This is because the rules pertaining to the determination of compensation have been primarily developed by the Dutch Supreme Court and can therefore in their entirety only be found in Dutch case law. Adequate or full compensation in cases of expropriation according to Dutch Law entails the compensation for damages that are a direct and necessary consequence of the expropriation. Full compensation is therefore not only the reimbursement or compensation of the actual, concrete value of the expropriated, possibly increased by the deprecation of the remaining property, but also contains compensation of additonal damages that are a direct consequence of the expropriation.