Government liability

Government liability relates to loss and/or damage resulting from lawful as well as unlawful government acts. In certain cases, the public authority concerned will be required to compensate the loss or damage that has been caused.

A planning decision may cause the value of real estate to depreciate, for example. Despite acting lawfully, in certain cases a public authority may be required to compensate this loss resulting from its planning decisions. There are various compensation arrangements available to parties.

Often, municipalities agree with developers that they should compensate third parties (companies and residents) for the loss resulting from the municipalities’ planning decisions, in what is known as a planning blight cost recovery agreement (planschadekostenverhaalsovereenkomst). We review agreements of this type or draft them, often as part of an anterior or cooperation agreement.

Loss and/or damage may arise as a result of an unlawful government act. This is the case, for example, where a municipality refuses a permit and an administrative court later finds that the permit should have been granted. Another example is where a public authority has provided incorrect information.

Environment and Planning Act

The Environment Act is expected to take effect on January 1, 2023. We have long been advising on the legal and practical consequences for area development. For example, the regulations regarding planning damage and compensation for loss of profits will change.


Among other things, we assist municipalities that have been held liable for wrongfully denying an environmental permit. These proceedings often involve compensation for damages. We also advise municipalities on planning damage and loss compensation, whether or not as part of a (large-scale) area development. Our lawyers assist both public authorities and private parties.

Why choose Straatman Koster advocaten?

Our lawyers have an unrivalled understanding of the sensitive political and administrative issues for public authorities. They are experienced in dealing with complex environmental law-related matters, and they have all the relevant expertise needed to provide clients with sound advice. Many of our lawyers teach at renowned institutions and publish regularly in leading journals, reviews and guides.

Want to know more?

If so, please contact us.

Want to know more?