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Published on: 15 July 2025

Unfair trade practices: may you as a business owner take on your competitor?

You follow the rules neatly. You communicate clearly to customers, sell honestly and avoid deception. But your competitor does things differently. He misleads consumers with half-truths, conceals important information or applies undue pressure to force a sale. You notice that customers are walking away and wonder: can I do something about it?

This article tells you when and how you, as a business owner, can invoke the Unfair Trade Practices Act (OHP) to take action against such competitors.

What does the OHP Act regulate?

The Unfair Trade Practices Act protects consumers by prohibiting unfair business practices. These include:

– withholding essential information;

– misleading advertising or inaccurate pricing;

– aggressive sales methods, such as unsolicited pressure or harassment.

The OHP Act applies the general standard that a commercial practice is misleading if it induces consumers to make a decision they would not otherwise have made. So the OHP Act was written primarily to protect consumers. But what if those practices affect you as a business owner by, for example, losing customers?

Does the OHP law also protect entrepreneurs?

Yes the OHP Act also protects entrepreneurs, but indirectly. The OHP Act is based on European Directive 2005/29/EC. The explanatory note to this directive states that it aims not only to protect consumers, but also indirectly protects honest entrepreneurs from competitors who violate the rules. The aim is to ensure fair competition and a level playing field in the market.

In addition, the directive allows businesses to take action against unfair commercial practices. However, one condition is important here: The company must stand up for the interests of consumers.

Although Dutch law does not explicitly mention the possibility for entrepreneurs to rely directly on the OHP Act, it is widely recognized in both legal literature and case law that this is possible. This view stems from the fact that the Dutch provisions are based on the European Directive, and should therefore be interpreted and applied in line with that Directive.

Legal basis: tort

In practice, entrepreneurs usually base a claim under the OHP Act on Article 6:162 of the Dutch Civil Code, the tort. When a commercial practice violates the OHP provisions, that conduct is also legally unlawful.

What can you then claim?

– A ban on the commercial practice;

– A product recall;

– A rectification of misleading information;

In some cases, it is possible to claim damages. In practice, however, such a claim is not easily awarded. The fact that a commercial practice violates the OHP Act is in itself not sufficient for this. For compensation, you must be able to prove that you have suffered actual damage, and that this damage is a direct consequence of your competitor’s commercial practice. It must also be clear that this damage can be attributed to that competitor.

 Questions?

Do you have any questions as a result of this article? Then contact one of our lawyers by emailphone or fill out the contact form for a no-obligation initial consultation. We are happy to think along with you.

Articles by Britt Beumer

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