How to Terminate a Contract for Work in the Czech Republic

JUDr. Ondřej Preuss, Ph.D.
24. March 2022
3 minutes of reading
3 minutes of reading
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A  contract for work binds the contractor to, e.g., build a house or fix a car for the customer. And although agreements exist to be observed, an eventuality may arise when one or both of the parties will wish to end the contract prematurely. How to proceed?

Úskalí práce na černo

The parties agree

Czech law doesn’t allow for a unilateral termination of a contract that has been duly performed by both parties. Even so, the parties are free to agree on this. The agreement should come in writing, so that no doubts arise, and ought to include the date of termination as well as the settlement of the already performed tasks.

Withdrawal from a contract for work

The fact that most contracts for work contain no withdrawal provisions doesn’t necessarily preclude the act. If one of the parties violates the contract, the other may, upon meeting certain criteria, renege on it. The contract itself should define these criteria by specifying the particular violations that may lead to cancellation. If no such conditions are stipulated, then we must assess whether the conditions in the new Civil Code have been met.

Among the most prominent conditions is a breach of contract, for instance, uncleared invoices or missed payment dates. Let’s note here that any payment dates stipulated in the contract must be adhered to even if no invoice is made out. Moreover, the customer may withdraw from the contract when the contractor misses a deadline. However, they must back out without delay, lest the cancellation be unlawful.

Furthermore, the customer may withdraw if the work contains severe faults. On the other hand, the contractor may withdraw when, e.g., the customer fails to cooperate when necessary. Any particular case needs to be duly evaluated, for which reason we can’t recommend using contract withdrawal templates from the Internet – these may be meant for other situations, making your claim false.

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Contract for work

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Void contract for work

Any contract for work that fails to meet the prescribed requisites may be deemed void. However, the concerned party must make the claim, otherwise the contract will be considered valid and will need to be observed.

If you wish to cancel a void contract, you must formally object to the other party. If they don’t recognize your objections, you’ll be left with no other option than turning to the court.  The period of limitation for raising an objection to a contract is 3 years from the date it was signed; after that, any demands will be fruitless.

If you seek to terminate a contract for work early, choose our Consultation with a lawyer. We’ll assess the particularities of your case, making sure that your contract is cancelled properly.

If you need to have your current contract checked against the new Civil Code, or if you need a new one, check out our various offers.

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Are you solving a similar problem?

Solutions Tailored for You

Our team of experienced attorneys will help you solve any legal issue. Within 24 hours we’ll evaluate your situation and suggest a step-by-step solution, including all costs. The price for this proposal is only CZK 690, and this is refunded to you when you order service from us.

I Need help

Author of the article

JUDr. Ondřej Preuss, Ph.D.

Ondřej is the attorney who came up with the idea of providing legal services online. He's been earning his living through legal services for more than 10 years. He especially likes to help clients who may have given up hope in solving their legal issues at work, for example with real estate transfers or copyright licenses.

Education
  • Law, Ph.D, Pf UK in Prague
  • Law, L’université Nancy-II, Nancy
  • Law, Master’s degree (Mgr.), Pf UK in Prague
  • International Territorial Studies (Bc.), FSV UK in Prague

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