Czech Supreme Court Assesses Fixed-Term Lease Extensions under the Old Civil Code

In a judgment handed down on 23 April 2019 (file no. 26 Cdo 4109/2018), the Czech Supreme Court addressed the extension of fixed-term leases that were concluded under the old Civil Code. It is the accepted view of Czech courts that section 676(2) of the Civil Code creates an irrefutable presumption that fixed-term leases are […]

Constitutional Court Considers Whether Footpath is Independent Real Estate

In a decision issued on 25 June 2019 (file no. III. ÚS 2280/18), the Constitutional Court addressed the question of whether a footpath is an independent piece of real property or should be considered part of the land. According to the court, for a built-up structure to be considered real property – that is, a […]

Czech Supreme Court Addresses Conversion of Co-owned Buildings into Residential Units

The Czech Supreme Court recently considered the often-discussed issue of the “physical” division of a building into residential units after a period of common ownership. Under the court’s decision (file no. 22 Cdo 879/2019), which was handed down on 17 April 2019, before residential units are created from a single building, the court must ascertain […]

When a Creditor Calls for Liquidation

In a decision handed down on 24 April 2019 (file no. 27 Cdo 3483/2017), the Czech Supreme Court addressed the issue of calls for the wind-up of a company brought by a third party with a legal interest in the proceedings. According to the court, a party is held to “have a legal interest” under […]

Court Rules on Third-Party Warranties for Goods

In a judgment handed down on 24 April 2019 (file no. 32 Cdo 2214/2017), the Czech Supreme Court found that entities other than the seller may provide a warranty for goods sold. According to the court, while a sale agreement only creates a legal relationship between the buyer and the seller and the law only […]

Does Judicial Discretion Apply when Assessing the Fault of an Injured Party?

In a judgment delivered on 25 April 2019 (file no. 30 Cdo 1016/2018), the Supreme Court considered the use of judicial discretion when determining the extent of an injured party’s liability. The court found that assessments of an injured party’s liability can never be a matter for judicial discretion under section 136 of the Civil […]

Czech Supreme Court Comments on European Convention and Zoning Permit Delays

A recent Czech Supreme Court judgment (file no. 30 Cdo 1300/2017, 25 April 2019) has found that in private law cases, Article 6 (1) of the European Convention on Human Rights applies if administrative proceedings concern the direct exercise of ownership rights. In the case at hand, since the plaintiff did not own the land […]

Supreme Court: On the First Meeting with a Mediator

If a court orders parties to a dispute to meet with a mediator, but the parties fail to appear before the mediator at the first meeting, this does not constitute the start of mediation; the mediation is not properly initiated until the conclusion of a mediation agreement (Section 4(1) of the Mediation Act), which may […]