Why Dutch law applies even if your contract is in English

The language of a contract doesn't determine which law governs it. Here's the actual legal mechanism behind governing law.

How is governing law actually determined?

The language of a contract does not determine which country's law governs it; under the EU's Rome I Regulation, governing law is set by an explicit choice-of-law clause or, absent one, by default rules, and mandatory consumer or employment protections can override a chosen foreign law.

Many entrepreneurs assume that writing a contract in English means it's somehow governed by 'international' or English-language legal standards, but that's not how it works. Governing law is a separate legal question. Within the EU, the Rome I Regulation generally lets parties choose the governing law of their contract through an explicit clause. Without one, the default rule usually points to the law of the country where the party performing the main obligation, often the seller or service provider, is based, which for a Dutch business is typically Dutch law.

There's an important limit, though: for consumer and employment contracts, mandatory protective rules of the consumer's or employee's home country can override a chosen foreign law entirely. Choosing 'English law' in your terms and conditions doesn't automatically let you sidestep Dutch or EU consumer protections. At EenvoudigRecht, we draft documents in English with governing law clauses that are structured correctly, for a fixed price.

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Veelgestelde vragen

Does writing a contract in English affect which country's law applies?

The language of a contract has no legal effect on which country's law governs it. Governing law is a separate legal question, determined by an explicit clause in the contract or, absent one, by conflict-of-law rules.

How is the governing law determined if the contract doesn't say?

Within the EU, the Rome I Regulation generally allows parties to choose the governing law of their contract. Absent that choice, the default rule usually points to the law of the country where the party performing the contract's main obligation, often the seller or service provider, is based.

Can I choose a foreign law to avoid Dutch consumer protection rules?

Not entirely. Under Rome I, a choice of foreign law in a consumer contract can be overridden if the consumer's home country provides more protection under its own mandatory consumer rules, regardless of what the contract says.

Does the same apply to employment contracts?

Yes, similarly. Employment contracts are subject to mandatory protective rules of the country where the employee habitually works, which can't be waived by choosing a different governing law, even if both parties agree to it.

Should I still include a governing law clause if Dutch law applies anyway?

Yes, it's still good practice to include an explicit governing law clause, since it avoids uncertainty and disputes over which default rule applies, even though mandatory consumer or employment protections can still override it in specific situations.

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