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17 December 2020 / news

Act on Management and Supervision of Legal Entities enters into force as per 1 July 2021

The Act on Management and Supervision of Legal Entities (MSLE Act; Wet bestuur en toezicht rechtspersonen) will enter into force on 1 July 2021. On 10 November 2020, the Dutch Senate (Eerste Kamer) agreed without a vote to the MSLE Act without amendments to the legislative proposal adopted by the House of Representatives (Tweede Kamer) on 28 January 2020.

The MSLE Act embodies the cross-sectoral response of the legislator to the demand for measures to improve the quality of management and supervision of foundations and associations in the semi-public sector. Recent years have seen a tightening of rules and principles for good governance and supervision in sectoral legislation and codes. With the MSLE Act, the legislator has opted for a general clear legal basis that applies to all legal entities.

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