A power surge can cause tens of thousands of crowns worth of damage in a single second. Your boiler burns out, your TV goes off, you lose all your computer data or your heat pump stops working. Although many people think it’s bad luck, the distribution company is often responsible for the damage. Do you know when you are entitled to compensation, how to act immediately after an incident and how to significantly increase your chances of being fully compensated?
A surge is a short-term surge in electrical voltage that exceeds a level safe for normal appliances. It can occur as a result of a storm, a fault on a line, a transformer failure or an incorrect technical setting of the distribution system. In practice, this is not unusual. It is encountered not only in older buildings, but also in modern new buildings where the connection is incorrectly made or defective protective elements are installed.
Although it may appear as an unforeseen event, distribution companies are obliged under the Energy Act to maintain the network in a condition that prevents such situations. If equipment malfunctions or fails on their side, they are liable for the damage caused. The liability of the distributor is often judged strictly and the victim usually does not have to prove that the distributor was at fault. However, the key is to prove that the surge originated on the distribution network (not your installation) and that it caused the specific damage. The distributor may defend itself on grounds such as force majeure or that the cause was at the point of consumption.
In most cases, the responsible party is the distribution system operator, such as ČEZ Distribuce, PREdistribuce or EG.D. These companies have to guarantee that the electricity is supplied in the quality specified by the legislation and technical standards. If this obligation is breached, they are liable for the consequences.
In practice, however, we encounter distributors arguing for force majeure circumstances, in particular storms. However, this does not mean that they are not automatically liable. Even in a storm, network records often prove crucial – and they can confirm that the distributor’s equipment has failed. In some types of damage, distributors again claim that the appliance was too old or worn out. However, this objection is only applicable if there is evidence of relevant depreciation.
There are also cases where the liability lies not with the distributor but with another entity. For example, a developer who made a faulty connection, a building owner who has faulty wiring, or a surge protector who failed to operate properly. It is therefore always important to establish the actual cause of the damage and determine who to seek compensation from.
Mr František also encountered a problem with a surge in the network. Within seconds, his boiler and circulator stopped working. The distributor refused to compensate him for the damage, citing a storm in the area. However, after requesting technical data and securing an expert opinion, it turned out that the storm was not the cause, as the protective devices at the substation had failed. Following our input, the client was reimbursed the full amount of CZK 45,000, which corresponded to the value of the damaged equipment in its age and condition. Despite the fact that the boiler was an older model that had already passed part of its useful life, we managed to claim full compensation according to the expert’s report.
Has a power surge destroyed your boiler, electronics or household appliances? You don’t have to lose your money. Our solicitors will negotiate compensation with the distributor on your behalf and provide all documentation, reports and communication.
Once you notice a power surge, it is most important to prevent further damage. Disconnect the damaged appliance immediately and, if safe to do so, disconnect other nearby equipment. Then start documenting everything carefully. Take pictures of the damaged appliances and outlets, describe what happened, and if you can, record audio or visual evidence of the equipment just after the event.
At the next stage, you need to obtain a professional opinion. A service engineer or specialist will confirm that the damage was caused by a power surge and indicate the extent of the damage. Without this document, distributors rarely accept liability. Information from your neighbours is also valuable, because if the fault has occurred in their area, this is strong evidence that the problem is with the network, not your home.
Once you have gathered the basic documents, contact the distribution company. State when the incident occurred, what equipment was damaged and include a service report and photographs. If the distributor accepts liability, quantify the damages. This includes not only the value of the damaged item, but also the cost of diagnostics, the technician’s work, and possibly lost profits if the outage prevented you from doing business. People often don’t know that they can also claim for other consequential damages – for example, spoilt food if the freezer or fridge stopped working because of a power surge. That’s why we’re happy to take over the compensation process for you, so you can be sure you get everything you’re entitled to.
