What Does Article 6:119 of the Dutch Civil Code Say?
Article 6:119 of the Dutch Civil Code fixes the damages for late payment of money: statutory interest on the unpaid sum for as long as the debtor is in default. The interest is added to the principal each year. For commercial contracts Article 6:119a applies instead, with a higher rate.
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What Is the Text of Article 6:119?
English translation (unofficial, by the Dutch Law Institute):
1 The damages owed for delay in the payment of a sum of money consist of the statutory interest on that sum over the period during which the debtor has been in default in paying it.
2 At the end of each year, the amount on which the statutory interest is calculated is increased by the interest owed over that year.
3 An agreed rate of interest that is higher than that which would be owed under the preceding paragraphs continues to run instead after the debtor has fallen into default.
Dutch text (Burgerlijk Wetboek Book 6, article 119):
1 De schadevergoeding, verschuldigd wegens vertraging in de voldoening van een geldsom, bestaat in de wettelijke rente van die som over de tijd dat de schuldenaar met de voldoening daarvan in verzuim is geweest.
2 Telkens na afloop van een jaar wordt het bedrag waarover de wettelijke rente wordt berekend, vermeerderd met de over dat jaar verschuldigde rente.
3 Een bedongen rente die hoger is dan die welke krachtens de vorige leden verschuldigd zou zijn, loopt in plaats daarvan door nadat de schuldenaar in verzuim is gekomen.
Dutch text as in force from 16 July 2026, taken from wetten.overheid.nl, the official source of Dutch legislation. The English translation is not official; in case of doubt the Dutch text prevails.
What Does Article 6:119 Mean?
Late payment of money is a failure in performance, but the damage it causes is fixed by law. Instead of proving actual loss, the creditor receives statutory interest (wettelijke rente) on the unpaid amount for the period of default. That is the whole of the compensation for the delay itself; other costs, such as extrajudicial collection costs, follow their own rules.
Three elements decide the amount: the principal, the period of default and the rate. The period starts when the debtor is in default, which brings in the rules of Articles 6:81 to 6:83 on default and Article 6:82 on notice of default.
What Is the Statutory Interest Rate?
The rate for Article 6:119 is set by general administrative order (Article 6:120(1)). According to the Dutch government, the statutory interest rate for non-commercial transactions has been 4% since 1 January 2026. The rate for commercial transactions under Article 6:119a is linked to the European Central Bank's refinancing rate plus eight percentage points (Article 6:120(2)) and, according to the government, has been 10.4% since 1 July 2026.
Rates change periodically, so the figures above should be checked against the current government publication before use. When a new rate takes effect, interest that is already running is calculated at the new rate from that date.
Is Statutory Interest Compounded?
Yes, annually. Under paragraph 2, at the end of each year the interest owed for that year is added to the amount on which interest is calculated. Interest therefore runs on interest from the second year of default onward.
How Does Article 6:119 Differ from Commercial Interest?
For a commercial contract, meaning a contract for consideration between parties acting in the course of a profession or business or between legal entities, Article 6:119a applies. The higher commercial rate then runs from the day after the agreed final payment date. If no payment date was agreed, it runs by operation of law from 30 days after the debtor received the invoice, or in the situations set out in Article 6:119a(2) from another fixed moment, without any notice of default being needed.
Article 6:119 remains the rule for other obligations to pay money, for example claims involving consumers or claims that do not arise from a commercial contract.
What If the Contract Provides for a Higher Interest Rate?
Paragraph 3 respects the contract. If the parties agreed a rate that is higher than the statutory interest, that agreed rate continues to run after default instead of the statutory rate. A lower agreed rate does not displace the statutory interest after default.
The statutory interest calculator works out the amount for a given principal and period.
Related Provisions and Guides
Related articles in this library:
- Article 6:82 of the Dutch Civil Code: Notice of default
- Article 6:74 of the Dutch Civil Code: Liability for non-performance
- Article 6:96 of the Dutch Civil Code: Pecuniary loss and recoverable costs
Further reading on dutch-law.com:
All articles: the Dutch Civil Code in English.