Position of the Rule of Law Initiative on the Cancellation of Already Contracted Support for Cultural Institutions

The Netherlands Chamber of Commerce in the Slovak Republic is a founding partner of Iniciatíva za právny štát. Read its concern on the decision to cancel already contracted support for cultural institutions (translated from the Slovak original):

The Rule of Law Initiative expresses serious concern about the decision to cancel already approved and contracted multi-annual support for cultural institutions and projects. The decision to intervene retroactively in already approved and contracted support raises serious questions from the point of view of legal certainty and predictability of the exercise of public authority. If a state or public institution takes a decision and concludes a contract, the addressees must be able to legitimately rely on such a procedure. The way in which these commitments are subsequently called into question weakens trust in the legality and stability of public decision-making.

The state should set an example in abiding by the law and respecting its own obligations. Public power should be the bearer of the standard of reliability, not a source of uncertainty. If it is accepted that already accepted and contracted obligations can be subsequently cancelled without a convincing, transparent and legally sustainable justification, this does not only create a problem in one sector, but also a dangerous precedent for the functioning of the state as a whole. Predictable rules, respect for accepted obligations and trust in the stability of public power are equally important for cultural institutions, the business environment, investments, contractual relations and long-term planning. Weakening these principles has negative consequences for the whole of society.

The Rule of Law Initiative therefore recalls that the rule of law is not only about the content of decisions, but also about whether the state acts lawfully, consistently and predictably. These principles must apply in every sector and to everyone equally.

This position was supported by: AmCham Slovakia, Business Leaders Forum, The Netherlands Chamber of Commerce in the Slovak Republic, Podnikateľská aliancia Slovenska, SAF – Slovenská asociácia finančníkov, Slovak Compliance Circle – SCC, Swedish Chamber of Commerce in Slovakia