Act abolition pledge prohibitions
(Wet opheffing verpandingsverboden)
The Dutch Act on abolition of prohibitions on pledge (Wet opheffing verpandingsverboden) will enter into force on 1 July 2025. The Act will prohibit the practice of contractually excluding the transferability of registered cash receivables arising from practising a profession or conducting a business and the creation of a right of pledge on such receivables. As a result, businesses will be able to use such receivables for financing purposes, increasing their credit margin.
There will be a transitory provision for existing contractual provisions conflicting with this legislation. Such provisions will be null and void as from 1 October 2025.
Key changes
| Topic | Key changes |
| Prohibition | Prohibition of contractual exclusion of transferability or creation of a right of pledge on registered cash receivables arising from practising a profession or conducting a business. |
| Void | Contractual provisions which aim to exclude (in whole or in part) the transferability or creation of a right of pledge on relevant receivables are null and void. |
| Exemptions | Exclusion of transferability or creation of a right of pledge is possible for certain exempt cash receivables (e.g. syndicated loans, balances of checking and savings accounts and claims on or to clearing institutions). |
| In writing | Notice of the transfer or an undisclosed right of pledge on relevant receivables must be made in writing. |
| Transitory provision | Existing contractual provisions conflicting with the new legislation become null and void as from three months after the law enters into force (1 October 2025). |
