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Business Management Contract Template for Netherlands

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Key Requirements PROMPT example:

Business Management Contract

"I need a Business Management Contract under Dutch law for appointing a new CEO of our tech startup, with specific provisions for stock options, performance-based bonuses, and the ability to work remotely from multiple European locations."

Document background
The Business Management Contract is a crucial document used in the Netherlands when establishing a formal management relationship between a company and its leadership. This agreement is particularly relevant when appointing senior executives, managing directors, or management companies to oversee business operations. The document must comply with Dutch legal requirements, including the Dutch Civil Code (Burgerlijk Wetboek), corporate governance regulations, and relevant EU directives. It typically includes comprehensive provisions covering appointment terms, responsibilities, remuneration, performance criteria, and termination conditions. The agreement is essential for both listed and private companies in the Netherlands, providing clarity on management authority, accountability, and protection for all parties involved. Special consideration is given to Dutch-specific elements such as works council rights, corporate governance code requirements, and tax implications of management structures.
Suggested Sections

1. Parties: Identification of the contracting parties - the company and the management entity/individual

2. Background: Context of the agreement and brief description of the business relationship

3. Definitions: Definitions of key terms used throughout the agreement

4. Appointment and Term: Terms of the management appointment, duration, and renewal provisions

5. Duties and Responsibilities: Detailed description of management duties, authority levels, and reporting requirements

6. Time Commitment: Expected time dedication and exclusivity requirements

7. Remuneration and Benefits: Management fee structure, payment terms, and additional benefits

8. Expenses: Rules regarding business expenses and reimbursement procedures

9. Compliance and Governance: Obligations regarding corporate governance, regulatory compliance, and internal policies

10. Confidentiality: Provisions regarding confidential information and trade secrets

11. Intellectual Property: Ownership and rights regarding IP created during the management relationship

12. Data Protection: GDPR compliance and data handling requirements

13. Termination: Grounds for termination, notice periods, and consequences of termination

14. Post-Termination Obligations: Continuing obligations after contract termination

15. Governing Law and Jurisdiction: Specification of Dutch law application and jurisdiction for disputes

Optional Sections

1. Non-Compete and Non-Solicitation: Restrictions on competitive activities and client/employee solicitation - optional but recommended for senior management positions

2. Insurance: Requirements for professional liability insurance - relevant when management involves high-risk decisions

3. Corporate Opportunity: Provisions regarding business opportunities - important for senior executives with market exposure

4. Shareholding Requirements: Share ownership obligations - relevant when management is tied to equity participation

5. Performance Metrics: Specific KPIs and performance evaluation criteria - useful for performance-based compensation

6. Board Position: Specific provisions for board membership - required when management includes statutory director position

7. International Travel: Rules for international assignments - relevant for global operations

8. Force Majeure: Provisions for extraordinary circumstances - important in uncertain business environments

9. Succession Planning: Requirements for preparing succession - relevant for key management positions

Suggested Schedules

1. Schedule 1 - Scope of Services: Detailed description of management services and responsibilities

2. Schedule 2 - Remuneration Details: Comprehensive breakdown of compensation structure, including base fee, bonuses, and benefits

3. Schedule 3 - Company Policies: List of applicable company policies and procedures

4. Schedule 4 - Reporting Requirements: Specific reporting obligations and templates

5. Schedule 5 - Authorized Activities: List of pre-approved external activities or board positions

6. Appendix A - Power of Attorney: Specific management powers and authority limits

7. Appendix B - Performance Criteria: Detailed KPIs and performance evaluation methodology

8. Appendix C - Benefits Package: Detailed description of additional benefits and allowances

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions




































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Relevant Industries

Financial Services

Technology

Manufacturing

Professional Services

Retail

Healthcare

Energy

Real Estate

Telecommunications

Transportation and Logistics

Construction

Media and Entertainment

Consulting

Education

Relevant Teams

Legal

Human Resources

Corporate Secretariat

Finance

Compliance

Risk Management

Board Secretariat

Corporate Governance

Executive Office

Administration

Relevant Roles

Chief Executive Officer

Managing Director

Executive Director

Chief Financial Officer

Chief Operating Officer

General Manager

Country Manager

Division Director

Board Member

Commercial Director

Operations Director

Regional Manager

Business Unit Director

Deputy Director

Interim Manager

Industries










Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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