However, the distributor may refuse or reduce the claim. Most often citing depreciation (i.e. the deterioration of the equipment through age). But this is not always in accordance with the law. In recent years, the courts have repeatedly ruled that automatic depreciation is not correct for longer-life equipment and that a case-by-case assessment is needed. If there is a reduction, it is advisable to defend yourself – and this is where the role of the solicitor becomes crucial.
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The injured party has the right to claim for the actual damage, i.e. the cost of repairs, the purchase of new equipment or an expert report. However, you can also claim for lost profits, for example if a computer on which your business depends has stopped working because of a power surge. If the dispute goes to court and you are successful, you may also be able to claim costs (including legal costs), in particular legal costs.
In some situations, you may even be entitled to the full cost of the equipment, even for electronics that were several years old. It is the actual condition and the level of wear and tear that is decisive, not just the age. In practice, you may therefore be able to claim significantly more than the amount the distributor offers at the first negotiation.
Distributors often reject claims citing force majeure, most often a storm. However, this does not automatically exclude liability. Voltage records tend to be accurate and can show whether there has been a fault in the network equipment. Another argument is that the equipment was old or worn out. This is not always correct either – depreciation must be documented, not just generally claimed. A third common rejection is that it is uncertain whether the surge actually originated from the grid. However, this is proven by technical reports and the testimony of other customers.
A successful example of our assistance is a family whose electronics failed throughout their home, from computers to appliances. The distributor denied their claim, saying they were unable to prove the surges occurred. After our input, collating evidence and requesting voltage records, the distributor eventually paid the full £120,000 in damages and legal costs.
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If the distributor has denied, shortened or is silent on the claim, it is a good time to seek professional help. The same applies if you are unsure whether you have enough evidence or if the damage is more extensive and involves more than one device. An attorney can consolidate all the supporting documents, provide expert testimony, and most importantly, take over communication with the distributor.
It has been our experience that legal intervention often leads not only to a recognized claim, but also to significantly higher compensation. In some cases, legal costs can also be claimed from the claimant, so the services of a lawyer can pay for themselves.
If a power surge destroys your home, it is crucial to know that very often the distribution company is responsible for the damage, not you – although distributors often cite storm damage or the age of the equipment. Surges are caused by a surge in voltage, for example due to a fault on a line or a transformer failure, and the distribution network operator has a duty to supply electricity of a safe quality. The victim only has to prove that the surge occurred and that the eligible equipment was damaged, not fault. After the incident, appliances must be disconnected immediately, everything must be carefully documented, professional diagnostics must be provided and it must be ascertained whether neighbours have noticed the problem. You should then file a claim with the distributor, claiming not only the value of the damaged items, but also the cost of servicing, appraisals or lost profits. Compensation is usually based on the reasonable cost of repair; if repair does not make sense, typically the normal price of the equipment before the damage. Distributors often deny or shorten claims, particularly on the grounds of force majeure or depreciation, but these arguments can be legally rebutted, as demonstrated by cases in our practice where we have secured full compensation for clients. If the distributor refuses to communicate, cuts the claim short or you are unsure of the evidence, it is advisable to contact a solicitor who can collate the supporting documents, request technical data and push for maximum compensation – often including payment of legal costs.
In general, a limitation period of three years applies, but no later than ten years. In addition, there may be lump-sum compensation for non-compliance with quality standards (with shorter time limits for claiming).
Never. Surge protection is not mandatory and its absence does not in itself mean that you are not entitled to it. But it may affect the assessment of contributory fault.
Very significant. If multiple households have experienced a surge, this is a clear signal that the problem is in the distribution network. This evidence makes negotiations much easier.
He can try, but it’s not automatically okay. Each case has to be assessed individually and amortisation has to be actually proved. The courts often rule in favour of the victims.
For entrepreneurs, evidence can be provided, for example, of an incomplete order, a service outage or the need for an alternative solution. The key is to demonstrate a direct link between the surge and the inability to work.
Get compensation for harm or damage – quickly and without stress. We will assess your chances, propose a strategy and prepare a challenge. All within 48 hours of placing your order. If necessary, we will then file a lawsuit and arrange legal representation. We will stand up for you fully.
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.
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