Possible compensation for damage caused by working in a public place

Entrepreneurs may be eligible for compensation if they experience significant harm from operating in public places. And in the cases in which they are entitled to do so, it is stipulated in the Deprivation Compensation Regulation.

Tilburg municipality is developing. This means that there are regular activities in public places. For example, the renewal of the road surface. Residents and businesses suffer from this. For a businessman, it can also mean that his sales are lower because his company is temporarily not easily accessible.

Entrepreneurial risks

Part of this harm falls under what are called social or entrepreneurial risks. But there can also be so much harm, for example, from working on the street that some form of compensation can be obtained. For example, if the street is closed for a long time and it is difficult to reach shops or businesses. The Compensation Law specifies the cases in which the entrepreneur is entitled to compensation from the municipality and how this compensation can be provided.

When is the right to compensation possible?

Entrepreneurs are entitled to compensation if:

  • The damage is caused by the common law and legal acts of the government
  • The damage is not the result of a binding decision (This is a decision in which the law stipulates exactly in which cases the municipality must make a specific decision. The municipality has no room in these decisions to make its own assessment. An example of this is the granting of a severance permit.)
  • It is related to one of the causes of damage that the entrepreneur could not have foreseen when he decided to establish himself in the location or when taking over a company already established in that location. For example, an entrepreneur will not receive compensation if it was already known at the conclusion of the lease of a commercial premises that the road to the property will open at some point.
  • The damage exceeds the social or business risk threshold (2-8% of the previous annual gross profit or 4% of the previous value of the property).

Dealing request

The municipality’s legal department evaluates and processes claims for damages received by the municipality. First, it is examined whether the damage is unexpected, and whether the damage exceeds social or business risks. If so, the request usually goes to an independent expert. After a hearing in which the entrepreneur is given the opportunity to explain the application (usually on site), a tip follows. This is verified by Legal Affairs and goes to the Board of Directors for a decision.

You can send a request by sending an e-mail to: [email protected]. For questions and more information: 013-542 89 72.

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