NEWS & PUBLICATIONS
Czech General Election 2021
The Czech general election in early October and their impacts have brought many moments of surprise. First of all, incumbent Prime Minister Andrej Babis’ ruling party was defeated by two centre-right coalitions of 5 parties. The most extreme populists and the communists have not made it into the Parliament, while liberal parties received a clear majority in the House. Overall, the outcome of the vote is widely considered as a victory for liberal democracy in the Czech Republic.
CNB Interest Hike to Combat Strong Inflation
In early October, the Czech National Bank (CNB) took an action the market had not seen for more than two decades: the CNB raised its reference rate by 75 basis points taking the two-week repo rate to 1.50 %. The unexpected move was driven by higher-than-expected inflation data. The annual inflation rate based on index of consumer prices reached 4.1 % in August, being the highest since 2008.
The New Building Act Promises a Better Tomorrow
Despite many obstacles during the legislative process, a completely new Building Act was adopted in July 2021 by the Czech Parliament, entering into force (with a few exceptions) on July 1, 2023. Its main goal is to accelerate and make the building permitting process more efficient.
Supreme Court Puts the Articles of Association Under Threat
Do your company’s articles of association include a general specification of its object of business “Manufacture, trade and services not specified in Annexes 1 to 3 to the Trade Licensing Act”? Do they lack a precise specification of the activities? In this case, an amendment to the articles of association is highly recommended.
Joint Ownership of Spouses: Always 50-50?
A marriage establishes new rights and duties between the spouses. It doesn’t change everything, but for example a new property regime is established once the marriage is formed.
Ultimate Beneficial Owners in the Czech Republic and Practical Experience of Registering
The new legislation concerning the register of ultimate beneficial owners (UBO) became a major topic this year. The main reason were new sanctions associated with the non-registration of the UBO.
New Act on Protection of Competition
The new Act on Protection of Competition brings many important changes that everyone doing business in Slovakia should be aware of.
Slovak Legal Newsflash
The employers complain on a long term basis that the Labour Code is outdated, not flexible and does not meet the current demands of society. The amendment to the Labour Code introduces a new reason allowing the employer to terminate the employment relationship with a particular employee.
Corporate Law Changes 2021
Czech companies face substantial legal changes in the beginning of the year 2021. Here are the most important ones.
Secured Creditors Celebrate
A December’s decision of the Czech Constitutional Court (I. ÚS 760/18) came as sweet ending for banks and other creditors of the otherwise grim year. The Constitution Court pleased the lenders by annulling a decision of the Supreme Court in the case known as “Elma-Therm”
New Real Estate Brokerage Act
Real estate brokerage has become a regulated profession and agents must now fully comply with brand new rules and conditions. What is the impact on real estate brokers and their clients?
An Old New Institute in the Inheritance Law for Spouses and Unmarried Couples
Fideicommissary substitution - the old new institute of Czech inheritance law - is a possibility how to achieve the aim of transferring the inheritance in whole first to your spouse and after his/her death to a third person, e.g. your children.