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ARTICLE · 28 APRIL 2014

Court Decides Takeover Battle For Privatised Hospital

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The Netherlands still has relatively little experience with hospitals that are entirely in the hands of an investor.

NetherlandsLitigation, Mediation & Arbitration
Guido Vergouwen
Guido Vergouwen

Introduction

The Netherlands still has relatively little experience with hospitals that are entirely in the hands of an investor; the Slotervaart hospital in Amsterdam was the first in 2006. A conflict has since arisen between shareholder and chief executive officer (CEO) Aysel Erbudak and her three children on one side, and the heirs of deceased investor Jan Schram – Erbudak's former business partner – on the other. Because the conflict threatened the stability of medical care, the Amsterdam Court of Appeal intervened. In such cases, the Netherlands' legal system allows for recourse to the Enterprise Chamber – a special section of the Court of Appeal that has far-reaching powers. This is a unique opportunity for (foreign) investors to obtain swift and practical emergency measures in takeover battles and shareholder conflicts.

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