The Dutch Government has introduced the Quality of Collection Services Act to address abuses in the debt collection sector. This act will impact lawyers involved in extrajudicial collection activities

The Quality of Collection Services Act, effective April 1, extends beyond debt collection agencies to encompass lawyers engaged in extrajudicial collection activities. It aims to enhance the quality of such services and address abuses in the sector, in line with coalition agreements. The Act applies specifically to extrajudicial collection activities performed or offered by professionals or businesses, including lawyers, for third parties or after claim transfer, involving payments by individuals residing in the Netherlands. Lawyers undertaking such activities must comply with obligations concerning claim structure, transparent administration, and provision of a complaints procedure. Notably, lawyers are exempt from registration requirements and quality standards imposed on other debt collection service providers. Supervision of lawyers’ compliance falls under the jurisdiction of the deans, with future plans to delegate oversight to the independent supervisory authority for the legal profession.

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