Challenging a Mutual Consent Dismissal in Eindhoven

Challenging a dismissal by mutual consent: is that possible?

You have signed a settlement agreement, but something does not feel right. Perhaps you felt under pressure, or you have since realised that you were not properly informed. Fortunately, a signature on a dismissal by mutual consent is not always the definitive end of the matter. In this article you can read when you can challenge the agreement, what legal avenues are available, and what the best first step is.

What does dismissal by mutual consent mean exactly

In the case of dismissal by mutual consent, the employer and employee agree in mutual consultation to terminate the employment relationship. The arrangements are recorded in writing in a settlement agreement (VSO). Without that written agreement, the dismissal is simply not valid. As long as you do not sign, your employer cannot simply show you the door: they must then initiate a formal dismissal procedure through UWV or the subdistrict court.

The statutory cooling-off period after signing

Have you already signed but want to go back? There is good news. The law gives you a cooling-off period of fourteen days after signing. Within that period you may dissolve the agreement without giving any reason. You only need to send a written statement to your employer — an email or WhatsApp message is sufficient for this purpose. Once your employer receives that statement, the settlement agreement is off the table and your employment simply continues.

Note one important detail: the cooling-off period is enshrined in law in Article 7:670b(2) of the Dutch Civil Code. If the cooling-off period is not mentioned in the settlement agreement, the period is automatically extended to twenty-one days. Your employer is legally obliged to inform you of this right in writing. The period starts to run from the moment written agreement has been reached, not necessarily from the date of your signature. In practice this can make a difference, so check carefully exactly when your cooling-off period begins.

If, during the cooling-off period, you also want to know whether the settlement agreement is correct? If so, have it assessed quickly by an employment lawyer, so that you can make a well-informed decision.

Contesting after the cooling-off period has expired

Has the cooling-off period already passed? In that case, a signed settlement agreement is in principle binding on both parties. There are, however, exceptions: the law offers the possibility, in a number of specific situations, of contesting the agreement at a later stage on the basis of what is known as a defect of consent. The most common grounds are mistake, fraud, duress, and abuse of circumstances.

Dwaling

Mistake arises where you signed the settlement agreement on the basis of an incorrect or incomplete understanding of the situation. This may be because your employer gave you incorrect information, or because he withheld relevant facts that he should have disclosed. Consider the situation in which you were ill at the time of signing and your employer did not draw your attention to the prohibition on dismissal during illness, or to the possible consequences for your unemployment benefit (WW) or sickness benefit. Courts do assess a claim based on mistake in relation to a settlement agreement with considerable restraint: not every incorrect assumption automatically leads to nullification.

Bedrog en bedreiging

Did your employer deliberately mislead you by intentionally providing incorrect information or concealing crucial facts in order to induce you to sign? If so, there may be a case of fraud. Duress goes a step further: in such cases, your employer put pressure on you in a manner that qualifies as unlawful under the law. Both situations occur less frequently in practice, but they are a valid ground for nullifying the agreement.

Abuse of circumstances

Abuse of circumstances concerns situations in which you were in a vulnerable position at the time of signing, and your employer took advantage of that. A well-known example is the employee who was ill or incapacitated for work and nonetheless signed a settlement agreement, while the employer knew that he was unable, or barely able, to appreciate the consequences. The court then looks critically at whether your free will was influenced.

When is a challenge likely to succeed

Not every dissatisfied employee has a strong case. Whether a challenge succeeds depends on the specific circumstances. Below are a number of situations that more frequently lead to success in practice:

• You were incapacitated for work at the time of signing and your employer did not draw your attention to the prohibition on dismissal or the risks to your benefit.
• Your employer gave you incorrect information about, for example, the start date of your unemployment benefit (WW), as a result of which you end up in a different financial situation than expected.
• The cooling-off period is absent from the settlement agreement, which means you automatically have the right to an extended period of twenty-one days.
• You were under such pressure that you had no genuine free choice when signing the agreement.
• There was fraud: your employer deliberately withheld crucial facts in order to induce you to sign.

What to do if you wish to contest the settlement agreement

Acting quickly is essential. The more time that passes after signing, the smaller the chance that a challenge will succeed. In any event, ensure you do the following:

• Keep all communication with your employer relating to the dismissal, including e-mails, app messages and letters.
• Make a precise note of when you signed the settlement agreement and when you received any pressure or incorrect information.
• Make use of the statutory cooling-off period if it has not yet expired; a simple written message to your employer is sufficient.
• Contact an employment lawyer as soon as possible to assess whether your situation has good prospects for further steps.
• Do not simply agree to new proposals from your employer before you have obtained legal advice.

Why Employment Lawyer Eindhoven

At Arbeidsjurist Eindhoven we are ready to help everyone in the region who is dealing with an unjust or unclear dismissal by mutual consent. We assess your situation quickly and concretely, explain your options in plain language and stand by your side if you wish to negotiate or commence proceedings. No complicated legal jargon — just straightforward advice that suits your situation. Contact us without obligation and we will look together at what the best step is for you.

Frequently asked questions

Can I still dissolve a settlement agreement after signing it?

Yes, you can. After signing, you have a statutory cooling-off period of fourteen days under Article 7:670b(2) of the Dutch Civil Code. Within that period you may dissolve the agreement in writing without giving any reason. If your employer did not include the cooling-off period in the settlement agreement, a period of twenty-one days applies instead.

What are valid grounds for challenging a settlement agreement?

The most common legal grounds are error (you agreed on the basis of incorrect or missing information), fraud (your employer deliberately misled you), duress (you were placed under unlawful pressure) and abuse of circumstances (for example, you were ill and were unable to properly appreciate the consequences). Whether a challenge succeeds depends strongly on the specific facts of your situation.

What happens if I make use of the cooling-off period?

As soon as you notify your employer in writing within the cooling-off period that you are dissolving the settlement agreement, the agreement is off the table. Your employment contract then simply continues. Your employer can subsequently only initiate dismissal proceedings through UWV or the subdistrict court.

How quickly do I need to act if I want to challenge the settlement agreement?

As quickly as possible. The statutory cooling-off period of fourteen (or twenty-one) days passes quickly. But even if that period has already expired, the longer you wait before invoking error, fraud or abuse of circumstances, the more difficult it becomes to mount a successful challenge. Contact an employment lawyer immediately.

What if I was ill when I signed the settlement agreement?

This is a situation that may provide additional legal protection. If you were unfit for work at the time of signing and your employer did not draw your attention to the prohibition on dismissal during illness or to the risks to your unemployment benefit (WW) or sickness benefit, there may be grounds for a claim of error or abuse of circumstances. Have your situation assessed by an employment lawyer as soon as possible.

We are happy to think along with you. For advice tailored to your situation, we would be glad to talk. No rights can be derived from the content of this page and it may contain inaccuracies.