What does the deposit transfer procedure entail?
The deposit transfer procedure concerns the legal process whereby the rental deposit is transferred when a landlord in The Hague sells their rental property while a tenant resides there. The tenant pays the deposit to the original owner, who must pass it on to the new owner in accordance with the law.
In The Hague, this falls under the Dutch Civil Code, with protection via the principle "purchase does not break the lease". The tenancy agreement remains intact, including deposit obligations. In case of disputes, you can go to the District Court of The Hague, Prins Clauslaan 60 or seek free advice at the Legal Aid Office The Hague, Lutherse Burgwal 10.
Legal basis for deposit transfer
The procedure is based on these key articles:
Article 7:226 DCC - Purchase does not break the lease
The sale does not terminate the lease. The new owner automatically assumes all rights and obligations, including the deposit.
Article 7:249 DCC - Deposit in tenancy
The landlord may request a deposit but must return it upon termination of the tenancy, minus any damage. Upon sale, this obligation transfers to the buyer.
Article 6:159 DCC - Change of creditor
The new owner becomes the creditor, with the right to the deposit already paid.
Step-by-step plan for deposit transfer
Preparation for sale
The selling landlord specifies the tenant and the deposit amount in the deed of sale. This is stated explicitly in the deed.
Moment of transfer
At the notarial transfer in The Hague, the deposit is transferred, often by way of set-off against the purchase price.
After transfer
The new landlord informs the tenant in writing about:
- Change of ownership
- Deposit transfer
- New IBAN for rent
- Contact details
Overview of rights and obligations
| Party | Rights | Obligations |
|---|---|---|
| Tenant | Retain tenancy agreement; Deposit return upon tenancy end; Information on transfer | Pay rent to new owner; Maintain property properly |
| Old landlord | Proceeds minus deposit; Discharge after transfer | Transfer deposit; Notify tenant; Set off in purchase price |
| New landlord | Receive rent; Deposit in case of default | Repay deposit; Respect tenancy; Inform |
Problems if deposit is not transferred?
In case of refusal to transfer by the old landlord:
Tenant's position
You can hold both the old and new owner liable for repayment. Primarily the new one, via the District Court of The Hague if necessary.
Between owners
New owner can sue the seller; tenant is independent of this.
Practical advice for The Hague
For tenants:
- Demand written confirmation from both parties regarding the deposit
- Archive documents: proof of payment and emails
- Check contract for deposit amount
- Establish contact with new owner
- Prefer blocked account for new tenancy
For landlords (sellers):
- Explicitly state deposit in deed of sale
- Inform tenant in timely manner
- Consult notary for correct set-off
- Consult with real estate agent on tenancy disclosure
- Retain proof of transfer
For legal advice: District Court of The Hague (Prins Clauslaan 60) or Legal Aid Office (Lutherse Burgwal 10).