Aside from Asia and the US, there is one other very
important geographical relationship. ‘Holland’s 2.4%
rise in GDP in the final quarter of 2010 demonstrates
that the Dutch economy has resurged,’ says Vincent
Bettonville, banking and finance partner at AKD. ‘In
addition to being closely aligned with the US, where the
economy seems to have turned a corner, it is also large-
ly dependent on export to Germany, where the econo-
my is going full throttle.’
According to the BNP Paribas Economic Research
Department, Germany GDP hit its highest growth rate
since reunification in 2010, a recession-busting 3.5% (in
calendar-adjusted figures). However, the Netherlands is
not idly waiting for the work to flood in, there have
been proactive moves to maintain it’s status as a world-
class financial centre. Bettonville adds: ‘Measures by the
Dutch Government to make the labor market and the
corporate and legal infrastructure even more flexible
appear to be going down well with investors.’
On the litigation side, that increasingly flexible legal
infrastructure is particularly apparent.
CLASS ACT
In 2010, after an Australian tried to bring a claim
against National Australia Bank in the US, the resulting
‘Morrison ruling’ put an end to overseas investors pursuing non-American companies through the US courts,
Top 20 Dutch M&A Legal Advisors – 2010
Rank House
1 Cleary Gottlieb Steen & Hamilton
2 Skadden Arps Slate Meagher & Flom
3 Weil Gotshal & Manges
4 Akin Gump Strauss Hauer & Feld
5 Gianni, Origoni, Grippo & Partners
6 Allen & Overy
7 De Brauw Blackstone Westbroek
8 Freshfields Bruckhaus Deringer
9 Loyens & Loeff
10 NautaDutilh
11 Simpson Thacher & Bartlett
12= Gibson Dunn & Crutcher
12= Mundie e Advogados
12= Tozzini Freire Teixeira e Silva Advogados
15 Herbert Smith/Gleiss Lutz/Stibbe
16 Vinson & Elkins
17 Bonelli Erede Pappalardo
18 Baker & McKenzie
19 Baker Botts
20 Latham & Watkins
Value
(US$m)
No. of
Deals
8
5
5
2
2
63
33
17
45
34
3
1
1
1
24
4
2
18
2
10
Source:mergermarket
‘It put international investors outside of US jurisdiction,’
says Sidney Berendsen, corporate litigation specialist at
leading Benelux firm, Loyens & Loeff. Importantly, the
Netherlands has much to gain from this development
thanks to the Dutch Collective Settlements Act, which
came into force on 27 July 2005 and, like the US system,
works on an ‘opt out’ basis.
‘If the Court declares the collective settlement agree-
ment binding, it binds all persons covered by its terms,
except for those who have indicated that they do not
wish to be bound by the settlement agreement,’
explains Berendsen. ‘A binding declaration of a collec-
tive settlement should in principle be recognized in
other member states of the EU.’
In short, the legislation provides for international par-
ties to come to the Netherlands to litigate, even with-
out jurisdiction, if parties agree to be bound by its
terms. In the aftermath of the Morrison ruling, it is an
attractive offering, especially in light of other favourable
factors.
‘The cost of litigation is quite excessive in places like
the UK, for example, compared to the cost of litigation
in the Netherlands,’ says Martijn van Maanen, corpo-
rate litigation head at dispute resolution specialist,
BarentsKrans. ‘Culturally, the Netherlands is also suited
to international business, and English is widely spoken;
indeed, the courts are used to exhibits being provided
in English.’
The country has also been involved in some high
profile criminal cases recently, showing its robust legal
infrastructure. Sjöcrona Van Stigt was notably involved
in the widely-reported ‘Probo Koala’ case, where it was
alleged that offloaded toxic waste caused multiple
deaths in Côte d’Ivoire. The only criminal trial arising
from the incident took place in the Netherlands, and
Sjöcrona Van Stigt successfully represented Amsterdam
Port Services in the proceedings.
‘It was an internationally-reported case that high-
lighted the calibre of the court system in the
Netherlands,’ says Alexander de Swart, partner at crim-
inal defence niche, Sjöcrona Van Stigt. ‘We expect to
see an increase in cases as the regulatory climate con-
tinues to heat up.’
As more and more international corporates invest in
the Netherlands on the back of its business-friendly tax
regime, it must be reassuring to know that it is in safe
hands on the legal side too. Unless, the EU steps in to
change the legislation, it is possible that the
Netherlands could become a leading jurisdiction for
class actions. ■
