Conversie
Conversion
Conversion is the legal concept whereby an invalid juridical act is converted into a valid juridical act that satisfies the requirements of another act, provided that this accords with the intention of the parties.
Conversion is a mechanism of Dutch civil law, provided for in Article 3:42 BW, that prevents a juridical act from being rendered wholly ineffective on grounds of nullity. Where an act fails to meet the requirements applicable to it but satisfies those of another juridical act, the court or legal practice may convert it into that other, valid act.
The doctrine is relevant because it promotes legal certainty and limits the unintended consequences of nullity. In practice, conversion is frequently applied to agreements that are null and void for want of form or incompatibility with statute, but that may be regarded in substance as another valid agreement, such as a loan rather than a gift.
“The notary proposed converting the invalid gift agreement into a valid loan agreement by means of conversion, so that the parties could nonetheless realize their intended purpose.”
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