Since the law amendment on January 1, 2018, the Dutch marital property law has been significantly changed. Where previously every marriage automatically entered into community property, a limited community property now applies. This adjustment has major implications for the distribution of assets and debts during and after marriage. In this article, we discuss the most important aspects of this law amendment and what this means for married couples.

What does the new marital property law entail?

Under the new rules of the limited community property, not all assets and debts automatically become common. The most important points are:

1. Pre-marital assets and debts remain private
   Assets and debts that one of the partners had before the marriage remain personal property. This means, for example, a house purchased before the marriage remains private property after a divorce, unless other agreements have been made.

2. Inheritances and gifts are private
   Inheritances and gifts received during the marriage do not fall into the community property, unless the donor or testator has explicitly indicated otherwise.

3. Jointly built up wealth is distributed
   All assets obtained during the marriage, such as savings and jointly purchased goods, fall within the community property and are divided in the event of a divorce.

Why was the law changed?

The main reason for the amendment was to create a fair distribution of assets and debts. In the old system, where everything automatically fell into community property, debts from one partner could be completely shifted onto the other. The new rules ensure that pre-marital debts and assets remain outside the community.

Advantages of the new system

1. Protection of personal wealth
   Pre-marital properties remain private, which is especially advantageous in case of divorce.

2. Inheritances and gifts remain protected
   Under the old system, inheritances or gifts could become part of the community property. In the new system, these remain private, unless otherwise agreed.

Disadvantages and points of attention

While the revision offers benefits, there are also some complications:

1. Administrative obligations
   Spouses must properly administer their personal assets and debts. In case of divorce, it must be proven which wealth was obtained before the marriage. Poor administration can lead to loss of private property.

2. Debts during marriage
   Debts incurred during the marriage can still influence the joint wealth. Creditors can target the community property.

Deviating from the standard regime: marital agreements

Partners can choose to draw up marital agreements if they want to deviate from the limited community property regime. This can be especially useful if one of the partners has their own business and wants to protect it in case of a divorce. Marital agreements provide flexibility but must be recorded in a notarial deed.

Conclusion

The introduction of the limited community property in 2018 has major implications for the distribution of wealth within a marriage. It offers more protection for personal possessions, but requires careful administration. It is wise to think ahead about the legal and financial consequences of marriage. If the standard arrangement does not suit your situation, it is advisable to consider marital agreements.

Do you have questions or would you like advice about your specific situation? Please feel free to contact one of the family law attorneys at Arslan Advocaten. We are ready to help you.