A Misleading Concept in Dutch Law
Tenants, especially those from countries with different rental systems (like the US), are often confused by the concept of 'lease renewal'. In the Netherlands, for the most common type of rental contract, there is no such thing as a renewal process. This is a cornerstone of Dutch tenant protection (huurbescherming). The default and most secure type of rental agreement is a contract for an indefinite period (onbepaalde tijd). This contract does not expire after one or two years. It continues to run automatically, under the same terms and conditions (aside from legal rent increases), indefinitely, until the tenant decides to terminate it.
The Power of the Indefinite Contract
An indefinite contract provides enormous security of tenure for the tenant. The landlord has extremely limited legal grounds to terminate such a contract. They cannot simply decide not to 'renew' the lease because they want to find a new tenant or want to increase the rent substantially. As long as the tenant pays the rent and behaves as a good tenant, they can, in principle, stay in the property for as long as they wish. This automatic continuation means there is no need for a 'lease renewal notice' from either party. The lease simply continues.
The Exception: Fixed-Term Contracts
The concept of a 'renewal' is only relevant in the specific case of a fixed-term contract (contract voor bepaalde tijd), which can be for a maximum of two years. This type of contract does end automatically on the agreed-upon end date, without the need for either party to give notice. However, the landlord is required to send a written notification to the tenant between one and three months before the end date to remind them that the contract is ending. If the landlord fails to send this reminder, the fixed-term contract automatically converts into a contract for an indefinite period, with full tenant protection. If the landlord does send the reminder and the tenant moves out, the landlord can then offer the tenant a new contract. If the tenant accepts and stays, this second contract is also, by law, for an indefinite period.
