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Intercompany Assignment Agreement Template for Netherlands

A comprehensive agreement governed by Dutch law that facilitates the temporary assignment of an employee from one group company (Home Company) to another (Host Company) while maintaining the original employment relationship. This document addresses key aspects including employment continuity, management responsibilities, cost allocation, data protection, and compliance with Dutch employment legislation. It ensures clear definition of roles, responsibilities, and obligations of all parties involved while maintaining compliance with Dutch legal requirements, including social security, tax implications, and relevant employment laws.

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What is a Intercompany Assignment Agreement?

The Intercompany Assignment Agreement is essential for organizations with multiple entities operating in or from the Netherlands that need to temporarily assign employees between group companies. This document is commonly used when companies want to maintain the original employment relationship while allowing employees to work for another group entity, typically for project work, knowledge sharing, or operational requirements. It addresses crucial aspects under Dutch law including employment continuity, social security and tax implications, management structure, and cost allocation between entities. The agreement ensures compliance with Dutch employment legislation while providing clarity on roles, responsibilities, and practical arrangements for all parties involved. It's particularly important for international groups with Dutch entities and for Dutch companies with multiple subsidiaries or affiliated companies.

What sections should be included in a Intercompany Assignment Agreement?

1. Parties: Identification of the Home Company (employer) and Host Company, including full legal names and registered addresses

2. Background: Context of the agreement, relationship between the companies, and general purpose of the assignment

3. Definitions: Key terms used throughout the agreement, including 'Assignment', 'Employee', 'Home Company', 'Host Company', 'Assignment Period'

4. Assignment Terms: Details of the assignment including duration, role, responsibilities, and location

5. Employment Status: Confirmation that employment remains with Home Company and conditions of original employment contract remain applicable

6. Duties and Obligations: Responsibilities of all parties including the Home Company, Host Company, and referenced Employee obligations

7. Costs and Charges: Financial arrangements between the companies, including assignment costs, reimbursements, and inter-company charging

8. Management and Supervision: Day-to-day management arrangements and reporting lines during the assignment

9. Confidentiality: Protection of confidential information of both companies

10. Data Protection: Arrangements for handling personal data in compliance with GDPR

11. Termination: Conditions and process for ending the assignment

12. Governing Law: Specification of Dutch law as governing law and jurisdiction

What sections are optional to include in a Intercompany Assignment Agreement?

1. Immigration Requirements: Include when assignment involves international employees requiring work permits or visas

2. Intellectual Property: Include when assignment involves creation or handling of IP rights

3. Non-Competition: Include when additional non-compete provisions are needed beyond existing employment contract

4. Works Council: Include when Works Council advice or consent is required for the assignment

5. Tax Equalization: Include when special tax arrangements are needed between companies

6. Insurance: Include when specific insurance arrangements need to be made between companies

What schedules should be included in a Intercompany Assignment Agreement?

1. Assignment Details: Detailed description of role, responsibilities, and specific terms of the assignment

2. Financial Arrangements: Detailed breakdown of costs, charges, and payment arrangements between companies

3. Applicable Policies: List of Host Company policies that will apply during the assignment

4. Data Processing Agreement: Detailed arrangements for processing personal data between companies

5. Service Level Agreement: Performance metrics and service levels if applicable to the assignment

Authors

Alex Denne

Head of Growth (Open Source Law) @ 黑料视频 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Netherlands

Publisher

黑料视频

Cost

Free to use

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