Dutch ‘Woonbond’ responds in lawsuit over excessive rents

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May 17, 2024
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The Woonbond is a Dutch organisation, standing up for the rights and interests of tenants in the Netherlands.  In March 2024, the Woonbond, supported by lawyers from PILP, joined a lawsuit filed by private landlords against the Dutch State. These landlords, united in the Fair Rent for Landlords Foundation (hereinafter ‘Fair Rent’), sued the State over the so-called ‘WOZ-cap’. The WOZ cap is an instrument of rent protection, making it less easy to rent out rental properties in the free sector. Landlords want to get rid of the ‘cap’ because they feel this measure violates their right to property. The Woonbond is standing up for the interests of tenants in this court case. Now the Woonbond has filed a statement of reply, in which the Woonbond responds to Fair Huur’s contentions.

The WOZ cap is meant to protect tenants from high rent prices. In 2015, the WOZ value became part of the housing valuation system (‘WWS’). The WWS is designed to ensure the link between the quality and the price of a property. This system determines, based on a variety of factors, whether houses may be allowed in the free sector. However, due to the influence of the WOZ as one of the factors, especially in the big cities, there were more and more expensive free sector houses and less affordable rental houses. The WOZ cap is intended to temper these effects.

In its statement of reply, the Woonbond argues, among other things, that the WOZ cap is of great public interest, namely the interest of affordable housing and tenant protection. Free sector tenants have less and less financial space for other expenses, such as sports, saving or leisure, due to sky-high rent.

The Woonbond also explains in their statement that the WOZ cap does not violate the right to property of private landlords. Moreover, the Woonbond argues, the court should not only include the right to property but also the right to housing in its assessment. The State has a duty to realise this human right, and to ensure sufficient as well as affordable housing.

On 2 December 2024, this case will be heard by the District Court of The Hague.

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