The contest between legal representation by a statutory body member and by a proxy based on a power of attorney
When it comes to legal representation, the following situation is relatively common among legal entities and has often been considered in case law: a company’s foundation document states that the company must be represented by two (or more) members of its statutory body including when signing documents. One or both of these people then issue(s) […]
New legal rules on contractual penalties
The rules on contractual penalties under Act No. 89/2012 Coll., the Civil Code, as amended (the “CivC”) derive from the previous legal regulation, but sharpen its meaning by introducing a distinction between “securing” and “confirming” obligations in line with case law. As in other areas, there is a noticeable loosening up of the statutory rules […]
The upcoming Public Procurement Act
Now under preparation, the Public Procurement Act will be adopted (with effect no later than on April 1, 2016) in order to transpose the following European Parliament and Council directives: 2014/24/EU of February 26, 2014 on public procurement and the cancellation of Directive 2014/18/EU; 2014/25/EU of February 26, 2014 on procurement by operators in the […]
The influence of circumstance of the force majeure on the duty to pay the contractual penalty
According to Art. 300 of Act No. 513/1991 Coll., the Commercial Code (the “CC”), “circumstances excluding liability (Art. 374) do not affect the duty to pay the contractual penalty.” These circumstances are so-called force majeure events: situations where a breach of legal duty is caused by an unforeseeable, insurmountable and overwhelming obstacle outside the obliged […]
Deadline has passed for adjusting agreements with members of company bodies
In just a few days, the six-month period will run out for adapting agreements with executive directors of limited liability companies on their position under Act no. 90/2012 Coll., on business companies and cooperatives, as amended (the “BBC”). This period is set out in Sec. 777 (3) of BBC, a transitional provision in line with […]
New public investments academy will launch in 2015
The Czech Ministry of Regional Development plans to set up a public investments academy which will be responsible for educational programmes about public investments including public procurement, as well as preparing and applying strategy and analysis documents to be released in the academy's name. The academy will start work in June 2015. Its first task […]
Environmental Impact Assessments: Key Problems
A discussion is under way about the rules on environmental impact assessments (EIA). This discussion is sure to influence the law in this area. EIAs are now governed by Act no. 100/2001 Coll., on Environmental Impact Assessment and the Amendment of Certain Related Acts, as amended (the “Act”). More rules about specific EIA issues can be […]
National electronic tool
The national electronic tool (NET) should be a comprehensive tool for handling all types of procurement processes under the Public Procurement Act (Act. 137/2006 Coll.) and the Concession Act (No. 139/2006 Coll.) Since 1 July, 2014, an open trial of NET has been under way and from 1 January, 2015, its use should be mandatory. […]
Due diligence in light of the latest Constitutional Court case law
It is good practice in every real estate transaction – regardless of whether it is an assets or share deal – to conduct a legal investigation of the title to the real estate in question. This legal check generally covers a ten-year period and also considers the legal basis on which the owner ten years […]
On applying the ‘in-house exemption’ for public contracts under the newly adopted EU Directive
Under s 18 (1) e) of the Public Procurement Act (PPA), a contracting authority is not bound to hold an open tender in cases where supplies, services or construction work are being provided for a public contracting authority by an entity that performs a significant part of its activities for the benefit of this authority, […]