Differences between mediation agreement and settlement agreement in Amsterdam rental disputes

In Amsterdam, where rental market tensions are high due to scarcity and strict rules of the Huurcommissie Amsterdam, a mediation agreement fundamentally differs from a settlement agreement. The mediation agreement arises from mediation processes at institutions such as the Juridisch Loket Amsterdam or neighbourhood teams and focuses on voluntary, relationship-preserving solutions. A settlement agreement, on the other hand, is an amicable settlement ex article 7:900 BW with stricter formal requirements, often notarially confirmed for executory force. In typical Amsterdam rental disputes, such as evictions in the city centre or disadvantaged neighbourhoods like the Bijlmer, a settlement agreement offers direct enforcement without a new procedure before the Rechtbank Amsterdam. Mediation agreements are more flexible, but less directly enforceable and dependent on goodwill. Choose mediation for temporary problems, such as payment arrears during the corona crisis in social housing; a settlement agreement for definitive settlement, for example in the case of termination of tenancy in monumental buildings. Legally, mediation falls under the Wet kwaliteitseisen eigen werkgelegenheid, settlement under BW Book 7. Practical example: in eviction cases around Centraal Station, a settlement agreement prevents lengthy procedures before the Amsterdam kantonrechter. Note: a mediation agreement can be converted into a settlement agreement for extra certainty, especially useful under the local Huisvestingsverordening Amsterdam. This distinction minimises risks for tenants and landlords in the vibrant but competitive Amsterdam housing market.